ESS Tech, Inc. announced a new $9.9 million contract with Concurrent Technologies Corporation and the U.S. Air Force Research Laboratory to deploy up to 27 MWh of its iron‑flow battery systems at Clear Space Force Station in Alaska. The award is the first new customer contract the company has announced in the past week and represents a substantial addition to its pipeline.
The contract underscores continued interest from defense customers in long‑duration, extreme‑temperature energy storage. ESS Tech’s iron‑flow technology, which uses iron, salt, and water, is designed to operate safely in temperatures below –40 °C, a key requirement for remote military installations. The deployment will allow the Air Force to test the batteries’ performance in harsh Arctic conditions.
While the $9.9 million award is a positive milestone, it comes against a backdrop of significant financial headwinds. ESS Tech’s trailing‑twelve‑month revenue is $6.02 million, and the company has posted net losses in each of the last three quarters. Revenue for 2025 is expected to fall to roughly $1.6 million from $6.3 million in 2024, driven by the wind‑down of legacy contracts and delays in partner funding. The new contract therefore represents a meaningful, but not transformative, boost to the company’s cash flow.
Management highlighted the strategic importance of the deal. CEO Drew Buckley said the award validates the company’s “Energy Base” platform and signals confidence from a high‑profile government partner. He added that the contract will help accelerate the company’s shift toward scalable, long‑duration storage solutions and support ongoing efforts to prove the economics of the Energy Base line.
The contract also aligns with the Department of Defense’s broader push for “Made in USA” energy solutions to reduce cybersecurity risks. By securing a DoD customer, ESS Tech positions itself to capture future opportunities in the growing defense energy storage market, even as it continues to navigate a challenging commercial environment.
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