Shell Energy Europe has reached a groundbreaking partnership with multinational clean energy developer Sunotec, signing a five-year cross-border price hedging agreement for a battery energy storage project with a capacity of over 600 megawatt hours located in Central and Eastern Europe. This is one of the first commercial arrangements in the region to combine large-scale energy storage infrastructure with long-term financial hedging tools, expected to provide key price stability guarantees for the project and drive its commercial operation in the second quarter of 2026.

The hedging agreement has a term of five years and aims to provide long-term price certainty for this battery energy storage project with a capacity of 600 megawatt hours, thereby ensuring the financial feasibility of the project and avoiding market volatility risks. The project is scheduled to be put into operation in the second quarter of 2026, which will not only enhance the flexibility and stability of the regional power grid, but also help optimize the integration of renewable energy into the grid and reduce dependence on fossil fuels. Through this agreement, Shell Energy Europe further diversifies its regional power portfolio, while Sunotec positions it as a benchmark case for energy storage development and financial innovation in Central and Eastern Europe.

This cooperation was facilitated by Energy Portfolio Optimisation and is considered one of the first structured financial agreements of its kind in Central and Eastern Europe. Kaloyan Velichkov, founder and CEO of Sunotec, stated that cooperation with international energy companies such as Shell reflects a shared commitment to a sustainable and forward-looking energy future. This type of agreement provides a replicable business model for the implementation of large-scale energy storage projects by combining professional technology and financial tools, which helps to enhance investors' confidence in the energy storage infrastructure in the region and accelerate the process of clean energy transformation. Keywords: Energy Storage Latest News, Energy Storage New Energy News

The 600 megawatt hour energy storage project will become an important facility in the field of energy storage and flexibility in Central and Eastern Europe, successfully advancing in line with Europe's overall goals in renewable energy integration, grid resilience improvement, and carbon reduction. The project reduces risks through financial hedging mechanisms and demonstrates the key role of combining technological solutions with financial innovation in promoting the development of energy infrastructure. Both parties believe that such cooperation not only supports the integration of regional electricity markets, but also sets a benchmark for similar projects in the future, which will further promote the construction of a more resilient, sustainable, and independent energy system in Central and Eastern Europe. Editor/Yang Beihua