2025.03.07About the Grid-Scale Battery Energy Storage Project in Kumamoto Prefecture

—Promoting the Development of the First Project Following the Business Alliance—

　A special-purpose company funded by Daiwa Energy & Infrastructure Co., Ltd. (hereinafter, "DEI") (hereinafter, "DEI-SPC") and a special-purpose company funded by Gotion Japan Co., Ltd. (hereinafter, "Gotion Japan") (hereinafter, "Gotion-SPC") entered into an agreement on February 20, 2025, under which Gotion-SPC transfers the development rights to DEI-SPC (hereinafter, the "Rights Transfer Agreement") for the grid-scale battery energy storage project in Kumamoto Prefecture being developed by Gotion-SPC (hereinafter, the "Project").

　DEI, Gotion Japan, the Japanese subsidiary of Gotion High-Tech, a leading lithium battery manufacturer, and CO2OS Co., Ltd. (hereinafter, "CO2OS"), which is expected to be responsible for the operation and maintenance of the facility, share the common理念 of contributing to improvements in the power system and entered into a business alliance to aim to deploy 1 GWh of Gotion High-Tech-manufactured energy storage batteries in Japan over a two-year period^※1on March 1, 2024.

　Following the business alliance, Gotion Japan accelerated its consideration of grid-scale battery energy storage projects, DEI conducted a business feasibility assessment, and CO2OS provided technical support with a view to undertaking maintenance and inspection services. For the Project, CO2OS's technical due diligence of the energy storage batteries and DEI's business feasibility assessment have now been completed, and Gotion-SPC and DEI-SPC have entered into the Rights Transfer Agreement. Going forward, DEI-SPC plans to proceed with the development of the Project with the aim of commencing operations in 2028.

Project Overview

 
Project Scheme (scheduled)
 

Signing Ceremony for the Rights Transfer Agreement
 

*Top right: Cheng, President for the Asia-Pacific Region, Gotion High-Tech; top center: Chairman Kobayashi, DEI; top left: President and Representative Director Kobayashi, CO2OS; bottom right: President and Representative Director Matsuda, DEI; bottom left: Zhang Dong, General Manager for East Asia, Gotion High-Tech

*Group photo of the attendees at the signing ceremony

　As a specialist company for renewable energy and infrastructure investments within the proprietary investment division of the Daiwa Securities Group, DEI actively invests broadly in renewable energy assets, including solar power plants and offshore wind power plants, in Japan and overseas, as well as in power transmission businesses, and had approximately JPY 170 billion in investments as of the end of September 2023. In the energy storage field, DEI made an investment in a large-scale grid-scale battery energy storage project in Hokkaido in 2023^※2and has pursued a broad range of pioneering investment activities, including an energy storage project co-located with a solar power plant^※3that commenced operations in February 2024. Going forward, DEI will further accelerate its investments in the energy storage field and continue to contribute to solving social issues.

　Gotion High-Tech is a global leading manufacturer of lithium batteries and operates large-scale energy storage businesses, including grid-scale battery energy storage projects, in countries around the world, in addition to electric vehicle and residential energy storage batteries. Gotion High-Tech has a competitive advantage through the vertical integration of its supply chain, from raw material production to recycling, and has a track record of adoption in 10 countries worldwide. Gotion Japan was established in Tsukuba City, Ibaraki Prefecture, in March 2017 for the purpose of developing advanced materials for next-generation batteries. It began selling electric vehicle and grid-scale battery energy storage systems in 2022 and has also invested in energy storage facilities since 2023.

 
*1 Collaboration to Expand Initiatives in the Energy Storage Business Field <20240321.pdf (daiwa-ei.jp)＞
*2 About the Large-Scale Grid-Scale Battery Energy Storage Project <20230929.pdf (daiwa-ei.jp)＞
*3 Commencement of Operations of a Battery Energy Storage System Co-Located with a Solar Power Plant in Kagoshima Prefecture <20240227.pdf (daiwa-ei.jp)＞

 
Daiwa Energy & Infrastructure Co., Ltd.
URL: Daiwa Energy & Infrastructure Co., Ltd. (daiwa-ei.jp)

 
CO2OS Co., Ltd.
URL: CO2OS Co., Ltd. (co2o-s.com)

 
(For Reference) Daiwa Securities Group's Sustainability Initiatives:
Sustainability|Daiwa Securities Group Inc. (daiwa-grp.jp)