LG Energy Solution, a leading Korean battery manufacturer, announced Tuesday that it will participate in a large-scale energy storage system project led by Poland’s state-run power company.
Under the contract signed with Polska Grupa Energetyczna, also known as PGE, LG Energy Solution will supply lithium iron phosphate batteries for a 981 megawatt-hour ESS facility, starting in 2026. According to PGE, the deal is valued at 1.55 billion Polish zloty ($401 million).
Held in Warsaw on Monday, the signing ceremony was attended by Polish State Assets Minister Jakub Jaworowski, Finance Minister Andrzej Domanski and Korean Ambassador to Poland Lim Hoon-min, along with executives from both companies, including PGE CEO Dariusz Marzec, Vice President Maciej Gorski, LG Energy Solution's ESS division Vice President Kim Hyung-sik and LG Energy Solution Wroclaw President Lee Jang-ha.
Alongside battery cells, LG Energy Solution will deliver a comprehensive solution, including containerized ESS battery systems as well as engineering, procurement and construction services.
The facility, designed to support renewable energy, is scheduled to begin operations in northern Poland in 2027.
"We are excited to enter a new era of energy storage with the construction of our first large-scale battery energy storage facility in Zarnowiec," said CEO Marzec.
"Our partnership with LG Energy Solution marks a major milestone in our commitment to advancing Poland's clean energy transition, and we look forward to strengthening our collaboration to foster sustainable growth in the region."
The LFP batteries for this project will be produced at LG Energy Solution’s Wroclaw plant in Wroclaw, Poland, marking the first ESS battery supply from the European facility.
Despite being one of the largest plants for electric vehicle batteries in Europe, with an annual capacity of 90 GWh, the Wroclaw plant has been shifting some production lines to ESS battery manufacturing in response to sluggish demand for EVs.
"This project is one of the largest ESS initiatives LG Energy Solution has undertaken in Europe," said Vice President Kim. "By launching LFP-based products designed specifically for the European market and leveraging our local production capabilities, we have maximized customer value."
With European countries increasingly prioritizing energy infrastructure made in the region for a stable power supply, LG Energy Solution plans to expand ESS battery production at the Wroclaw plant, pursuing additional large-scale energy storage projects in the region.
forestjs@heraldcorp.com
