Flatiron Energy secures $850 million for Massachusetts battery project

Flatiron Energy has secured approximately $850 million in financing commitments for the Energizar Project, a 1,200 megawatt-hour (MWh) battery energy storage system (BESS) located in Chelsea, Massachusetts.

Upon completion, the facility is expected to be the largest battery storage system on the U.S. East Coast and one of the largest urban battery storage projects globally. The project is designed to support the Boston power grid by providing capacity and peaking energy during periods of high demand, thereby enhancing grid stability and reliability.

The financing package utilizes a diverse structure, including construction and bridge loans, term loans, letters of credit, preferred equity commitments, and investment tax credit transfers. A consortium of financial institutions coordinated the arrangement, led by Nord/LB, Santander, and Société Générale, with Investec and East West Bank serving as joint lead arrangers. Siemens Financial Services also participated as a lender.

The Energizar Project is scheduled to reach commercial operation in the fourth quarter of 2027.