Arevon Energy has begun construction of the Cormorant Energy Storage Project in Daly City, California, US, a $600m facility that will offer storage capacity of 250MW/1,000 megawatt-hours (MWh).
Scheduled to become operational in 2027, it is expected to power around 321,000 homes for up to four hours, enhancing grid reliability by providing stored electricity during peak demand periods.
The energy storage system, owned and operated by Arevon, is under a long-term offtake agreement with MCE, which provides electricity to more than 1.8 million residents and businesses across several counties including Contra Costa, Napa, Marin and Solano.
Initially planned at a lower capacity of 188MW/752MWh, the project has been expanded to its current capacity, with the additional supply also secured under an agreement with MCE.
The Cormorant project will use lithium iron phosphate batteries to provide safe, efficient energy storage.
Primoris Services Corporation’s Renewables group will serve as the engineering, procurement and construction contractor.
The project will hire around 175 workers at its peak construction phase.
The local economy is expected to benefit from increased activity as nearby businesses such as hotels and restaurants see a rise in patronage.
Over its operational life, the Cormorant facility is projected to generate more than $73m in property tax revenue.
Arevon CEO Justin Johnson said: “The start of construction marks an important milestone for the Cormorant project and the Daly City community.
“Projects like Cormorant are critical to strengthening California’s energy grid by storing power when it is abundant and delivering it when it is needed most.
“Arevon is proud to continue investing in infrastructure that supports reliability, affordability and California’s long-term clean energy goals.”
Arevon’s sustained investment in Daly City and the Bayshore community includes partnerships with more than a dozen local and regional organisations through various forms of support.
It operates as a national renewable energy developer and is a prominent figure in California, with more than 3.7GW of capacity currently in operation and in excess of $5bn in capital investment, alongside 550MW under construction.
Arevon chief development officer Shanelle Montana said: “The Cormorant project demonstrates the importance of working closely with local leaders and community members as we develop projects that will operate for decades.
“Community engagement is not simply a box to check – it is a commitment to being present, authentic and aligned with the people who will live alongside our projects. Arevon looks forward to continuing its partnership with the community throughout Cormorant’s construction and long-term operations.”
