Latest news with #LDES
Yahoo
9 hours ago
- Business
- Yahoo
Eos Energy Successfully Closed $336M in Concurrent Offerings of Common Stock and Convertible Senior Notes, Strengthening its Balance Sheet and Creating Enhanced Financial Flexibility
Simplified capital structure bolsters ability to rapidly meet customer demand, reduce interest expense, and increase liquidity Continues to scale operations with order for its second state-of-the-art battery module manufacturing line EDISON, N.J., June 16, 2025 (GLOBE NEWSWIRE) -- Eos Energy Enterprises, Inc. (NASDAQ: EOSE) ('Eos' or the 'Company'), America's leading innovator in the design, sourcing, and manufacturing of zinc-based long duration energy storage (LDES) systems, manufactured in the United States, announced the closing of the full exercise of the initial purchasers' option to purchase additional notes in connection with its convertible senior notes due 2030 offering. Following the exercise of the option, $250 million aggregate principal amount of convertible senior notes due 2030 were outstanding. This announcement follows the Company's successful closing of its concurrent offerings of common stock (including a full exercise of the underwriters' option to purchase additional shares) and convertible senior notes due 2030. These transformative transactions mark a critical inflection point that unlocks the financial flexibility required to scale operations to meet long duration energy storage global demand. The offerings were significantly oversubscribed, demonstrating strong investor confidence in Eos' market potential and progress against its strategic plan. 'We proactively capitalized on favorable market conditions to strengthen our financial position and play offense on long term growth,' said Nathan Kroeker, Eos Chief Commercial Officer and Interim Chief Financial Officer. 'Amid this opportunity, we strategically repurchased the maturing 2026 convertible note, lowered our cost of capital on the Cerberus term loan, and enhanced liquidity, putting us in an ideal position to capture the growing demand for long duration energy storage.' The capital infusion strengthens Eos' ability to execute its growth strategy and increases strategic flexibility by reducing the weighting at the top of its capital stack. It also allowed the Company to restructure key portions of its debt, materially lowering its cost of capital while strengthening its balance sheet, with the overall transaction resulting in approximately $400 million in savings over the terms of the Company's debt. 'This was more than a capital raise – it strategically positions the Company to achieve our long-term objectives,' said Joe Mastrangelo, Chief Executive Officer of Eos. 'Improving our capital structure provides the tools required to operationally position the Company for growth. A stronger balance sheet combined with an improved capital cost structure, allows Eos to deliver for its customers, and build long-term shareholder value.' Use of Proceeds and Strategic Debt Restructuring Proceeds from the transactions were used to: Fully repurchase the Company's $125.9 million 5%/6% Convertible Senior PIK Toggle Note due 2026 for $131 million, saving Eos $8.3 million in incremental interest that would have been owed upon maturity. Pursuant to the terms of the repurchase agreement, the Company subsequently received a $5 million reimbursement of the purchase price from the holder. Prepay $50 million of outstanding borrowings due under the Company's Delayed Draw Term Loan (DDTL) between Eos and an affiliate of Cerberus Capital Management LP ('Cerberus'), and Add approximately $139 million in cash to the balance sheet net of purchaser discounts, prior to the deduction of expenses. The $50 million prepayment on the DDTL resulted in key benefits: Reduced the interest rate on the remaining DDTL from 15% to 7%, significantly lowering the Company's cost of capital. Deferred the EBITDA and revenue financial covenants on the DDTL and DOE to begin March 31, 2027, allowing the Company to focus on scaled growth. Extended the lock-up period on Cerberus held securities by one year to June 21, 2026, further aligning long-term shareholder interests. Waived call protection provisions, saving the Company $28.7 million in prepayment expense. Eos is currently working to obtain approval from the U.S. Department of Energy's Loan Programs Office (DOE) for the next funding advance under tranche 1 of its DOE guaranteed loan. Operational Momentum and Manufacturing Expansion Eos recently submitted the purchase order for its second state-of-the-art manufacturing line that is expected to be operational in the first half of 2026. This marks a pivotal milestone in the Company's plan to scale domestic production in response to strong U.S. and international demand. In parallel, Eos is in the process of installing and commissioning its first bi-polar sub-assembly, an automation enhancement expected to drive significant improvements in throughput and production efficiency. Year-to-date, Eos has shipped more energy storage cubes than in all of 2024, with Q2 shipments surpassing Q1, reflecting strong manufacturing execution. This momentum is expected to continue throughout the remainder of the year, supported by meaningful output gains as the Company brings all its terminal and bi-polar sub-assembly automation fully online during the third quarter. System Performance and Field Integration As production capacity increases, Eos continues to invest in the innovation engine driving its technology roadmap. At its R&D facility in Edison, New Jersey, Francis Richey, Chief Technology Officer, and Pranesh Rao, Senior Vice President Storage Systems Engineering, and team are pioneering advancements that are reshaping long duration energy storage. Introduced during the Company's December 2023 strategic outlook call, Eos has made substantial progress on two foundational components of its Z3 energy storage system: its proprietary American-made Battery Management System (BMS) and its modular inline cube architecture. The custom electronics and advanced software in the BMS have improved availability and shown round trip efficiency above 80% with some longer duration applications surpassing 90%. Developed and maintained in the United States, the BMS ensures critical data privacy and cybersecurity protections, key to enhancing the resilience and security of the U.S. power grid. The Company's inline cube, engineered to simplify field deployment and reduce system level costs, has also demonstrated measurable field efficiencies. In a recent Z3 project, Eos