NeoVolta Power has entered into a five-year strategic supply and manufacturing collaboration with SK On, under which SK On will supply 9 GWh of U.S.-manufactured lithium iron phosphate (LFP) battery cells to NeoVolta Power from 2027 through 2031.

The agreement pairs two companies pursuing the same market from different directions: SK On, a South Korean battery maker that produces EV batteries for automakers including Ford and Hyundai, is deepening its footprint in stationary storage, while NeoVolta Power is scaling up from residential and smaller-format storage into utility-scale BESS production.

Beyond the initial cell-supply agreement, the deal establishes a framework for broader collaboration: SK On will supply an additional 9 GWh of LFP cells to NeoVolta Power over the same 2027–2031 period, and NeoVolta Power will produce energy storage packs for purchase by SK On. Taken together, the initial cell supply and the broader pack-manufacturing collaboration are expected to support up to 18 GWh of combined activity between the two companies.

"This partnership strengthens SK On's position in the U.S. BESS market and brings together SK On's U.S.-made LFP battery technology with NeoVolta Power's growing energy storage manufacturing capabilities," said Daejin Choi, Head of ESS Business at SK On. "We view NeoVolta Power as a strategic partner as we expand our presence in the U.S. energy storage market. By combining our respective capabilities, we will pursue new commercial opportunities and deliver competitive BESS solutions that meet evolving market needs."

NeoVolta Power will manufacture battery energy storage systems (BESS) for commercial, industrial, and utility-scale applications at its facility in Pendergrass, Georgia. The plant, which has an annual capacity of 2 GWh, is expected to open in the next few weeks. The signed agreement establishes SK On as the primary cell supplier for NeoVolta Power's LFP pouch-cell-based BESS products. The emphasis on U.S.-manufactured cells aligns with U.S. policy incentives, such as domestic-content provisions tied to the Inflation Reduction Act, that reward projects using American-made battery components.

LFP chemistry has become the dominant choice for stationary storage applications, favored over nickel-based chemistries for its lower cost, longer cycle life, and use of more widely available materials. That shift has driven a wave of LFP production announcements in the United States, much of it aimed at grid-scale storage demand.

The scale and multi-year nature of the relationship also supports NeoVolta Power's evaluation of additional production capacity at Pendergrass, including a second production line designed around pouch-format LFP cells. The company is targeting an 8-GWh annual production capacity at the Pendergrass site by 2028.

"This collaboration represents an important milestone in NeoVolta's expansion into large-scale energy storage and the continued buildout of our U.S. manufacturing platform," said Ardes Johnson, CEO of NeoVolta. "The initial agreement secures long-term access to U.S.-manufactured LFP cells for our Pendergrass production expansion, while the broader collaboration positions NeoVolta Power to manufacture energy storage packs for SK On. Together, these initiatives reinforce our strategy to build a domestic energy storage platform designed to meet growing demand for reliable, high-performance BESS solutions."