LG Chem to build large battery storage system

LG Chem Inc. said it will supply energy storage systems (ESS) for four solar plants under construction in Japan in a deal worth over 300 billion won (US$272.7 million).

The nation's largest battery maker said it won a contract to supply the storage systems with a daily capacity of 31 megawatts each to the Green Power Development Corporation (GPD) of Japan by 2017.

Japan has been building the world's largest storage battery system in Hokkaido for stable power supply as it pursues a mix of renewable energy in the wake of the 2011 Fukushima nuclear crisis.

The ESS system will store electricity when weather conditions are favorable and dispense it during rainy or cloudy days, the firm said.

LG Chem pledged to tap further into other markets.

"LG Chem was able to pass the world's highest technology regulation in Japan based on know-how in the electric car battery and the energy storage system," LG Chem CEO Kwon Young-su said. "We hope to clinch other battery deals in North America and Europe.