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Awards/COOPERATIVE AGREEMENT (B)

$70,000,000

Department of Energy·Department of Energy

to XCEL ENERGY SERVICES INC.

energyactiveONGOING · MOD OF 2024 CONTRACT
WORK BEGAN2024-06-01·LATEST ACTION2026-05-14·SOURCEUSASPENDING·SOURCE IDASST_NON_DECD0000029_089
Award description

MULTIDAY STORAGE AT SCALE FOR FIRM RENEWABLE ELECTRICITY SHARED VISION OF XCEL ENERGY SERVICES, INC. AND OCED: 1) DEMONSTRATE THE VIABILITY OF IRON-AIR BATTERY TECHNOLOGY FOR MULTI-DAY STORAGE; 2) DEMONSTRATE THE COMPETITIVENESS OF A 100-HOUR CONTINUOUS DISCHARGE SYSTEM FOR LONG-DURATION ENERGY STORAGE APPLICATIONS; 3) PROVIDE TANGIBLE BENEFITS TO IMPACTED COMMUNITIES AND WORKERS ALIGNED WITH LOCAL PRIORITIES AND ADVANCE OPPORTUNITIES FOR HISTORICALLY UNDERREPRESENTED WORKERS AND BUSINESSES; AND 4) CONTRIBUTE TOWARD WIDESPREAD U.S. ADOPTION OF MULTI-DAY BATTERY STORAGE BY 2030. STATEMENT OF PROJECT OBJECTIVES: 1. MINNESOTA STORAGE: AT THE SITE OF AN EXISTING POWER STATION IN CENTRAL MINNESOTA, BUILD AND OPERATE A MULTI-DAY ENERGY STORAGE SYSTEM USING AN IRON-AIR BATTERY WITH THE CAPACITY TO DISCHARGE AT LEAST 10 MW CONTINUOUSLY FOR 100 HOURS. 2. COLORADO STORAGE: AT THE SITE OF AN EXISTING POWER STATION IN SOUTHERN COLORADO, BUILD AND OPERATE A MULTI-DAY ENERGY STORAGE SYSTEM USING AN IRON-AIR BATTERY WITH THE CAPACITY TO DISCHARGE AT LEAST 10 MW CONTINUOUSLY FOR 100 HOURS. 3. COLLECT AND SHARE WITH DOE INFORMATION AND DATA REGARDING THE FOLLOWING: (1) PERFORMANCE; (2) CAPITAL COSTS; (3) PROJECTIONS/BUSINESS CASE; AND (4) OPERATING REVENUES AND EXPENSES. 4. AT EACH SITE FUNDED BY THE AWARD, DEMONSTRATE SUCCESSFUL DEVELOPMENT WITH COMMUNITY BENEFITS ACTIVITIES TO INCLUDE: (I) ENGAGING HOST COMMUNITIES, COMMUNITY-BASED ORGANIZATIONS, AND HISTORICALLY EXCLUDED STAKEHOLDERS ON TOPICS SUCH AS WORKFORCE NEEDS, PROJECT AND TECHNOLOGY SPECIFICS, (II) IDENTIFYING AND QUANTIFYING JUSTICE40 BENEFITS, AND (III) DEVELOPING PATHWAYS TO FACILITATE HIRING NEW EMPLOYEES FROM DISADVANTAGED COMMUNITIES.

Verbatim from USAspending.gov. Capitalization, abbreviations, and codes are unchanged.

The Buildout's read

What the model surfaced from this award

Confidence: high
In plain English

Fund Xcel Energy to build and operate two 100-hour iron-air battery storage systems in Minnesota and Colorado, demonstrating multi-day renewable energy storage at scale.

Sub-sectors
grid-storagerenewable-energybattery-technology
Why this matters

Long-duration battery storage is critical to grid reliability as renewables scale; this 2024-launched project tests iron-air technology's commercial viability and cost competitiveness by 2030.

Supply-chain signal

Success accelerates domestic iron-air battery manufacturing and supply chains; failure signals need for alternative long-duration storage technologies or continued reliance on imports.

U.S.–China competition angle

China leads in battery manufacturing; demonstrating U.S. iron-air viability reduces dependence on Chinese battery imports and positions domestic technology for global market leadership.

Generated by award_classification v2.1.0 via claude-haiku-4-5-20251001 on 2026-06-03. Cost: $0.003645.

Period of performance
Start
2024-06-01
End
2029-01-31
Status
activein 946 days
Sources

The Buildout does not edit federal records. Any inaccuracy reflects the upstream source; it will update here when corrected there.