Wedoany.com Report-Sept. 17, Flatiron Energy, based in Colorado, has successfully secured a USD 540 million (EUR 456.1 million) financing deal to support its 200-MW/800-MWh Taft Battery Energy Storage System (BESS) project in Massachusetts. The financing package, announced on September 16, includes construction loans, term loans, bridge loans, and letters of credit from a consortium of lenders. The deal was coordinated by First Citizens Bank and Nord/LB.

Battery energy storage system.

In addition to the loans, the funding arrangement includes a preferred equity investment from funds managed by a global credit asset manager, and a forward commitment from a Fortune 500 corporation. This forward commitment will allow for the transfer of a portion of the project’s Investment Tax Credits (ITCs).

The funds will support both the construction and operation of the Taft Battery system, located in Uxbridge, Worcester County. The facility is expected to begin commercial operations in late 2026. Once completed, the project will significantly enhance energy storage capacity in the region.

Flatiron Energy, headquartered in Boulder, is a portfolio company of Hull Street Energy. The company specializes in the development, ownership, and operation of standalone utility-scale battery storage systems across the Northeast and Mid-Atlantic regions of the U.S. It serves a wide range of clients, including local communities, property owners, and electricity consumers.

This project is a significant step forward in energy storage technology and aligns with the growing demand for sustainable and reliable energy solutions in the U.S. energy market. The Taft BESS project is expected to play a critical role in balancing supply and demand on the electric grid, especially as renewable energy sources become more prevalent.

The financing marks a major achievement for Flatiron Energy, strengthening its position in the competitive energy storage market while contributing to the ongoing transition to cleaner energy solutions.