ESS Tech is accelerating its US-made sodium-ion battery platform to address a $1 billion commercial pipeline, driven by data center demand for safe, domestic, non-lithium energy storage. The company is restructuring Wilsonville, Oregon operations to reduce cash burn, aiming to fund the rollout of this technology alongside its established iron-flow systems.
PROJECT SNAPSHOT
Company: ESS Tech, Inc.
Announcement: Strong early customer engagement for planned U.S.-made sodium-ion BESS offering.
Technology: Sodium-ion BESS.
Application duration: Short- and medium-duration energy storage.
Target markets: Data centers, critical infrastructure, and utility sectors.
Opportunity pipeline: Early-stage opportunities approaching US$1 billion.
Manufacturing focus: U.S.-made, domestically sourced energy storage solutions.
Key advantages: Reduced thermal runaway risk, domestic material supply and lower supply-chain exposure.
Development status: Accelerating sodium-ion BESS platform development.
Future products: Sodium-ion containers, racks, hardware solutions and battery management software.
Existing technology: Iron flow battery technology for long-duration applications remains under development.
Operational strategy: Streamlining Wilsonville operations and reallocating capital toward sodium-ion solutions.
Headquarters: Wilsonville operations, United States.
ESS Tech, Inc., a U.S.-based non-lithium energy storage company, has announced strong early customer interest for a planned U.S.-made sodium-ion BESS offering. The system is designed for short- and medium-duration storage applications. The new sodium-ion BESS pipeline includes early-stage commercial opportunities approaching US$1 billion across data centers, critical infrastructure and utility markets.
The operational update follows a letter of intent with Alsym Energy, announced seven weeks before the latest statement. Following stronger-than-expected inbound customer interest, the company is now actively speeding up the development of its sodium-ion BESS platform to meet the rising market demand for safe, U.S.-made energy storage systems.
The planned BESS offering targets storage needs that have historically been served by lithium-ion systems. Potential users include data centers, critical infrastructure and electric utilities. These users require localized storage systems that can support power demand for limited periods and provide flexible capacity when electricity supply is constrained.
Customers from the power sector are looking for storage solutions that can be deployed quickly and carry lower supply-chain risk. Demand is also increasing from hyperscale’s and fast-growing data centers, where electricity needs are changing quickly.
The future system will use sodium-ion battery technology instead of lithium-ion technology. ESS Tech said sodium-ion technology virtually eliminates thermal runaway risk and uses abundant, domestically available materials instead of constrained lithium supply chains. Thermal runaway refers to a battery failure condition where rising internal heat can lead to further heat generation and possible fire risk.
ESS Chief Executive Officer Drew Buckley said customer demand for the sodium-ion platform is unlike anything seen earlier in the company’s history. He said changing energy demand across the power sector has created a need for different storage solutions, prompting ESS Tech to accelerate near-term revenue opportunities while preparing for market scale and delivery requirements.
ESS Tech will continue developing its iron flow battery technology for long-duration storage applications alongside its sodium-ion work. Iron flow batteries are designed for much longer storage windows and utilize large liquid electrolyte systems to store and discharge electricity over extended periods. To fund this dual-track technology shift, the company is streamlining its manufacturing operations in Wilsonville, Oregon. These operational reductions will allow ESS Tech to reallocate capital toward sodium-ion solutions with greater near-term revenue potential.
Upcoming product rollouts will include container, rack and hardware solutions, along with digital software designed to monitor performance and optimize battery health. Established in 2011 to support decarbonization, ESS Tech said the company’s next phase will include sodium-ion product announcements while continuing iron flow battery development for long-duration applications.