proved the ability to cold commission 75 cubes in just 7 days, resulting in approximately 96% lower installation costs versus prior system designs. Faster installation times and lower costs allow the Eos system to rapidly-scale and meet customer demand for accelerating grid integration. Building on these operational and technological advancements, Eos has partnered with PA Consulting Group – energy market and policy advisor and industry leader in forecasting and analytics – to quantify the near and long-term value of its technology. Despite higher upfront costs, compared to incumbent technologies, PA's independent modeling for ERCOT-based customers showed 30-50% higher revenues over the life of a project for 4+ hour systems. This is a testament to the differentiated performance of the domestically manufactured Z3 technology, and the benefits Eos can provide to customers across North America. As power systems adapt to the growing demands of electrification and increased renewable penetration, energy storage has become essential to ensuring grid reliability, flexibility, and resilience. Eos is well-positioned to meet this need with secure, scalable, American-made solutions offering customers not just technology, but long-term value and performance that support the evolving energy landscape. Upon the closing of the offerings (including the option to purchase additional notes), the Company is no longer subject to quiet period restrictions until the regularly scheduled period at the end of the second quarter until earnings. About EosEos Energy Enterprises, Inc. is accelerating the shift to American energy independence with positively ingenious solutions that transform how the world stores power. Our breakthrough Znyth™ aqueous zinc battery was designed to overcome the limitations of conventional lithium-ion technology. Safe, scalable, efficient, sustainable—and manufactured in the U.S—it is the core of our innovative systems that today provide utility, industrial, and commercial customers with a proven, reliable energy storage alternative for 3-to 12-hour applications. Eos was founded in 2008 and is headquartered in Edison, New Jersey. For more information about Eos (NASDAQ: EOSE), visit Contacts Investors: ir@ media@ Forward Looking Statements Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding our expected revenue, for the fiscal years December 31, 2025, our path to profitability and strategic outlook, statements regarding orders backlog and opportunity pipeline, statements regarding our expectation that we can continue to increase product volume on our state-of-the-art manufacturing line, statements regarding our future expansion and its impact on our ability to scale up operations, statements regarding our expectation that we can continue to strengthen our overall supply chain, statements regarding our expectation that our new comprehensive insurance program will provide increased operational and economic certainty, statements that refer to the delayed draw term loan with Cerberus, milestones thereunder and the anticipated use of proceeds, statements that refer to outlook, projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are based on our management's beliefs, as well as assumptions made by, and the information currently available to, them. Because such statements are based on expectations as to future financial and operating results and are not statements of fact, actual results may differ materially from those projected. Factors which may cause actual results to differ materially from current expectations include, but are not limited to: changes adversely affecting the business in which we are engaged; our ability to forecast trends accurately; our ability to generate cash, service indebtedness and incur additional indebtedness; our ability to achieve the operational milestones on the delayed draw term loan; our ability to raise financing in the future; risks associated with the DDTL with Cerberus, including risks of default, dilution of outstanding Common Stock, consequences for failure to meet milestones and contractual lockup of shares; our customers' ability to secure project financing; the amount of final tax credits available to our customers or to Eos pursuant to the Inflation Reduction Act; the timing and availability of future funding under the Department of Energy Loan Facility; our ability to continue to develop efficient manufacturing processes to scale and to forecast related costs and efficiencies accurately; fluctuations in our revenue and operating results; competition from existing or new competitors; our ability to convert firm order backlog and pipeline to revenue; risks associated with security breaches in our information technology systems; risks related to legal proceedings or claims; risks associated with evolving energy policies in the United States and other countries and the potential costs of regulatory compliance; risks associated with changes to the U.S. trade environment; our ability to maintain the listing of our shares of common stock on NASDAQ; our ability to grow our business and manage growth profitably, maintain relationships with customers and suppliers and retain our management and key employees; risks related to the adverse changes in general economic conditions, including inflationary pressures and increased interest rates; risk from supply chain disruptions and other impacts of geopolitical conflict; changes in applicable laws or regulations; the possibility that Eos may be adversely affected by other economic, business, and/or competitive factors; other factors beyond our control; risks related to adverse changes in general economic conditions; and other risks and uncertainties. The forward-looking statements contained in this press release are also subject to additional risks, uncertainties, and factors, including those more fully described in the Company's most recent filings with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. Further information on potential risks that could affect actual results will be included in the subsequent periodic and current reports and other filings that the Company makes with the Securities and Exchange Commission from time to time. Moreover, the Company operates in a very competitive and rapidly changing environment, and new risks and uncertainties may emerge that could have an impact on the forward-looking statements contained in this press release. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and, except as required by law, the Company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.
