Crusoe is expanding its energy storage capacity through new battery agreements with Form Energy and Redwood Materials, as demand for reliable power grows alongside data center development.
The company said it will purchase 12 gigawatt-hours of long-duration batteries from Form Energy, marking one of the firm’s largest deals to date.
Large-Scale Iron-Air Battery Deployment
Form Energy will begin delivering the batteries in 2027. While the financial terms were not disclosed, the scale of the order is expected to generate hundreds of millions of dollars in revenue for Form.
The agreement follows a separate 30 gigawatt-hour deal between Form and Google in Minnesota, which was reported to be worth around $1 billion.
Form’s technology uses iron-air chemistry, where oxygen interacts with iron to produce rust and generate electricity during discharge. The process is reversed during charging, removing the rust and releasing oxygen.
The company began expanding its manufacturing facility in West Virginia last year in anticipation of large-scale contracts.
Form has raised approximately $1.4 billion to date and is currently pursuing a $500 million funding round, according to PitchBook.
Redwood Partnership Adds Second-Life Battery Capacity
In parallel, Crusoe is extending its partnership with Redwood Materials, a company founded by former Tesla CTO J. B. Straubel.
Crusoe has been operating a 12-megawatt, 63-megawatt-hour battery system built from repurposed electric vehicle batteries since June, described as the largest second-life battery installation at the time.
Under the expanded agreement, Redwood will supply an additional 8 megawatts of power capacity using recycled EV batteries.
Growing Demand For Data Center Energy Solutions
The combined deployments reflect increasing demand for large-scale, flexible energy storage systems to support data center operations.
Crusoe’s investments span both long-duration storage through Form Energy’s systems and shorter-duration, repurposed battery solutions through Redwood Materials, enabling a mix of technologies to manage power needs.
Featured image credits: Wikimedia Commons
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