Company: BNRG
Filing Date: 2025-03-04
Form Type: 20-F
Source: 0001213900-25-020178
Chunk: 50

Company: Brenmiller Energy Ltd.
Filing Date: 2025-03-04
Form: 20-F
Item: Item 3
Chunk 50
---
 which can provide energy shifting, improve their ramp-up rates, add
flexibility to their operations profile. Integration of the TES system in coal power plants can provide customers with grid storage capabilities
by charging with curtailed renewable energy and by generating electricity during peak hours. Massive implementation of this application
could eventually transform coal power plants into grid storage plants.

Manufacturing

We
manufacture our proprietary bCube™ components for our TES systems at our production plant in Dimona, Israel. After production, we
ship the TES system components to the customer sites and assemble the system on site. The current bCube™ production line capacity
that we plan to achieve at our factory in Israel is for 1 Gwh to MWh of bCube™ thermal storage units per year.

We
are currently in advance stages of automating our production line in Dimona, Israel. On May 2, 2023, we inaugurated our TES gigafactory
in Dimona, Israel. As of December 31, 2024, we have received and installed the majority of the equipment for the Dimona facility build-out.
The production facility is planned to be Industry 4.0 compliant and will have a fully automated production line with a production capacity
of up to 4 GWh of the bCube™ incorporated in the Company’s patented bGen TES modules annually. We expect that the Dimona facility
will be fully operational by the end of the first quarter of 2025, and plan to ramp-up the production line and increase its production
capacity in order to reach its full production capacity target of 4 GWh annually. The equipment purchase order was financed through a
non-dilutive €7.5 million credit facility agreement with EIB, out of which an amount of €4 million was withdrawn in July 2022
by the Company.

On
July 8, 2024, we signed an amendment to the credit facility agreement with EIB. Following the amendment, the second tranche of €3.5
million is available within 48 months instead of 36 months of signing the EIB Agreement, or March 31, 2025, subject to certain conditions,
with a 5.0% fixed annual interest rate, which is expected to expire by March 31, 2025.

Commercial Projects

As
of March 4, 2025, our primary activity is focused on the development of our technology and its application into products and commercial