Yahoo
11 hours ago
- Business
- Yahoo
Eos Energy Successfully Closed $336M in Concurrent Offerings of Common Stock and Convertible Senior Notes, Strengthening its Balance Sheet and Creating Enhanced Financial Flexibility
Simplified capital structure bolsters ability to rapidly meet customer demand, reduce interest expense, and increase liquidity Continues to scale operations with order for its second state-of-the-art battery module manufacturing line EDISON, N.J., June 16, 2025 (GLOBE NEWSWIRE) -- Eos Energy Enterprises, Inc. (NASDAQ: EOSE) ('Eos' or the 'Company'), America's leading innovator in the design, sourcing, and manufacturing of zinc-based long duration energy storage (LDES) systems, manufactured in the United States, announced the closing of the full exercise of the initial purchasers' option to purchase additional notes in connection with its convertible senior notes due 2030 offering. Following the exercise of the option, $250 million aggregate principal amount of convertible senior notes due 2030 were outstanding. This announcement follows the Company's successful closing of its concurrent offerings of common stock (including a full exercise of the underwriters' option to purchase additional shares) and convertible senior notes due 2030. These transformative transactions mark a critical inflection point that unlocks the financial flexibility required to scale operations to meet long duration energy storage global demand. The offerings were significantly oversubscribed, demonstrating strong investor confidence in Eos' market potential and progress against its strategic plan. 'We proactively capitalized on favorable market conditions to strengthen our financial position and play offense on long term growth,' said Nathan Kroeker, Eos Chief Commercial Officer and Interim Chief Financial Officer. 'Amid this opportunity, we strategically repurchased the maturing 2026 convertible note, lowered our cost of capital on the Cerberus term loan, and enhanced liquidity, putting us in an ideal position to capture the growing demand for long duration energy storage.' The capital infusion strengthens Eos' ability to execute its growth strategy and increases strategic flexibility by reducing the weighting at the top of its capital stack. It also allowed the Company to restructure key portions of its debt, materially lowering its cost of capital while strengthening its balance sheet, with the overall transaction resulting in approximately $400 million in savings over the terms of the Company's debt. 'This was more than a capital raise – it strategically positions the Company to achieve our long-term objectives,' said Joe Mastrangelo, Chief Executive Officer of Eos. 'Improving our capital structure provides the tools required to operationally position the Company for growth. A stronger balance sheet combined with an improved capital cost structure, allows Eos to deliver for its customers, and build long-term shareholder value.' Use of Proceeds and Strategic Debt Restructuring Proceeds from the transactions were used to: Fully repurchase the Company's $125.9 million 5%/6% Convertible Senior PIK Toggle Note due 2026 for $131 million, saving Eos $8.3 million in incremental interest that would have been owed upon maturity. Pursuant to the terms of the repurchase agreement, the Company subsequently received a $5 million reimbursement of the purchase price from the holder. Prepay $50 million of outstanding borrowings due under the Company's Delayed Draw Term Loan (DDTL) between Eos and an affiliate of Cerberus Capital Management LP ('Cerberus'), and Add approximately $139 million in cash to the balance sheet net of purchaser discounts, prior to the deduction of expenses. The $50 million prepayment on the DDTL resulted in key benefits: Reduced the interest rate on the remaining DDTL from 15% to 7%, significantly lowering the Company's cost of capital. Deferred the EBITDA and revenue financial covenants on the DDTL and DOE to begin March 31, 2027, allowing the Company to focus on scaled growth. Extended the lock-up period on Cerberus held securities by one year to June 21, 2026, further aligning long-term shareholder interests. Waived call protection provisions, saving the Company $28.7 million in prepayment expense. Eos is currently working to obtain approval from the U.S. Department of Energy's Loan Programs Office (DOE) for the next funding advance under tranche 1 of its DOE guaranteed loan. Operational Momentum and Manufacturing Expansion Eos recently submitted the purchase order for its second state-of-the-art manufacturing line that is expected to be operational in the first half of 2026. This marks a pivotal milestone in the Company's plan to scale domestic production in response to strong U.S. and international demand. In parallel, Eos is in the process of installing and commissioning its first bi-polar sub-assembly, an automation enhancement expected to drive significant improvements in throughput and production efficiency. Year-to-date, Eos has shipped more energy storage cubes than in all of 2024, with Q2 shipments surpassing Q1, reflecting strong manufacturing execution. This momentum is expected to continue throughout the remainder of the year, supported by meaningful output gains as the Company brings all its terminal and bi-polar sub-assembly automation fully online during the third quarter. System Performance and Field Integration As production capacity increases, Eos continues to invest in the innovation engine driving its technology roadmap. At its R&D facility in Edison, New Jersey, Francis Richey, Chief Technology Officer, and Pranesh Rao, Senior Vice President Storage Systems Engineering, and team are pioneering advancements that are reshaping long duration energy storage. Introduced during the Company's December 2023 strategic outlook call, Eos has made substantial progress on two foundational components of its Z3 energy storage system: its proprietary American-made Battery Management System (BMS) and its modular inline cube architecture. The custom electronics and advanced software in the BMS have improved availability and shown round trip efficiency above 80% with some longer duration