Strategic Storage Capacity Expansion: Ormat Begins Commercial Operation of Montague Storage Project in New Jersey

Reno, USA - As part of the ongoing strategic expansion of its storage infrastructure, Ormat Technologies, a leading geothermal and energy storage company, has successfully completed the commissioning of the Montague Project. This step further expands the company's storage portfolio.

The Montague project includes a 20 MW 1-hour battery energy storage system (BESS) with a storage capacity of 20 MWh (20,000 kWh) installed in New Jersey. The system will provide ancillary services in PJM's wholesale energy market. PJM is a regional transmission organization that does not sell electricity to end users or own assets such as generators or transmission lines. Rather, PJM is responsible for the safety and reliability of the electric transmission system in its service territory.

The Montague project, which is expected to qualify for a 30 percent investment tax credit, represents Ormat's ongoing commitment to strategically expand its energy storage segment in key U.S. markets, the company said.

The Montague project brings Ormat's total installed storage capacity to 290 MW and 658 MWh (658,000 kWh) of storage capacity, of which 120 MW / 120 MWh (120,000 kWh) is in the PJM market. Further projects are currently being implemented. By 2028, Ormat plans to commission storage facilities with a total capacity of 950 MW to 1,050 MW and a storage capacity of 2.5 GWh to 2.9 GWh (2.5 million kWh to 2.9 million kWh).

“The addition of the Montague project brings valuable ancillary services to the PJM market, enhancing the reliability of the grid while also supporting the transition to a cleaner energy future. We are proud to support the PJM market with our premium renewable power generation and energy storage solutions,” commented Doron Blachar, Chief Executive Officer of Ormat Technologies, on the commissioning.

The Ormat share ended 2024 with a loss of 5.9% to EUR 64.40. Today, on the first trading day of 2025, the share has so far gained 1% to EUR 65.04.

Source: IWR Online, 02 Jan 2025