Swedish renewable energy developer Eolus has reached an agreement with a privately held US renewable energy producer to sell its Pome battery energy storage project in Poway, California, US.
The 100MW/400 megawatt-hour (MWh) project, which is currently under construction, is expected to commence commercial operation in H1 2025.
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Eolus has been developing the Pome project since 2019 and began construction in 2023 following an investment decision.
The Pome project also includes a ten-year tolling agreement with a California load-serving entity, allowing the end user to utilise the battery system for electricity storage, management and dispatch to customers.
Eolus CEO Per Witalisson said: “I am excited that Eolus has successfully executed another transaction in the US. Through competent project development, we have created significant value and achieved a good margin on this project.
“There is a strong market for energy storage and renewable energy projects in the U.S. and our investments made in the region since 2015 are paying off.”
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By GlobalDataThe enterprise value of the project is estimated at between $230m and $235.5m.
This transaction marks Eolus’ fourth project sale in the US. The sale is contingent on certain conditions and is due to be finalised in the first quarter of 2025.
Eolus North America country manager Hans-Christian Schulze said: “Pome will add valuable support to the energy system in California while realising significant value for Eolus and its shareholders.
The batteries are currently being installed onsite and our dedicated team is steering the project toward a successful delivery to its new owner.”
In February last year, Eolus applied for approval of a 1GW offshore wind project, Blekinge Offshore, located 11km from the coast in the Blekinge region of Sweden.
The ownership of the Blekinge project is divided between Eolus and Vingkraft, the local company that originally initiated it.