applications surpassing 90%. Developed and maintained in the United States, the BMS ensures critical data privacy and cybersecurity protections, key to enhancing the resilience and security of the U.S. power grid. The Company's inline cube, engineered to simplify field deployment and reduce system level costs, has also demonstrated measurable field efficiencies. In a recent Z3 project, Eos proved the ability to cold commission 75 cubes in just 7 days, resulting in approximately 96% lower installation costs versus prior system designs. Faster installation times and lower costs allow the Eos system to rapidly-scale and meet customer demand for accelerating grid integration. Building on these operational and technological advancements, Eos has partnered with PA Consulting Group – energy market and policy advisor and industry leader in forecasting and analytics – to quantify the near and long-term value of its technology. Despite higher upfront costs, compared to incumbent technologies, PA's independent modeling for ERCOT-based customers showed 30-50% higher revenues over the life of a project for 4+ hour systems. This is a testament to the differentiated performance of the domestically manufactured Z3 technology, and the benefits Eos can provide to customers across North America. As power systems adapt to the growing demands of electrification and increased renewable penetration, energy storage has become essential to ensuring grid reliability, flexibility, and resilience. Eos is well-positioned to meet this need with secure, scalable, American-made solutions offering customers not just technology, but long-term value and performance that support the evolving energy landscape. Upon the closing of the offerings (including the option to purchase additional notes), the Company is no longer subject to quiet period restrictions until the regularly scheduled period at the end of the second quarter until earnings. About EosEos Energy Enterprises, Inc. is accelerating the shift to American energy independence with positively ingenious solutions that transform how the world stores power. Our breakthrough Znyth™ aqueous zinc battery was designed to overcome the limitations of conventional lithium-ion technology. Safe, scalable, efficient, sustainable—and manufactured in the U.S—it is the core of our innovative systems that today provide utility, industrial, and commercial customers with a proven, reliable energy storage alternative for 3-to 12-hour applications. Eos was founded in 2008 and is headquartered in Edison, New Jersey. For more information about Eos (NASDAQ: EOSE), visit Contacts Investors: ir@ media@ Forward Looking Statements Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding our expected revenue, for the fiscal years December 31, 2025, our path to profitability and strategic outlook, statements regarding orders backlog and opportunity pipeline, statements regarding our expectation that we can continue to increase product volume on our state-of-the-art manufacturing line, statements regarding our future expansion and its impact on our ability to scale up operations, statements regarding our expectation that we can continue to strengthen our overall supply chain, statements regarding our expectation that our new comprehensive insurance program will provide increased operational and economic certainty, statements that refer to the delayed draw term loan with Cerberus, milestones thereunder and the anticipated use of proceeds, statements that refer to outlook, projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are based on our management's beliefs, as well as assumptions made by, and the information currently available to, them. Because such statements are based on expectations as to future financial and operating results and are not statements of fact, actual results may differ materially from those projected. Factors which may cause actual results to differ materially from current expectations include, but are not limited to: changes adversely affecting the business in which we are engaged; our ability to forecast trends accurately; our ability to generate cash, service indebtedness and incur additional indebtedness; our ability to achieve the operational milestones on the delayed draw term loan; our ability to raise financing in the future; risks associated with the DDTL with Cerberus, including risks of default, dilution of outstanding Common Stock, consequences for failure to meet milestones and contractual lockup of shares; our customers' ability to secure project financing; the amount of final tax credits available to our customers or to Eos pursuant to the Inflation Reduction Act; the timing and availability of future funding under the Department of Energy Loan Facility; our ability to continue to develop efficient manufacturing processes to scale and to forecast related costs and efficiencies accurately; fluctuations in our revenue and operating results; competition from existing or new competitors; our ability to convert firm order backlog and pipeline to revenue; risks associated with security breaches in our information technology systems; risks related to legal proceedings or claims; risks associated with evolving energy policies in the United States and other countries and the potential costs of regulatory compliance; risks associated with changes to the U.S. trade environment; our ability to maintain the listing of our shares of common stock on NASDAQ; our ability to grow our business and manage growth profitably, maintain relationships with customers and suppliers and retain our management and key employees; risks related to the adverse changes in general economic conditions, including inflationary pressures and increased interest rates; risk from supply chain disruptions and other impacts of geopolitical conflict; changes in applicable laws or regulations; the possibility that Eos may be adversely affected by other economic, business, and/or competitive factors; other factors beyond our control; risks related to adverse changes in general economic conditions; and other risks and uncertainties. The forward-looking statements contained in this press release are also subject to additional risks, uncertainties, and factors, including those more fully described in the Company's most recent filings with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. Further information on potential risks that could affect actual results will be included in the subsequent periodic and current reports and other filings that the Company makes with the Securities and Exchange Commission from time to time. Moreover, the Company operates in a very competitive and rapidly changing environment, and new risks and uncertainties may emerge that could have an impact on the forward-looking statements contained in this press release. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and, except as required by law, the Company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or in to access your portfolio
