OCI Energy Holds 3GW ESS Capacity
Mid- to Long-Term Cooperation on 13 ESS Projects
OCI Holdings announced on May 27 that its U.S. subsidiary, OCI Energy, has signed a three-party memorandum of understanding (MOU) regarding the North American energy storage system (ESS) business with CPS Energy, a Texas-based energy company, and Vertic, a subsidiary of LG Energy Solution.
At the business agreement ceremony held at the OCI building on the 26th, Saba Bayatli, President of OCI Energy (center), is taking a commemorative photo with Rudy Garza, President of CPS Energy (left), and Jaehong Park, Head of LG Energy Solution Vertic Corporation. Provided by OCI Holdings
The signing ceremony, held the previous morning at the OCI building in Jung-gu, Seoul, was attended by key officials, including Chung-Ho Kim, President of U.S. solar holding company OCI Enterprises; Saba Bayatli, President of OCI Energy; Rudy Garza, President of CPS Energy; Dong-Myung Kim, CEO and President of LG Energy Solution; Hyung-Sik Kim, Head of ESS Battery Business Division; and Jaehong Park, Head of Vertic Corporation.
Through this agreement, OCI Energy plans to sign a supply contract with LG Energy Solution Vertic in the future to procure batteries for ESS. The stored solar energy during the day will then be sold as electricity to CPS Energy.
CPS Energy is the largest regional energy company in the United States, supplying electricity and natural gas to approximately 1.28 million households in Texas.
Starting with the 'Alamo City ESS LLC' project, which is scheduled for completion by the end of 2026, the parties plan to expand their cooperation to include OCI Energy's pipeline of approximately 13 ESS projects, totaling about 3 gigawatts (GW) in capacity.
The 'Alamo City ESS LLC' project is a solar power plant located on approximately 42,000 pyeong (about 139,000 square meters) in Bexar County, southeastern Texas, combining a 120-megawatt (MW) solar facility with a 480-megawatt-hour (MWh) ESS. In December of last year, OCI Energy announced the development of the 'Alamo City ESS LLC' project, signed a long-term storage capacity agreement (SCA) with CPS Energy, and revealed plans to supply electricity to the San Antonio area of Texas through CPS Energy for about 20 years.
An OCI Holdings representative stated, "In order to respond to external uncertainties, including mutual tariffs, we have formed a strategic partnership with LG Energy Solution, which has multiple production bases in North America, including Holland, Michigan." The representative added, "Going forward, we will strengthen mutual cooperation with LG Energy Solution and CPS Energy on North American ESS projects to supplement the intermittency of solar power and enable sustainable electricity supply."
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