SMM

Recently, Spanish renewable energy developer Grenergy signed a large-scale supply contract with CATL, under which CATL will provide a 1.25GWh EnerX energy storage system for its Oasis de Atacama Phase IV project in Chile. The total capacity of the project is 4.1GWh, and BYD had previously secured orders for a total of 3GWh energy storage systems for the first three phases of the project.

The project is expected to deploy a scale of 310MW/1240MWh, using CATL's EnerX containerized energy storage system. The EnerX energy storage system is one of the energy storage systems produced by CATL, with a discharge duration of 4 hours and an energy storage capacity of 5.64MWh per system, utilizing CATL's 530Ah lithium-ion battery cells.

CATL is actively preparing for the mass production of its 530Ah battery cells and has demonstrated its ambition in the energy storage market through system integration and project collaboration. The mass production of the 530Ah battery cells will help reduce costs, increase energy density, and decrease the number of structural components and system accessories required. The second phase of the Guangdong Ruiqing Times lithium-ion battery production project is expected to be completed by year-end 2024, which will support the large-scale production of the 530Ah battery cells.

The project layout shows that the energy storage system is divided into two main parts, strategically placed between designated wetland and agricultural areas. The project also involves the delineation of wetland resource areas and corresponding protective measures, such as a 25-foot "buffer zone" and a 50-foot "no-build zone." Due to the proximity to wetlands, additional buffer zones may be required, but this is unlikely to affect the project capacity due to advancements in energy storage system technology. For example, the capacity of the EnerX system has increased from 5.28MWh to 5.64MWh.

The project has been submitted to ISO New England for a feasibility study to assess the potential for power grid connection and the operational timetable. The project has been approved for connection through National Grid's Ward Hill 345 kV substation. Although Hecate Energy aims to launch the project by June 1, 2026, ISO New England's FERC filings indicate that the transmission upgrades required under the network capability interconnection standard may not be completed until the 2027-2028 capacity commitment period, starting June 1, 2027. Hecate Energy has already submitted permit documents to the Haverhill Conservation Commission for the deployment of the Ward Hill energy storage system and has submitted the project deployment plan to the ISO New England Reliability Committee.