Yahoo
15-04-2025
- Business
- Yahoo
Eos Energy and Frontier Power Announce 5 GWh Memorandum of Understanding to Advance Long-Duration Energy Storage in the United Kingdom
Partnership aims to support the UK's clean energy transition with the potential to unlock local manufacturing and strengthen energy infrastructure EDISON, N.J. and WARWICKSHIRE, United Kingdom, April 15, 2025 (GLOBE NEWSWIRE) -- Eos Energy Enterprises, Inc. (NASDAQ: EOSE) ("Eos" or the 'Company'), America's leading innovator in designing, manufacturing, and providing zinc-based long duration energy storage systems sourced and manufactured in the United States, today announced it has signed a memorandum of understanding with Frontier Power Ltd. ('Frontier'), a UK-based energy developer, for a 5 GWh energy storage framework agreement. The agreement marks Eos' entrance into a new international market and supports Frontier's plans to submit multiple bids utilizing Eos' Znyth™ battery technology in the first application window of Ofgem's new long-duration energy storage (LDES) cap and floor scheme. 'We are proud to partner with Frontier Power, a respected leader in UK energy development, to bring Eos' safe and recyclable storage technology to a new market,' said Justin Vagnozzi, Senior Vice President of Global Sales at Eos Energy Enterprises. 'The novel cap and floor scheme incentivizes investments in long-duration storage technologies that are critical for grid stability and renewable integration. Our participation in this scheme with an established global supply partner like Frontier furthers our commitment to scale our operations, expand our market reach and encourage the adoption of alternative technologies for the energy storage market.' Under the agreement, Eos and Frontier will also look to expand the collaboration globally to new international markets. This partnership also opens the door to developing local manufacturing in the UK. Should significant LDES project volumes materialize using Eos technology, it could incentivize the establishment of manufacturing operations in the UK, supporting domestic supply chains and job creation. 'Our supply chain strategy was designed to be transportable,' said Joe Mastrangelo, Eos Chief Executive Officer. 'We can co-locate manufacturing capacity near customer demand and not only provide innovative energy storage, but sustainable jobs in regions that have demand for our technology. As that demand grows, both domestically and internationally, we'll expand our manufacturing footprint, and we're excited to partner with Frontier to execute on that vision in the UK market and beyond.' "This agreement reflects Frontier Power's commitment to driving innovation in clean energy while fostering international collaboration,' said Humza Malik, Frontier Power Chief Executive Officer. 'By working with Eos, we are advancing our portfolio of long-duration storage projects and strengthening trade relations between the US and UK. The prospect of local manufacturing in the UK could further boost economic growth and job creation." The UK's cap and floor scheme, administered by Ofgem and the Department for Energy Security and Net Zero, is designed to provide long-term revenue certainty for innovative energy storage technologies and help incentivize investment in alternative technologies to lithium-ion in the UK market. Eos' eight-hour technology is well suited for the program, which supports the UK's broader goals of achieving grid stability and enables higher levels of renewable integration. This agreement will be incremental to Eos' pipeline numbers as of March 31, 2025 when the Company reports first quarter 2025 results. About Eos Energy Enterprises Eos Energy Enterprises, Inc. is accelerating the shift to American energy independence with positively ingenious solutions that transform how the world stores power. Our breakthrough Znyth™ aqueous zinc battery was designed to overcome the limitations of conventional lithium-ion technology. It is safe, scalable, efficient, sustainable, manufactured in the U.S., and the core of our innovative systems that today provides utility, industrial, and commercial customers with a proven, reliable energy storage alternative for 3 to 12-hour applications. Eos was founded in 2008 and is headquartered in Edison, New Jersey. For more information about Eos (NASDAQ: EOSE), visit About Frontier Power Founded in 2009, Frontier Power is a leading developer of innovative energy solutions with expertise spanning electricity interconnectors, offshore wind transmission, offshore wind generation and energy storage. With over £30 billion in combined investment experience in the team, Frontier Power is at the forefront of driving clean energy transitions Investors: ir@ Media: media@ Forward Looking Statements Except for the historical information contained herein, the matters set forth in this press release are forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding our expected revenue, for the fiscal years December 31, 2025, our path to profitability and strategic outlook, statements regarding orders backlog and opportunity pipeline, statements regarding our expectation that we can continue to increase product volume on our state-of-the-art manufacturing line, statements regarding our future expansion and its impact on our ability to scale up operations, statements regarding our expectation that we can continue to strengthen our overall supply chain, statements regarding our expectation that our new comprehensive insurance program will provide increased operational and economic certainty, statements that refer to the delayed draw term loan with Cerberus, milestones thereunder and the anticipated use of proceeds, statements that refer to outlook, projections, forecasts or other characterizations of future events or circumstances, including any underlying assumptions. