Energy Vault signs 1.25GW AI data centre power infrastructure agreement in Texas – EnergyShiftDaily
energy-vault-signs-1.25gw-ai-data-centre-power-infrastructure-agreement-in-texas

Energy Vault signs 1.25GW AI data centre power infrastructure agreement in Texas

Announced 7 August, Energy Vault will supply battery energy storage systems (BESS), grid-forming power conversion systems (PCS), and AI infrastructure control software, supporting an initial deployment totalling 1.25GW of power infrasturcutre for the undisclosed data centre customer. Image: Energy Vault.

Energy storage developer and system integrator Energy Vault has entered into a strategic agreement supporting hyperscaler AI data centres for a customer in Texas, US.

Announced 7 August, Energy Vault will supply battery energy storage systems (BESS), grid-forming power conversion systems (PCS), and AI infrastructure control software, supporting an initial deployment totalling 1.25GW of power infrasturcutre for the undisclosed data centre customer.

The company expects the agreement to generate approximately US$500-$600 million in revenue during the second half of 2026 and 2027.

The agreement combines Energy Vault’s products with the partner’s power generation capabilities, including generator sets and engineering, procurement, and construction (EPC) services from global equipment manufacturer Caterpillar. The integrated system is designed to provide grid-independent power for AI data centres and high-performance computing facilities.

This article requires Premium SubscriptionBasic (FREE) Subscription

Already a subscriber? Sign In

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or continue reading this article for free

Unlike conventional deployments where components operate independently, Energy Vault claimed the integrated system manages generation, storage, power conversion, and electrical infrastructure as a unified power plant.

AI computing workloads create variable power demands as GPU clusters scale up and down, generating transient voltage, frequency, and power quality requirements. The integrated architecture is designed to manage these fluctuations through real-time coordination of generation and storage assets.

Energy Vault’s control software functions as an operating system for the site’s power infrastructure, managing power flows, voltage and frequency stability, generator cycling, and fuel efficiency while responding to dynamic AI compute demands.

Initial deployments are expected within four to 12 months, operating independently of traditional utility interconnection schedules. The company claimed that the modular design allows customers to deploy AI infrastructure before permanent grid connection is available, with the option to integrate utility power, renewable generation, and additional distributed energy resources (DERs) as requirements expand.

In May, Energy Vault released its Q1 2026 financial results, noting expansion in the company’s project portfolio, AI infrastructure, and operations in Australia and Japan.

The company also positioned itself in a shift from EPC company to independent power producer (IPP), targeting PPAs with data centres and hyperscalers over tolling agreements or offtake deals with utilities.

Battery Asset Management Summit USA 2026 will be held 15-16 September in Garden Grove, California, hosted by Energy-Storage.news publisher Solar Media (part of the Informa Group). The agenda emphasises addressing the roles of AI, cybersecurity, and second-life applications, broken down into two tracks: Technical Asset Management and Commercial Asset Management. This year, the conference is also co-located with Solar & Storage Finance Summit USA. Visit the official site for more details.

Building on our successful global portfolio of energy storage network events including our successful Energy Storage Summit Australia, combined with the exponential buildout of large-scale energy storage, we are delighted to return for the inaugural Battery Asset Management Summit Australia in Sydney (25-26 August 2026). The Battery Asset Management Summit has been received worldwide with huge optimism and has quickly established itself as leading event series for connecting asset owners with optimisers, software providers, and many more.

You can expect to meet and network with all the key industry players again in 2025 from major US asset owners, operators, RTOs and ISOs, optimizers, software and analytics providers, technical consultancies, O&M technology providers and more.

Launching September 2026 in Berlin, Energy Storage Summit Germany is a new standalone event dedicated to Germany’s energy storage market. Bringing together investors, developers, policymakers, TSOs, manufacturers and optimisation specialists, the Summit explores the regulatory shifts, revenue models, financing strategies and technology innovations shaping large-scale deployment. With Germany targeting 80% renewables by 2030, it offers a focused platform to connect with the decision-makers driving the Energiewende and the future of utility-scale storage.

Now in its second edition, the Summit provides a dedicated platform for UK & Ireland’s BESS community to share practical insights on performance, degradation, safety, market design and optimisation strategies. As storage deployment accelerates towards 2030 targets, attendees gain the tools needed to enhance returns and operate resilient, efficient assets.

Read Next

On August 10, REPT BATTERO reported that its H1 2026 performance had already surpassed its 2025 full-year results, with residential storage cell shipments ranking first globally. The company also unveiled its new cell products for AIDC (AI Data Center), commercial vehicles, and low-altitude aircrafts.

A round-up of news from Europe’s BESS market, which includes Encavis and OX2 in Italy and Sunotec in Bulgaria.

Danish investment firm Copenhagen Infrastructure Partners (CIP) has reached financial close of the La Esperanza Solar energy storage-plus-solar PV project in the state of Campeche on Mexico’s Yucatán Peninsula.

Australia’s framework governing the energy obligations of large data centres advanced on multiple fronts last week.

Citicore has broken ground on the country’s first embedded solar integrated renewable energy and energy storage system (IRESS) facility.

Most Popular