Spearmint Energy Closes $450 Million Financing for 300 MW / 600 MWh Texas Battery Storage — ERCOT Market's Largest Standalone BESS

Spearmint Energy, a Miami-based independent power producer, announced on May 21, 2026 the closing of approximately $450 million in project financing for its Red Egret Battery Energy Storage System — a 300 MW / 600 MWh standalone BESS in the ERCOT (Texas) power market that will be among the largest standalone battery storage projects in North America. The capital structure includes a $225 million construction credit facility led by First Citizens Bank and Investec, $96 million in preferred equity from Nuveen Energy Infrastructure Credit, and approximately $126 million in Investment Tax Credit (ITC) transfer proceeds under the Inflation Reduction Act's clean energy provisions. Construction is already underway at the Texas City, Texas site, executed by Mortenson Construction using Sungrow PowerTitan 3.0 hardware. Commercial operations are targeted for 2027, at which point Spearmint's total operating portfolio will exceed 1.5 GWh of battery storage capacity across ERCOT. The Red Egret project joins a wave of ERCOT battery installations responding to the Texas grid's extreme peak demand events and the state's rapid wind and solar expansion — conditions that create lucrative revenue opportunities for fast-response battery assets in frequency regulation, capacity, and energy arbitrage markets. The ITC transfer mechanism, enabled by IRA provisions, allows Spearmint to monetize tax credits by selling them to tax-paying investors, a critical financing innovation that has enabled many utility-scale battery projects to close financing without requiring a large corporate tax appetite on the developer's balance sheet.