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intends," "may," "might," "plan," "possible," "potential," "predict," "project," "should," "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Forward-looking statements are based on our management's beliefs, as well as assumptions made by, and the information currently available to, them. Because such statements are based on expectations as to future financial and operating results and are not statements of fact, actual results may differ materially from those projected. Factors which may cause actual results to differ materially from current expectations include, but are not limited to: changes adversely affecting the business in which we are engaged; our ability to forecast trends accurately; our ability to generate cash, service indebtedness and incur additional indebtedness; our ability to achieve the operational milestones on the delayed draw term loan; our ability to raise financing in the future; risks associated with the credit agreement with Cerberus, including risks of default, dilution of outstanding Common Stock, consequences for failure to meet milestones and contractual lockup of shares; our customers' ability to secure project financing; the amount of final tax credits available to our customers or to Eos pursuant to the Inflation Reduction Act; the timing and availability of future funding under the Department of Energy Loan Facility; our ability to continue to develop efficient manufacturing processes to scale and to forecast related costs and efficiencies accurately; fluctuations in our revenue and operating results; competition from existing or new competitors; our ability to convert firm order backlog and pipeline to revenue; risks associated with security breaches in our information technology systems; risks related to legal proceedings or claims; risks associated with evolving energy policies in the United States and other countries and the potential costs of regulatory compliance; risks associated with changes to the U.S. trade environment; our ability to maintain the listing of our shares of common stock on NASDAQ; our ability to grow our business and manage growth profitably, maintain relationships with customers and suppliers and retain our management and key employees; risks related to the adverse changes in general economic conditions, including inflationary pressures and increased interest rates; risk from supply chain disruptions and other impacts of geopolitical conflict; changes in applicable laws or regulations; the possibility that Eos may be adversely affected by other economic, business, and/or competitive factors; other factors beyond our control; risks related to adverse changes in general economic conditions; and other risks and uncertainties. The forward-looking statements contained in this press release are also subject to additional risks, uncertainties, and factors, including those more fully described in the Company's most recent filings with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K and subsequent reports on Forms 10-Q and 8-K. Further information on potential risks that could affect actual results will be included in the subsequent periodic and current reports and other filings that the Company makes with the Securities and Exchange Commission from time to time. Moreover, the Company operates in a very competitive and rapidly changing environment, and new risks and uncertainties may emerge that could have an impact on the forward-looking statements contained in this press release. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and, except as required by law, the Company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or in to access your portfolio
Yahoo
25-02-2025
- Business
- Yahoo
ESS Global Fleet Achieves Operational Milestone Surpassing 2 GWh of Transacted Energy
Additional Energy Center™ products are delivered to Florida utility and product line achieves safety and operational certifications. WILSONVILLE, Ore., February 25, 2025--(BUSINESS WIRE)--ESS Tech, Inc. (ESS) (NYSE: GWH), a leading manufacturer of iron flow long-duration energy storage systems (LDES) for commercial and utility-scale applications, today announced that the company's global fleet of LDES solutions has transacted nearly 2.5 GWh of transacted energy. This operational milestone was achieved as the company continues to deliver and begin commissioning of its Energy Center™ products and earns new safety and operational certifications, underscoring the company's leadership in the LDES industry. In December, ESS completed construction and initial testing of two Energy Center™ units for Portland General Electric and began shipment of Energy Center™ systems to a major Florida utility. Eight Energy Center™ systems have now been delivered for the Florida project. Both projects are expected to become fully operational this year. "These milestones illustrate the value that ESS systems are delivering to our customers and our steady progress in scaling the business," said Hugh McDermott, ESS SVP of Business Development. "The Energy CenterTM is our 8+ hour product and we continue to build on the evolution of our systems. We're now looking to add 12+ hour projects with our Energy BaseTM product line while continuing to grow the overall ESS fleet to provide safe and sustainable LDES, including delivering green baseload, for decades to come." Underscoring the safety and sustainability of the solution, the Energy Center™ product line recently earned industry-leading certifications including ETL certification to the UL 9540 standard. UL 9540 is a comprehensive safety standard for grid-connected energy storage systems which affirms the safety of the