LG Energy Solution of South Korea Secures Energy Storage Orders, Plans Capacity Expansion to 70 GWh

en.Wedoany.com Reported - On November 3, LG Energy Solution of South Korea released its third-quarter 2026 operating results and energy storage business progress. The company secured its first direct supply contract for behind-the-meter battery energy storage systems (BTM BESS) from a major technology company, and plans to expand its annual energy storage battery production capacity in North America from more than 50 GWh by the end of 2026 to more than 70 GWh by the end of 2027. The company will implement its expansion plan by converting existing electric vehicle battery production lines, building new prismatic energy storage battery lines, and expanding local system integration capabilities.

The newly added contract involves behind-the-meter energy storage systems for a major technology company. LG Energy Solution will leverage its localized battery supply capacity in North America and energy storage system integration technology to provide the relevant products. The company has also obtained NVIDIA DSX Ready BESS partner qualification. The relevant products use high-capacity lithium iron phosphate batteries and AC Link AC-coupled systems, and can be used for energy storage facilities supporting artificial intelligence data centers.

In terms of production facility construction, LG Energy Solution has completed the construction of a new battery connection process line in Arizona, USA, and is expanding battery pack production capacity in Ohio in phases. The company also plans to convert more existing pouch-type power battery lines to energy storage battery production and add dedicated prismatic energy storage battery lines to achieve its North American energy storage battery capacity expansion targets.

LG Energy Solution is adjusting its raw material supply system for energy storage batteries, increasing the number of lithium iron phosphate cathode material suppliers, and has secured long-term supply arrangements for key raw materials such as lithium concentrate and lithium carbonate in North America. The company plans to expand its lithium iron phosphate cathode material suppliers that meet the requirements for non-restricted foreign entities to at least four.

According to the third-quarter results announcement, LG Energy Solution recorded revenue of approximately KRW 9.6 trillion for the quarter, up 27.6% quarter-on-quarter; operating profit was KRW 756 billion, with an operating margin of 7.8%. Increased shipments of North American energy storage batteries were one of the factors driving revenue growth in the quarter, and the gradual stabilization of operations at North American energy storage production facilities also improved related production cost performance.