Samsung SDI expands major U.S. storage deal

Samsung SDI, a major Korean battery maker, said Monday its U.S. unit will supply energy storage system (ESS) solutions to Alpha Omega Power (AOP) by December under its latest contract.

Samsung SDI America (SDIA), the company's Michigan-based subsidiary, has signed an agreement to supply 1 gigawatt-hour of ESS battery solutions to the U.S. energy storage developer, Samsung SDI said in a press release.

Including an initial contract signed last year, the two agreements cover a combined 1.5 gigawatt-hours and are worth hundreds of billions of won, the company said.

"This second agreement strengthens our domestic supply chain supporting the next generation of energy infrastructure," AOP Chief Executive Paul Choi said in the release.

Under the latest agreement, SDIA will supply its Samsung Battery Box (SBB) 1.7, an integrated ESS solution featuring nickel-cobalt-aluminum batteries. The product will be manufactured at the StarPlus Energy (SPE) plant in Indiana, according to the release.

SPE is a 51:49 joint venture between Samsung SDI and Stellantis N.V. that operates an electric vehicle battery plant in Indiana and also produces ESS batteries.

Samsung SDI has secured several ESS-related contracts with U.S. energy companies this year and is in talks with other local customers for additional orders.

Yonhap