battery system and its environmental performance. The standard covers stationary energy storage systems for both outdoor and indoor installations. To facilitate deployment and operation of ESS products, the Energy Center™ product line also recently passed the Modular Energy System Architecture (MESA) Standards Alliance's MESA-Device profile test, the first energy storage technology to demonstrate compliance, and has also received SunSpec Alliance Modbus Certification. The Energy Center's software was rigorously assessed against the MESA-Device profile test to confirm its ability to reliably communicate and share data between systems at a project site and to enable clean, predictable command and control operation. These new certifications are in addition to IEEE 693-High certification, which the Energy Center product line received in 2024. IEEE 693 is a widely accepted seismic rating for energy infrastructure. ESS was the first non-lithium LDES provider to receive the certification, providing assurance that the Energy Center product line qualifies for deployment as critical infrastructure in seismically active regions. If you would like to learn more about these developments, including information about ESS' new Energy BaseTM product line, representatives from ESS will be exhibiting at Intersolar North America in San Diego from February 25-27 in booth number 2405. For more information or to schedule a meeting, please visit About ESS Tech Inc.: ESS (NYSE: GWH) is the leading manufacturer of long-duration iron flow energy storage solutions. ESS was established in 2011 with a mission to accelerate decarbonization safely and sustainably through longer lasting energy storage. Using easy-to-source iron, salt, and water, ESS iron flow technology enables energy security, reliability and resilience. We build flexible storage solutions that allow our customers to meet increasing energy demand without power disruptions and maximize the value potential of excess energy. For more information visit Forward-Looking Statements This communication contains certain forward-looking statements, including statements regarding ESS and its management team's expectations, hopes, beliefs, intentions or strategies regarding the future. The words "anticipate", "believe", "continue", "could", "estimate", "expect", "intends", "may", "might", "plan", "possible", "potential", "predict", "project", "should", "will" and "would" and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. Examples of forward-looking statements include, among others, statements regarding the Company's leadership team, expectations regarding future activities, the exploration of strategic alternatives and the installation of energy storage systems for applications in the 12 to 24 hour long duration storage market, which are currently at the RFP stage. These forward-looking statements are based on ESS' current expectations and beliefs concerning future developments and their potential effects on ESS. Many factors could cause actual future events to differ materially from the forward-looking statements in this communication. There can be no assurance that the future developments affecting ESS will be those that we have anticipated. These forward-looking statements involve a number of risks, uncertainties (some of which are beyond ESS control) or other assumptions that may cause actual results or performance to be materially different from those expressed or implied by these forward-looking statements, which include, but are not limited to, our product specifications and performance and customer installations, as well as those risks and uncertainties set forth in the section entitled "Risk Factors" in the Company's Quarterly Report on Form 10-Q for the three and nine months ended September 30, 2024, filed with the Securities and Exchange Commission (the "SEC") on November 14, 2024, and its other filings filed with the SEC. Except as required by law, ESS is not undertaking any obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise. View source version on Contacts Investors: Erik Bylin Investors@ Media: Morgan Pitts 503.568.0755 Sign in to access your portfolio
Zawya
30-01-2025
- Business
- Zawya
Long-duration energy storage: The missing link in the renewable energy puzzle
The rise in renewable energy adoption worldwide has increased the need for long-duration energy storage (LDES) solutions to deal with the growing challenge of intermittency. 'While renewables account for nearly a third of global electricity generation, their intermittency poses challenges for grid stability,' noted Alessandro Zampieri, Partner and Associate Director, Decarbonisation Solutions, BCG. He told Zawya Projects that as renewable energy penetration increases, storage durations of 1-8 hours will no longer suffice to address power grid intermittencies. 'Longer storage solutions, including multi-day and eventually seasonal durations, will become essential,' he said. Peter Ondko, Associate Director, BCG added that LDES offers the ability to store energy for 8+ hours, facilitating renewable integration by smoothing out supply-demand imbalances, including over longer durations. The LDES Council's 2024 Annual Report notes that LDES can deliver $540 billion in annual system savings globally by avoiding curtailments, enabling grid flexibility, and reducing dependence on fossil fuels. According to Ondko, thermal LDES can store heat at extremely high temperatures, ranging from 500 to over 1,000°C, making it a valuable tool for industrial decarbonisation. 'When combined with renewable energy, it can provide the flexibility needed to integrate and optimise energy use across multiple sectors, facilitating sector coupling and advancing decarbonisation efforts,' he observed. Zampieri emphasised that in the GCC, LDES is critical for meeting decarbonisation goals. 