ESS Tech Inc. and LEAG signed an initial agreement to accelerate the clean energy transition through the deployment of renewable generation and long-duration energy storage (LDES) using ESS iron flow battery technology. Following the execution of definitive agreements and normal financial close, anticipated in Third Quarter 2023, LEAG and ESS plan to build a 50 MW /500 MWh iron flow battery system at the Boxberg Power Plant site, to be commissioned in 2027. The resulting 50 MW/500 MWh module is expected to become a standardized building block in LEAG's plan to deploy 2-3 GWh of storage in the transformation of the LEAG power plant locations.

LEAG and partners plan to invest €200 million with further support anticipated from additional investors and stakeholders. ESS has developed an iron-based LDES technology which uses safe and sustainable battery chemistry to deliver low-cost, utility-scale energy storage. ESS technology is currently manufactured at the company's facilities near Portland, Oregon, USA.

ESS systems have already been deployed in commercial microgrid systems, with utility-scale projects underway in the USA and Australia. LEAG is a leading operator of large-scale lignite mining and coal-fired generation in Eastern Germany that is implementing a vision to transform the coal-dependent region into Germany's Green Powerhouse. The company plans to develop 7-14 GW of renewable generation paired with 2-3 GWh of energy storage and 2 GW of green hydrogen production.

Combined, these technologies will create a net-zero-carbon baseload energy system. When fully operational, LEAG expects to demonstrate a renewable energy system at scale which not only replaces baseload coal generation, but uses short-duration storage, LDES and hydrogen to replace natural gas for grid balancing. LEAG and ESS have joined the Energy Resilience Leadership Group (ERLG), a multi-stakeholder initiative led by Breakthrough Energy and Siemens Energy that brings together corporate CEOs, political leaders, financial institutions, and startups at the technology frontier.

The Group was launched at the 2023 Munich Security Conference with the goal to enhance Europe's energy resilience by rapidly bringing emerging climate technologies to scale. ERLG forges partnerships between startups and corporates to work towards deploying commercially viable projects within 24 months. The project of LEAG and ESS is one of the projects that the ERLG network is helping to accelerate.