Canadian Solar's e-STORAGE to Deliver Battery Energy Storage Solutions to Root-Power's Coryton Project in the UK

Rhea-AI Summary

Canadian Solar's e-STORAGE has been awarded a contract to deliver 11 MW AC / 22 MWh AC energy storage solutions for Root-Power's Coryton Energy Park project in Essex, England. The project will utilize Canadian Solar's latest proprietary solution, SolBank 3.0, which offers a 45% increase in product-level capacity compared to its predecessor. Root-Power plans to build over 1 GWh energy storage systems in the UK over the next 3-4 years.

SolBank 3.0 features high-density LFP cells, an active balancing BMS, and an innovative liquid cooling TMS. Its compact design offers significant land cost savings and streamlined commissioning. Root-Power aims to add 150 MWh of storage capacity to its portfolio in 2024 and 2025, contributing to the UK's grid enhancement and renewable energy landscape.

Positive

• Secured 11 MW AC / 22 MWh AC energy storage contract for UK project
• SolBank 3.0 offers 45% increase in product-level capacity
• Potential for future contracts with Root-Power's 1 GWh UK expansion plan
• SolBank 3.0 provides land cost savings and efficient commissioning

Negative

• None.

Insights

Energy Market Analyst

Canadian Solar's recent contract to supply energy storage solutions for Root-Power's Coryton Energy Park is quite an important deal within the energy sector. This project underlines the increasing importance of battery energy storage systems (BESS) in supporting the integration of renewable energy into the grid. The use of the new SolBank 3.0, with its higher capacity and advanced features, marks a significant step forward in efficiency and cost-effectiveness. For investors, this move positions Canadian Solar as a formidable player in the fast-growing renewable energy storage market.

The deployment of over 1 GWh energy storage systems in the UK over the next few years can significantly increase Canadian Solar's market visibility and revenue streams. Short-term, this contract reflects positively on the company's innovation and reliability, which can drive investor confidence and potentially enhance stock performance. Long-term, the project's success can lead to further opportunities and partnerships in the UK and other markets.

Technical Expert

The integration of Canadian Solar's SolBank 3.0 in the Coryton project showcases technological advancements in the battery storage industry. The SolBank 3.0's use of high-density lithium-iron-phosphate (LFP) cells, coupled with an advanced Battery Management System (BMS) and Thermal Management System (TMS), highlights the product's efficiency and safety improvements. LFP cells are known for their stability and longer lifespan, which are important for long-term energy storage solutions.

The compact design achieving over 5 MWh nominal capacity within a 20-ft container is particularly notable as it provides significant land cost savings. For large-scale projects, such innovations can result in substantial cost reductions and operational efficiencies. From an investor's perspective, these technical enhancements not only emphasize Canadian Solar's competitive edge but also potentially translate into higher returns on investment due to reduced project costs and improved performance.

Market Research Analyst

The collaboration between e-STORAGE and Root-Power for the Coryton Energy Park project is strategically well-timed given the UK's ongoing efforts toward decarbonization. The commitment to add over 1 GWh of energy storage systems aligns with governmental policies and public sentiment favoring renewable energy. This increasing demand for energy storage solutions opens up substantial market opportunities for Canadian Solar.

Furthermore, the mention of Canadian Solar's strong ESG and supply chain management performance by Root-Power adds another layer of attractiveness to their offerings. ESG factors are becoming increasingly critical in investment decisions. Companies excelling in these areas often enjoy better valuation and investor trust. This project could thus enhance Canadian Solar's brand reputation and investor appeal, potentially impacting its stock positively.

GUELPH, ON, July 18, 2024 /PRNewswire/ -- Canadian Solar Inc. (the "Company" or "Canadian Solar") (NASDAQ: CSIQ) today announced that e-STORAGE, which is part of the Company's majority-owned subsidiary CSI Solar Co., Ltd. ("CSI Solar"), has been awarded a contract of 11 MW AC / 22 MWh AC energy storage solutions by Root-Power Ltd. ("Root-Power"), part of the YLEM Group. The energy storage solutions will be used for Root-Power's Coryton Energy Park project, in Corringham, Essex, England. Construction of the project started in late May 2024.

e-STORAGE and Root-Power have entered into an Energy Storage Supply Agreement and Long-Term Service Agreement. Root-Power plans to build over 1 GWh energy storage systems in the UK, over the next three to four years.

The Coryton project will employ Canadian Solar's SolBank 3.0, the Company's latest proprietary energy storage solution. SolBank 3.0 achieves over 5 MWh nominal capacity within a 20-ft container, marking a 45% increase in product-level capacity compared to the previous iteration. Certified under UL standards for safety and performance, SolBank 3.0 features high-density lithium-iron-phosphate (LFP) cells, an active balancing Battery Management System (BMS), and an innovative liquid cooling Thermal Management System (TMS).

With its superior energy density and compact design, SolBank 3.0 offers significant land cost savings, making it an economical choice for large-scale projects adapted to UK project requirements. The battery's intelligent control system and plug-and-play setup also streamline commissioning, ensuring projects are completed on time.

Neil Brooks, Managing Director of Root-Power, said: "We look forward to working with e-STORAGE to enhance the UK's grid at Coryton Energy Park, and we plan to add 150 MWh of storage capacity to our portfolio in 2024 and 2025. We selected the e-STORAGE product based on Canadian Solar's proven track record in the delivery of these systems and the Company's strong performance in ESG and supply chain management.

As the UK continues to decarbonize, energy storage will be crucial for storing renewable energy on days when it may not be as windy or sunny to meet our energy needs. We are committed to contributing to a greener, more sustainable future and growing the UK's renewable energy landscape."

