He supply of 18 GWh of LFP batteries this is the core of the agreement reached between SK On and NeoVolta Power to strengthen the manufacturing of energy storage systems in the United States, the operation will run for five years and includes LFP cells and battery packs produced in the country, the agreement includes an initial delivery of 9 GWh of lithium iron phosphate (LFP) cells manufactured by SK On in the United States. These batteries will be used in NeoVolta Power’s energy storage systems between 2027 and 2031. The collaboration incorporates an additional 9 GWh under a reciprocal arrangement. SK On will supply the cells, and NeoVolta Power will integrate them into storage packs that will subsequently be sold to the South Korean manufacturer.
Supply of 18 GWh of LFP batteries between SK On and NeoVolta
The structure of the operation reaches a combined volume of 18 GWh and allows both companies to participate in different stages of the manufacturing chain of energy storage systems SK On will act as the LFP cell supplier, while NeoVolta Power will contribute its capabilities to integrate and manufacture BESS packs. The agreement also makes SK On the preferred cell supplier for NeoVolta Power’s storage products based on bag-type LFP technology. Lithium iron phosphate cells have gained traction in stationary applications, particularly in grid-connected energy storage projects, to serve this market, SK On will be able to leverage some of its existing lithium-ion battery manufacturing infrastructure in the United States.
Georgia gains ground in LFP battery manufacturing
US production is a core component of the alliance. SK On maintains industrial capacity in Georgia through SK Battery America (SKBA), its subsidiary located in Commerce, this manufacturing presence allows the group to adapt existing lines to produce LFP cells for BESS systems. Local capacity is gaining importance as US developers seek to increase the domestic content of their projects, reduce dependence on imported batteries this move comes as South Korean manufacturers like LG Energy Solution and Samsung SDI expand their presence in the US energy storage market, in this context, having locally manufactured cells becomes crucial for projects seeking to meet tax incentive requirements and restrictions on certain foreign components.
NeoVolta Power accelerates its BESS factory in Pendergrass
NeoVolta Power plans to use SK On’s supply to accelerate the development of its industrial platform in Pendergrass, Georgia, the plant was initially designed with an annual capacity of 2 GWh and can be expanded to 8 GWh. The company expects to reach 8 GWh annually with two production lines by 2030, the first line is progressing toward commissioning, with subsequent production ramp-up planned.
NeoVolta Power was established as a joint venture between NeoVolta, PotisEdge, and LONGi, NeoVolta holds a 60% majority stake, LONGi owns 20%, and the remaining percentage is held by strategic investors. The transaction also expands NeoVolta’s reach beyond its previous expertise in residential energy storage to include commercial and industrial applications and larger-scale projects for utility companies.
SK On expands its energy storage business in the US
The agreement is also part of SK On’s broader strategy to grow in the US energy storage market, the company is already developing its own line of BESS systems under the GridOn brand. Its Gen2 GridOn platform offers between 4.5 and 5.7 MWh of usable storage capacity, with one, two, and four-hour configurations. The United States is one of the priority markets for this product range.
In September 2025, SK On also agreed to supply 7.2 GWh of DC battery systems to Flatiron Energy using cells produced by SK Battery America, with this new agreement, SK On strengthens its presence in the BESS market through a combination of LFP cell production and system integration with US partners. NeoVolta Power, at the same time, gains long-term access to US-made cells to support its capacity expansion in Georgia, the collaboration integrates both companies into an industrial chain encompassing cell manufacturing, pack assembly, and the supply of storage systems for grid, commercial, and industrial applications.
Source: Energy Storage News
Photo: Shutterstock
