LG Energy Solution announced on Thursday that its U.S. subsidiary, LG Energy Solution Vertech, has signed a $1.8 billion supply agreement with DTE Energy to develop battery energy storage systems (ESS). The deal, confirmed by the company, aims to support DTE Energy's grid reliability and renewable energy integration efforts.
The agreement covers the supply of LG's advanced battery storage technology, including containerized solutions, for projects in Michigan. DTE Energy, a major utility in the state, plans to use the systems to enhance grid stability and store excess renewable energy.
LG Energy Solution Vertech, based in the U.S., specializes in integrated ESS solutions. The partnership marks one of the largest ESS deals in North America, reflecting growing demand for energy storage as utilities transition to cleaner energy sources.
Financial terms were not disclosed beyond the $1.8 billion figure, which LG Energy Solution stated in a regulatory filing. The projects are expected to be delivered over several years, with specific timelines to be announced later.