Colin Parkin, President of e-STORAGE, added, "We are excited to announce another project in the UK, delivering the new SolBank 3.0 to Coryton for our partners at Root-Power. At e-STORAGE, we are proud to be a trusted partner in the country's transition to green energy."

About Canadian Solar Inc.

Canadian Solar was founded in 2001 in Canada and is one of the world's largest solar technology and renewable energy companies. It is a leading manufacturer of solar photovoltaic modules, provider of solar energy and battery energy storage solutions, and developer of utility-scale solar power and battery energy storage projects with a geographically diversified pipeline in various stages of development. Over the past 23 years, Canadian Solar has successfully delivered over 125 GW of premium-quality, solar photovoltaic modules to customers across the world. Likewise, since entering the project development business in 2010, Canadian Solar has developed, built, and connected over 10 GWp of solar power projects and 3.3 GWh of battery energy storage projects across the world. Currently, the Company has over 1.2 GWp of solar power projects in operation, 6.5 GWp of projects under construction or in backlog (late-stage), and an additional 19.8 GWp of projects in advanced and early-stage pipeline. In addition, the Company has 600 MWh of battery energy storage projects in operation and a total battery energy storage project development pipeline of around 56 GWh, including approximately 4.3 GWh under construction or in backlog, and an additional 51.6 GWh at advanced and early-stage development. Canadian Solar is one of the most bankable companies in the solar and renewable energy industry, having been publicly listed on the NASDAQ since 2006. For additional information about the Company, follow Canadian Solar on LinkedIn or visit www.canadiansolar.com.

e-STORAGE is a subsidiary of Canadian Solar and a leading company specializing in designing, manufacturing, and integrating battery energy storage systems for utility-scale applications. e-STORAGE offers proprietary battery energy storage solutions, comprehensive EPC services, and innovative solutions aimed at improving grid operations. Currently, e-STORAGE operates two fully automated, state-of-the-art manufacturing facilities with an annual production capacity of 20 GWh energy storage solutions. For more info, please refer to the Media&PR section of www.csestorage.com and follow the LinkedIn.

About Root-Power

Root-Power is a leading battery energy storage system (BESS) specialist, building, owning, and operating storage sites across the UK. It is part of the YLEM Group. Root-Power specializes in delivering state-of-the-art storage systems that support the electricity grid and renewable energy generation, enabling the smooth transition to Net Zero. To find out more about Root-Power, please visit www.root-power.com.

 Safe Harbor/Forward-Looking Statements 

Certain statements in this press release are forward-looking statements that involve a number of risks and uncertainties that could cause actual results to differ materially. These statements are made under the "Safe Harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by such terms as "believes," "expects," "anticipates," "intends," "estimates," the negative of these terms, or other comparable terminology. Factors that could cause actual results to differ include general business, regulatory and economic conditions and the state of the solar and battery storage market and industry; geopolitical tensions and conflicts, including impasses, sanctions and export controls; volatility, uncertainty, delays and disruptions related to the COVID-19 pandemic; supply chain disruptions; governmental support for the deployment of solar power; future available supplies of high-purity silicon; demand for end-use products by consumers and inventory levels of such products in the supply chain; changes in demand from significant customers; changes in demand from major markets, such as Japan, the U.S., China, Brazil and Europe; changes in effective tax rates; changes in customer order patterns; changes in product mix; changes in corporate responsibility, especially environmental, social and governance ("ESG") requirements; capacity utilization; level of competition; pricing pressure and declines in or failure to timely adjust average selling prices; delays in new product introduction; delays in utility-scale project approval process; delays in utility-scale project construction; delays in the completion of project sales; continued success in technological innovations and delivery of products with the features that customers demand; shortage in supply of materials or capacity requirements; availability of financing; exchange and inflation rate fluctuations; litigation and other risks as described in Canadian Solar's filings with the Securities and Exchange Commission, including its annual report on Form 20-F filed on April 26, 2024. Although Canadian Solar and Recurrent Energy believe that the expectations reflected in the forward-looking statements are reasonable, it cannot guarantee future results, level of activity, performance, or achievements. Investors should not place undue reliance on these forward-looking statements. All information provided in this press release is as of today's date, unless otherwise stated, and Canadian Solar and Recurrent Energy undertake no duty to update such information, except as required under applicable law.

CANADIAN SOLAR INC. INVESTOR RELATIONS CONTACT
Wina Huang
Investor Relations
Canadian Solar Inc.
investor@canadiansolar.com 

e-STORAGE MEDIA INQUIRIES
Simona Marginean
e-STORAGE Marketing Manager
simona.marginean@csestorage.com

View original content:https://www.prnewswire.com/news-releases/canadian-solars-e-storage-to-deliver-battery-energy-storage-solutions-to-root-powers-coryton-project-in-the-uk-302200080.html

SOURCE Canadian Solar Inc.

FAQ

What is the capacity of the energy storage contract awarded to Canadian Solar's e-STORAGE for the Coryton project?

Canadian Solar's e-STORAGE has been awarded a contract for 11 MW AC / 22 MWh AC energy storage solutions for Root-Power's Coryton Energy Park project in Essex, England.

How much has the capacity of SolBank 3.0 increased compared to its predecessor?

SolBank 3.0, Canadian Solar's latest proprietary energy storage solution, achieves a 45% increase in product-level capacity compared to the previous iteration.

What are Root-Power's plans for energy storage system deployment in the UK?

Root-Power plans to build over 1 GWh of energy storage systems in the UK over the next three to four years, including 150 MWh of storage capacity to be added to their portfolio in 2024 and 2025.

What are the key features of Canadian Solar's SolBank 3.0 energy storage solution?

SolBank 3.0 features high-density lithium-iron-phosphate (LFP) cells, an active balancing Battery Management System (BMS), an innovative liquid cooling Thermal Management System (TMS), and offers significant land cost savings due to its compact design.