PowerBank Expects 4.99 MW BESS Project to Reach Commercial Operating during January 2026

Executive Summary

• PowerBank expects its SFF‑06 Battery Energy Storage System (4.99 MW) in Ontario to achieve Commercial Operation during January 2026.
• The project secures a 22‑year IESO contract paying $1,221 per MW per business day, well above market averages.
• PowerBank incurred a $475,000 termination fee and $100,000 retrofit cost for the OZ‑1 project, plus a $512,000 warranty expense for SFF‑06 and the 903 project.

Key Details

• Project Scope: SFF‑06 BESS will deliver 4.74 MW of daily contract capacity for 251 business days per year once in commercial operation.
• Ownership: PowerBank holds a 50 % stake in ProjectCo (1000234763 Ontario Inc.); the remaining 50 % is owned by an Ontario First Nations partnership.
• Acquisition Background: Acquired via PowerBank’s $45 M purchase of Solar Flow‑Through Funds Ltd. (July 2024).
• Contract Terms: Fixed capacity payment of $1,221 per MW per business day under IESO Expedited Long‑Term RFP (E‑LT1), 22‑year term.
• Incentives: Qualifies for the 2024 Clean Technology Investment Tax Credit (up to 30 % reimbursement of eligible capital costs).
• Termination & Costs:
• OZ‑1 equipment supply and service agreements terminated; PowerBank pays $475,000 termination fee + $100,000 retrofit cost reimbursement.
• Extended warranty purchased for SFF‑06 and 903 projects at a cost of $512,000.
• Risk Factors Highlighted: Need for final technical/regulatory approvals, battery degradation over cycles, potential changes to government incentives, and other forward‑looking uncertainties.

Notable Quotes

(No direct quotes provided in the release.)