'These technologies enable stages of deeper energy transition by ensuring that renewables can provide firm capacity without costly grid upgrades,' he said, adding that early investment in LDES could help position the GCC as a leader in innovation and climate action. Excerpts from the interview: At what renewable energy penetration levels are LDES technologies expected to become essential in the GCC, and why? Alessandro Zampieri: This depends on the unique characteristics of individual power systems, such as the capacity and flexibility of the transmission grid. However, in general, it is expected that the need for LDES technologies becomes significant as renewable energy penetration exceeds 50-60 percent of a region's energy mix. At this point, balancing supply and demand becomes more challenging due to the inherent intermittency of renewable energy, creating an even greater need for multiday storage solutions. This milestone is particularly relevant for the GCC, which is pursuing aggressive decarbonisation goals. Without robust storage solutions, grid instability and energy curtailment risks could complicate these ambitions. According to the LDES Council, countries with high climate goals, such as the US and the UK, are already prioritising LDES integration, setting a benchmark for the GCC to follow. For example, California's Energy Commission is investing up to $330 million through its Long Duration Energy Storage program to demonstrate non-lithium-ion technologies and deploy long-duration systems across the state. What are the long-term economic and strategic advantages for the GCC in investing in LDES technologies? Peter Ondko: For the GCC, the benefits of investing in LDES extend far beyond energy storage as they can help the region meet its sustainability commitments while generating significant economic value. Economically, integrating LDES can free up oil and gas for exports, driving higher GDP contributions while reducing the overall decarbonisation cost by mitigating the need for expensive grid infrastructure upgrades. Strategically, early investment allows the GCC to control the supply chain, develop local manufacturing capabilities, and create new revenue streams. Understanding the priority applications for the GCC is essential to making informed investment decisions. Given the early stages of development and the limited maturity of most LDES solutions, technological uncertainty remains high. Adopting a portfolio approach to investments is crucial for mitigating risks and achieving success. Developing a thorough understanding of the various technologies and their ability to either complement or offer distinct advantages over more established solutions like lithium-ion batteries (rather than competing with them directly) will be critical in identifying the right opportunities. In what ways can LDES technologies support industries reliant on heat energy, such as refineries and cement manufacturing? Peter Ondko: LDES technologies, particularly thermal storage systems, offer transformative potential for industries dependent on heat energy. Capable of delivering low, medium and high-grade heat, LDES solutions can significantly reduce these industries' reliance on fossil fuels. When combined with renewable energy generation, they offer a cost-effective and reliable way to deliver 24/7 renewable heat to end-users. In the GCC, where cement manufacturing and refineries play pivotal roles, coupling renewables with thermal LDES can not only cut emissions by reducing dependency on natural gas, but also make operations more economical. This integration exemplifies how energy storage can extend beyond grid applications to revolutionise industrial processes, creating broader environmental benefits. Additionally, thermal storage offers utilities and independent power producers (IPPs) a valuable opportunity to diversify revenue streams by providing renewable heat as a service, supporting industrial customers in their efforts to decarbonise their operations. What challenges does the GCC face in integrating LDES technologies into its energy systems? Alessandro Zampieri: The GCC's adoption of LDES is still in its early phases and the region currently faces several barriers to the integration of such technologies. Although the region has made notable progress in embracing renewable energy, comprehensive planning for LDES deployment is still underdeveloped. At present, LDES are not prominently featured in many energy planners' portfolios, and strategic long-term initiatives for these technologies are just beginning to take shape. Furthermore, the absence of clear regulatory frameworks for energy storage systems, combined with no market power prices in single-buyer utility models and the resulting lack of price signals for storage, creates uncertainty and deters investment. Additionally (and not limited to GCC region), the continued decline in lithium-ion battery costs poses a challenge for many emerging LDES technologies, particularly those targeting similar intraday storage durations. Competing directly with the scale, maturity, and established supply chain of lithium-ion batteries can make it difficult for LDES technologies to demonstrate a clear economic advantage. As a result, many LDES projects still require government support to bridge these gaps and achieve scalability. What are the various procurement models that can encourage LDES adoption in the GCC? Peter Ondko: Innovative procurement models are key to driving LDES adoption in the GCC. Renewables-plus-storage tenders, such as Germany's annual 'innovation tenders,' have successfully encouraged integrated solutions. Similarly, centralised mandates for LDES capacity, complemented by subsidies for first-of-a-kind projects, could catalyse investment. Aligning bid selection criteria to reflect the value of stacked services offered by LDES can further incentivise adoption. However, there is still a need for rigorous testing and validation of LDES technologies in the local context to ensure they meet specific regional requirements. Early deployment should focus on scaling the technology, validating its performance, and preparing for commercial applications. And LDES should be incentivised or properly remunerated when required to complement lithium-ion batteries to meet grid flexibility needs. These measures, combined with government-backed frameworks for public-private partnerships, can address challenges and maximise the adoption and effectiveness of energy storage technologies in the GCC.
