US Stock Movement | Eos Energy Pre-market Up Nearly 18% After Reaching Power Supply Agreement with Pennsylvania Data Center
Eos Energy's stock price rose nearly 18% in pre-market trading after it announced a power supply agreement with Talen Energy, planning to invest $75 million to build a 2 GWh battery manufacturing facility, expected to be operational by mid-2026. The facility will support data centers in Pennsylvania, enhance energy storage capacity, meet the electricity needs of approximately 1.5 million households, and receive $24 million in incentive funding from Pennsylvania
According to the Zhitong Finance APP, as of the time of publication, battery manufacturer Eos Energy (EOSE.US) saw its stock price rise 18.05% in pre-market trading on Tuesday. This follows the company's announcement of plans to invest in the construction of a $75 million factory, which is expected to help Talen Energy (TLN.US) provide power support for the growing data centers in Pennsylvania.
Eos Energy CEO Joe Mastrangelo stated that after reaching a partnership with Talen, Eos is building a factory capable of producing 2 GWh of batteries. The factory is expected to be operational by mid-2026, at which point its energy storage production capacity in the Pittsburgh area will double. The energy produced will be sufficient to meet the electricity demand of approximately 1.5 million households for one hour.
Batteries are crucial for providing power support to the grid and maintaining grid stability, as the generation of solar and wind energy can fluctuate. These devices typically charge when demand is low and discharge when demand is high, allowing coal and natural gas power plants to operate more stably.
Mastrangelo noted that the factory is expected to help Talen utilize its power generation resources more effectively, including its Susquehanna nuclear power plant and fossil fuel power facilities, partly to serve Amazon (AMZN.US) data centers in the area. There is already a similarly sized facility near Eos, and the company ultimately plans to increase its generation capacity to 8 GWh.
Additionally, Eos will receive $24 million in incentive funding from Pennsylvania to expand its business
