Capital and Chemistry: Eos's Zinc Battery Deal Signals New Era for Grid Storage

PITTSBURGH, PA – June 18, 2026 – Eos Energy Enterprises (NASDAQ: EOSE) has secured a pivotal first purchase order for its American-made zinc battery technology, a move that validates a novel financing structure designed to accelerate the build-out of the nation's energy storage infrastructure. The order, placed by the newly formed Frontier Power USA (FPUSA), will deploy Eos’s technology in a massive 100 MW / 400 MWh battery project in Texas, signaling a critical transition from development pipeline to operational reality for the energy storage innovator.

The deal supports the Redbird project, a utility-scale battery energy storage system (BESS) poised to provide critical stability to the increasingly strained Electric Reliability Council of Texas (ERCOT) grid. More significantly, it marks the first major transaction under a 2 GWh capacity reservation agreement between Eos and FPUSA, an investment platform backed by private equity giant Cerberus Capital Management. This partnership represents a new template for the industry, integrating manufacturing, project development, and institutional capital to overcome the financial hurdles that have historically slowed the deployment of long-duration energy storage.

The Capital Catalyst Model

For years, the energy storage sector has grappled with a persistent challenge: bridging the gap between promising technology and bankable, grid-scale projects. Frontier Power USA was created specifically to solve this problem. Structured as a joint venture between Eos and an affiliate of Cerberus, FPUSA acts as a dedicated capital engine, acquiring late-stage projects and providing 100% of the equity required for construction.

“FPUSA was created to bridge the gap between project development and execution,” said Aaron Maczonis, Managing Director at Cerberus Capital Management. “FPUSA is building relationships with leading developers, assembling a portfolio of high-quality projects, and providing access to the capital needed to bring them online.”

This model fundamentally de-risks the path to commercialization. By stepping in to acquire the Redbird project from its original developer, Bimergen, FPUSA injects the necessary capital to move from blueprints to a fully operational asset. This structure is a boon for Eos, providing a clear and financed path to convert its extensive development pipeline—which now includes an additional 12 GWh of projects across key US markets—into revenue-generating installations.

“Redbird did not happen overnight. It came from years of working with Bimergen to move projects under active development toward execution,” said Nathan Kroeker, Chief Commercial Officer of Eos. “What FPUSA adds is the capital to turn opportunities into operating assets. That is what FPUSA was built to do, and the Redbird conversion is one of the first to prove it out.” For institutional investors and financial market analysts, this model offers a more predictable and scalable investment vehicle, compressing the timeline from project commitment to commercial operation and creating a replicable strategy for future deployments.

Beyond Lithium: A Zinc-Powered Solution for ERCOT's Volatility

The selection of Eos's Z3™ zinc-based technology for the Redbird project is as strategic as the financing behind it. The ERCOT market is a dynamic and demanding environment, characterized by soaring electricity demand and a massive influx of intermittent renewable energy from wind and solar, which now accounts for over a third of the grid's power. This has created a critical need for energy storage that can do more than just provide short bursts of power for frequency regulation.

The market is rapidly evolving. While one-to-two-hour batteries have historically dominated, providing lucrative ancillary services, market saturation has diminished those revenue streams. The new frontier is energy arbitrage: storing vast amounts of cheap solar power during the day and discharging it for four hours or more during peak evening demand. The Redbird project, with its 400 MWh capacity, is purpose-built for this multi-hour application.

“We developed Redbird to address growing demand for dispatchable storage in ERCOT and selected Eos because Z3™ is purpose-built for the multi-hour applications the market requires,” said Cole Johnson, Co-Chief Executive Officer of Bimergen Energy, which retains a minority stake in the project.

Eos’s technology offers distinct advantages in this context. Unlike conventional lithium-ion batteries, its Znyth™ aqueous zinc chemistry is non-flammable, providing a crucial safety benefit for large-scale installations. Furthermore, it relies on abundant, inexpensive, and domestically sourced materials, insulating it from the volatile and geopolitically sensitive supply chains associated with cobalt and lithium. This aligns perfectly with the growing emphasis on energy security and supply chain resilience, reinforced by policy incentives like the Inflation Reduction Act (IRA), which favors American-made content.

From Pipeline to Power: Executing on a 'Made in America' Vision

This purchase order is more than a single sale; it represents a significant milestone in Eos's journey to scale its 'Made in America' manufacturing vision. The company has long touted a substantial pipeline of potential projects, and this conversion of a development agreement into a firm order with committed capital provides tangible proof of its ability to execute. The volume from the Redbird project will be applied against the 2 GWh capacity reservation with FPUSA and also fulfills nearly half of a separate 1 GWh master supply agreement with Bridgelink.

The successful launch of the FPUSA model demonstrates a clear path forward for Eos to monetize its technology and its deep relationships with project developers. By creating a dedicated financial partner, the company has engineered a solution to the classic innovator’s dilemma of having a great product but lacking the capital-intensive infrastructure to deploy it at scale. This integrated approach—combining innovative, safe, domestic technology with a powerful, dedicated financing vehicle—positions Eos to capture a significant share of the burgeoning long-duration energy storage market.

As grids across the United States, from Texas's ERCOT to California's CAISO and the eastern PJM market, grapple with the challenges of decarbonization and electrification, the need for reliable, long-duration storage will only intensify. The partnership between Eos and Frontier Power USA offers a compelling blueprint for how technology innovators and institutional capital can collaborate to build the resilient grid of the future, project by project. This first major deployment in Texas serves as a powerful demonstration that the financial and technological pieces are finally falling into place to support America's energy transition.