LG Energy Solution’s U.S. Unit Secures Major ESS Supply Contract with Terra-Gen.

Seoul: LG Energy Solution Ltd. (LGES), South Korea's prominent battery manufacturer, announced on Thursday that its U.S. subsidiary has entered into a long-term agreement to supply energy storage systems (ESS) to a U.S.-based renewable energy developer. LG Energy Solution Vertech, Inc., the U.S. arm of LGES, will provide 8-gigawatt-hour (GWh) ESS systems to Terra-Gen Power Holdings II, LLC. over a four-year period, lasting through 2029. According to Yonhap News Agency, LGES did not disclose the financial details of the contract. The strategic move follows LGES's acquisition of NEC Energy Solutions in 2022, a U.S. company specializing in nonautomotive lithium-ion batteries and system integration, which was previously a subsidiary of NEC Corp. The acquisition was aimed at bolstering LGES's capacity to deliver comprehensive ESS solutions, encompassing installation, maintenance, and operational support. LGES has expressed that this deal with Terra-Gen is expected to enhance its U.S. unit's prospects for securin g additional ESS contracts within the American market.