Kitchener, ON – October 06, 2026 -- Canadian Solar Inc.'s (NASDAQ: CSIQ) energy storage unit e-STORAGE has signed an agreement to supply and commission a 100 MW/200 MWh battery energy storage system for OX2's Muswellbrook Solar Farm and Battery in New South Wales, Australia. Shipments are scheduled to begin in the third quarter of 2027, with commercial operation targeted for the third quarter of 2028.
Project sits on former coal land in a designated renewable energy zone
The facility is located roughly 2.5 kilometers east of Muswellbrook, on the site of a former coal mine within the Hunter-Central Coast Renewable Energy Zone. The region's aging coal generators are set to retire in the early 2030s, and the two-hour storage system is designed to hold midday solar output and release it during the evening demand peak as thermal supply tightens.
e-STORAGE controls the full stack, from battery cells to 20-year service
The system will be built on e-STORAGE's SolBank 3.0 battery containers, paired with power conversion systems, plant controls and the company's proprietary EQ-S Energy Management System, developed in-house by e-STORAGE's North American software team. Battery cells and the SolBank system will be manufactured at Canadian Solar's own facilities. e-STORAGE will conduct the R1 grid connection studies, supply the hybrid power plant controller coordinating the battery with the co-located solar farm, and lead integration and commissioning. The deal is backed by a 20-year long-term service agreement covering hardware, software and performance under a single contractor.
Storage underpins OX2's long-term hybrid power purchase agreement
Once operational, the battery system will support the long-term hybrid power purchase agreement OX2 has signed for the project, converting variable solar generation into firm, contracted supply for the Hunter region.
"This battery storage system is what turns Muswellbrook into a true hybrid facility — pairing solar generation with storage so we can capture energy when the sun is shining and deliver it when the grid needs it most," said Steve Symons, Vice President, OX2 Australia.
Jeff Roy, President of e-STORAGE, said the company controls the project from cell manufacturing through its own energy management software and 20 years of service, giving OX2 a single accountable partner for the system's full operating life.
Deal adds to e-STORAGE's $3.5 billion contracted backlog
Canadian Solar's e-STORAGE business has shipped more than 23 GWh of battery storage solutions globally and held a contracted backlog of $3.5 billion as of June 30, 2026.