LG Energy Solution's Shares Surge After Major U.S. Battery Storage Deal Shares of LG Energy Solution closed 15.25% higher on Thursday after its U.S. unit, LG Energy Solution Vertech, secured a $1.6 billion contract to supply battery cells for DTE Energy’s storage projects in Michigan. The deal, reported by Yonhap, involves eight projects that will deliver 1.5 gigawatts of battery storage capacity, equivalent to 6 gigawatt-hours. This allows electricity to be stored during periods of excess generation and distributed to customers as needed. The company’s press release highlighted the significance of the agreement, emphasizing its role in supporting energy storage initiatives in the U.S. Jaehong Park, CEO and president of LG Energy Solution Vertech, stated, “As more U.S.-made energy storage projects are added to the energy grid, we’re building opportunities for advanced roles in the state that support our national energy needs.” The South Korean battery company has been expanding its energy storage systems business in the United States, leveraging a production network in North America that includes three standalone facilities and two joint venture facilities. The company emphasized its commitment to meeting growing customer demand for locally produced batteries, noting that its production network enables it to secure over 50 gigawatt-hours of battery production capacity in the region by the end of the year. This capacity target was outlined in a statement released in April. Shares of LG Energy Solution rose as much as 16.56% earlier in the session, reflecting investor reaction to the deal. The $1.6 billion contract is tied to the eight projects, which will provide 1.5 gigawatts of storage capacity. The deal is expected to support the company’s operations in the U.S.#michigan #lg_energy_solution #lg_energy_solution_vertech #dte_energy #yonhap
