SolarMax lands $127.3mln EPC contract for Texas battery storage project.

• SolarMax Technology signs EPC agreement for $127.3m Texas battery project • 430MWh battery energy storage system and high-voltage interconnection infrastructure • Project completion expected by June 30, 2026 • SolarMax to deliver full-scope EPC services, including design and construction • 8% interest in Longfellow BESS I LLC purchased by SolarMax • Expansion of SolarMax's commercial footprint in the US

SolarMax Technology, Inc. (Nasdaq: SMXT), a leading solar and renewable energy company, has secured a significant engineering, procurement, and construction (EPC) contract for a utility-scale battery storage project in Pecos County, Texas. The $127.3 million contract, announced on August 5, 2025, involves the development of a 430 MWh battery energy storage system (BESS) and associated high-voltage interconnection infrastructure.

SolarMax's subsidiary, SolarMax Renewable Energy Provider, Inc., will deliver comprehensive EPC services, including design, engineering, procurement, installation, construction, testing, startup, and commissioning. The project is expected to be completed by June 30, 2026. As part of the agreement, SolarMax has acquired an 8% ownership stake in the project through Longfellow BESS I LLC.

The 430 MWh BESS project aims to enhance grid stability and energy affordability in Texas by storing renewable electricity for use during peak demand periods. This installation is particularly notable as it contributes to the broader clean energy strategy in the region and is expected to play a critical role in maintaining grid reliability.

The contract represents a strategic pivot for SolarMax, diversifying its operations beyond residential solar installations into large-scale commercial EPC services. The Texas location is particularly significant due to ongoing grid stability challenges in the ERCOT market, creating strong demand for flexible storage assets.

SolarMax CEO David Hsu commented on the contract, "This contract represents a key step in scaling our commercial footprint in the United States and validates our strategy to diversify beyond residential solar into commercial-scale EPC services. With supplier discussions nearing conclusion, we are confident in our ability to meet the project’s mid-2026 delivery timeline."

The project's ability to store renewable energy for dispatch during peak demand will help address the intermittency challenges of wind and solar generation while potentially capturing price spreads in the volatile Texas electricity market. This contract signals SolarMax's capability to execute on larger infrastructure projects, potentially opening doors to similar opportunities as their project pipeline develops.

References:
[1] https://www.stocktitan.net/news/SMXT/solar-max-technology-awarded-127-3-million-epc-contract-for-430-m-wh-bdpoh357ud1h.html