LG Energy Solution will supply lithium iron phosphate (LFP) batteries for an energy storage system (ESS) at the largest solar power generation project in the United States. The ESS, with a total capacity of 2.9 GWh, will provide enough stored energy to supply electricity reliably to 310,000 households annually and will also be used to support Google’s data center operations.
Renewable energy independent power producer (IPP) Cypress Creek Energy (CCE) and Google announced in a press release on July 14 (local time) that construction had begun on the “Steel River Energy Center,” a solar power generation facility to be operated by CCE in Mississippi County, northeastern Arkansas.
The Steel River Energy Center will be built in three phases and will have a total solar power generation capacity of 2.5 GWdc by 2029, making it the largest solar power facility in the United States based on generation capacity.
To address intermittency in solar power generation and store excess electricity, the center will also include a 2.9 GWh ESS. The companies said the system will provide enough energy to supply reliable electricity to 310,000 households in Arkansas each year.
Google signed a power purchase agreement (PPA) with Cypress Creek Energy and plans to use electricity generated at the Steel River Energy Center to operate nearby data centers.
The project is the largest solar and ESS initiative involving Google to date. Will Conkling, head of Google’s data center energy division, described it as “an example of Google’s commitment to using clean energy and its dedication to Arkansas.”
The ESS will use LG Energy Solution’s “JF2 DC Link,” an LFP-based ESS battery solution produced in the United States. The batteries will be supplied through Vertech, LG Energy Solution’s local ESS system integration (SI) subsidiary.
LG Energy Solution established Vertech in the United States in 2023. The company supplies ESS batteries produced at its local manufacturing facilities while also providing services including ESS project planning, design, installation, maintenance and software management.
Industry observers believe LG Energy Solution’s early move to establish local production capabilities helped secure the project, as supply chain localization has become increasingly important amid the U.S. government’s stricter regulations on battery supply chains from China.
In its press release, Google and CCE emphasized that major equipment for the project, including solar panels, ESS batteries and structural steel, would all be supplied locally.
LG Energy Solution began mass production of LFP batteries for ESS applications at its standalone facility in Holland, Michigan, in June last year, marking the first ESS LFP battery production in North America. The company currently produces ESS batteries across four North American locations: its standalone plant in Ontario, Canada; its Honda joint venture plant in Fayette, Ohio; and its GM joint venture plant in Spring Hill, Tennessee.
By the end of this year, LG Energy Solution plans to begin ESS battery production at its standalone facility in Lansing, Michigan, securing annual ESS battery production capacity of 50 GWh across five North American manufacturing sites.