Announced 26 October, Samsung SDI signed the supply agreement through its Michigan, US-based subsidiary Samsung SDI America (SDIA). Including an initial contract signed late last year, the two agreements total 1.5GWh. Image: Andy Colthorpe / Solar Media.

South Korean battery and electronics materials manufacturer Samsung SDI has signed a 1GWh supply agreement with US IPP Alpha Omega Power (AOP).

Announced 26 October, Samsung SDI signed the supply agreement through its Michigan, US-based subsidiary Samsung SDI America (SDIA). Including an initial contract signed late last year, the two agreements total 1.5GWh.

AOP plans to deploy the battery energy storage system (BESS) solutions supplied by Samsung SDI designed for large-scale power projects and power demand growth, scheduled to begin construction in the Western Energy Coordinating Council (WECC) and Electric Reliability of Council of Texas (ERCOT) power markets next year.

Under the latest agreement, SDIA will supply its Samsung Battery Box (SBB) 1.7, a BESS solution featuring nickel cobalt aluminum (NCA) batteries. All cells and modules will be manufactured at the StarPlus Energy (SPE) plant in Kokomo, Indiana, and delivered by the end of this year.

Earlier this year, Samsung SDI announced that it had secured a KRW1.5 trillion (US$1 billion) deal to supply its BESS solution to an undisclosed company over a four-year period at its StarPlus Energy plant, a joint venture (JV) between Samsung SDI and automaker Stellantis.

According to SDIA, SBB 1.7 delivers 17% higher energy density than its predecessor, SBB 1.5, while maintaining the same 20-foot footprint. The BESS also incorporates AI-powered algorithms for early anomaly detection and battery life prediction and is designed for 25 years of continuous use.

Further, SBB 1.7 has obtained NFPA 855 certification for the installation of stationary energy storage systems, and UL 9540, a safety standard for ESS. The BESS also incorporates Samsung SDI’s proprietary Enhanced Direct Injection (EDI) technology, which directly injects fire-extinguishing agents into individual battery modules.

In March, Hanjung America, a subsidiary of South Korea-based battery manufacturer Hanjung NCS announced it would build its first US ESS manufacturing facility in the US, supplying cooling systems and advanced direct injection fire extinguishers for BESS, supporting the supply chain for the StarPlus Energy manufacturing plant.

Reported in August that Samsung SDI returned to operating profit in Q2 after a strong battery sales rebound and remains on track to begin US LFP cell production for BESS, with demand for its ESS business expected to stay robust even if AI data centre growth slows.