53MW BESS to be distributed across Six Sites
Leclanché S.A. has formally received a USD 28.9 million (CHF 27.9 million) purchase order to deliver one of the world's largest stationary storage systems to Independent Electricity System Operator (IESO) in Ontario. This purchase order, covering the primary battery and power conversion equipment for the project, is part of the previously announced USD 45.0 million project construction scope to be managed by Leclanché.
The IESO order represents LeclanchÃ©â€™s first major project in North America where the company is positioning itself to become a leader in the fast-growing North American energy storage market. When installed, the 53 MWh Ontario project, to be distributed across six separate sites will be one of the largest battery energy storage system (BESS) projects in operation in the world. LeclanchÃ© has partnered with Deltro Energy Inc. which will procure, design and construct the site facilities, balance of plant scope and high voltage connections to the grid. The company is targeting the completion of the initial phases of the project on schedule in late 3Q 2016, despite a minor fire which occurred earlier this month in part of its factory in Willstaett, Germany.
The company also received a USD 6.0 million (CHF 5.8 million) revolver credit insurance policy from Swiss Export Risk Insurance (SERV), the Swiss government sponsored insurance company, which has already worked with LeclanchÃ© on its Graciosa Island project. The revolver facility provides additional working capital, which brings another positive impact on the growth cash needs of the company. This new agreement demonstrates continuous support from SERV with the assignment of the insurance policy for the Ontario Battery Storage System (BSS) supply.
This single purchase order represents a 53 percent increase to the Companyâ€™s 2015 turnover. â€œOur strategy and execution proves that in todayâ€™s economic environment, Swiss industrial companies can successfully compete globally in high-technology and fast growth markets to deliver value,â€ said Anil Srivastava, CEO, LeclanchÃ©. â€œWe continue to win industry landmark projects thanks to our vertically integrated energy storage system offering and world-class turnkey project delivery capabilities.â€
â€œThe company is building upon investments already made and scaling up its operation to deliver between 150MWh to 200MWh of industrial grade energy storage systems in 2017, thus firmly putting ourselves on the path to delivering sustainable profitable growth,â€ said Srivastava.