Renewable energy company Ormat Technologies has agreed a multi-year contract with Gotion High-Tech for the supply of batteries for Ormatâ€™s upcoming energy storage projects.
Under the contract, Gotion will provide Ormat with up to 750MWh of batteries with a â€œvariable pricing structure, partly linked to lithium carbonate pricesâ€.
â€œIn addition to the signed agreement, the companies are discussing additional supply contracts and expansions to the existing signed agreement to provide Ormat with US domestic manufactured batteries from Gotionâ€™s planned battery plant in Manteno, Illinois which will allow Ormat to benefit from higher investment tax credits,â€ a statement said.
Ormat currently has a 170 MW energy storage portfolio located in the US.
Doron Blachar, CEO of Ormat Technologies, said, â€œWe have been encouraged by the long-term trends weâ€™re seeing in the storage segment, and securing a critical battery supply while solidifying our supply chains gives us confidence in our ability to successfully advance our projects currently in development and achieve our long-term capacity goals. Our 2025 energy storage goal of 600MW to 670MW remains well within our reach, and this multi-year deal strengthens our confidence in Ormatâ€™s ability to expand and grow our storage offerings into new regions both in the short-term and long-term.â€
Chen Li, CEO of Gotion Global, said, â€œWe are excited to deliver products that support the green energy transition and carbon neutral future for generations to come, and to begin manufacturing products right here in the United States. Gotion is committed to the US and Americas market by â€˜our local for localâ€™ strategy to enable the value chain, and we look to grow our presence through strategic partnerships and innovative solutions with developers like Ormat.â€