Jupiter Power and Recurrent Energy have secured a combined US$469 million financing for battery energy storage system (BESS) projects in Michigan and Texas, US totalling 1GWh.
Jupiter Power secures US$286 million for two BESS projects totalling 300MW/800MWh
US BESS project developer-operator Jupiter Power has closed US$286 million in project financing to support the construction of two BESS projects totalling 300MW/800MWh.
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The 100MW Tibbits BESS located in Michigan and the approximately 200MW Tidwell Prairie BESS located in Texas are both expected to reach commercial operations later this year (the announcement didn’t give individual megawatt-hour figures).
The US$286 million credit facilities consist of construction loans, tax equity bridge loans and a letter of credit facility.
UK-headquartered Barclays Bank PLC and HSBC Bank USA served as coordinating lead arrangers on the deal.
In June 2024, Consumers Energy, one of eight investor-owned utility (IOU) companies in Michigan, signed a long-term power purchase agreement (PPA) with Jupiter Power for the Tibbits BESS.
The PPA has a fixed energy payment of US$14.54 per MWh for the plant’s capacity, energy, renewable energy credits, and environmental attributes.
In the same year, the Michigan Public Service Commission (MPSC) approved an application from Consumers Energy Co. for a PPA with Voyager Energy Storage for a 100MW/400MWh battery energy storage facility.
Energy-Storage.news research of these PPA documents revealed that developer Jupiter Power operates Voyager Energy Storage.
The Tidwell Prairie project is under a long-term tolling agreement with an undisclosed party.
The BESS is located in Robertson County, Texas, which is primarily served by utility Navasota Valley Electric Cooperative (NVEC).
The county is also home to utilities Entergy Texas, Bryan Texas Utilities and Hearne, Texas Electric Utility.
Jupiter Power, operating under Tidwell Prairies II entered into an interconnection agreement with utility Texas-New Mexico Power (TNMP) on 13 January.
TXNM Energy, the holding parent company for TNMP, has pledged to achieve 100% carbon-free power generation by 2040 across its subsidiaries.
Recurrent Energy secures US$183 million for 200MWh Texas BESS
Also, in Texas, developer Recurrent Energy, a subsidiary of Canadian Solar, has closed a US$183 million financing for its 200MWh Fort Duncan Storage project. Located in Maverick County, Texas, the BESS is under construction and expected operational by summer of this year.
The Texas market will be a big focus of next week’s Energy Storage Summit USA 2025 in Dallas.
In August 2024, Energy-Storage.news reported that Recurrent was seeking a loan from financial institution North American Development Bank (NADBank) to fund the construction of the Fort Duncan project (Premium access article).
Black Mountain Energy Storage (BMES) carried out the initial development of the Fort Duncan BESS facility before Recurrent acquired it as part of a two-project portfolio in June 2022.
German-headquartered bank Nord/LB led the newly announced project financing, which included a construction and term loan, a tax equity bridge loan, and a letter of credit facility totalling US$112 million.
Recurrent also executed a US$71 million tax equity partnership with Greenprint Capital.
e-Storage, Canadian Solar’s energy storage subsidiary will supply the energy storage systems for the project.
Full-service engineering, procurement, and construction (EPC) contractor Burns & McDonnell is constructing the project.
Recurrent says the project will employ approximately 75 workers during the peak of construction.
Fort Duncan Storage will operate on a merchant basis, storing and dispatching power to the Electric Reliability Council of Texas (ERCOT) grid in response to market demand.
Recently, Canadian Solar secured battery supply agreements and long-term service agreements through e-Storage for two US BESS projects developed by Aypa Power, in the ERCOT and California markets.
While it is unconfirmed which systems will be deployed for the Fort Duncan project, the two previously announced projects will deploy approximately 370 of e-Storage’s SolBank 3.0 BESS containers.
