Discover how ENEOS Power is converting a decommissioned Shimizu oil terminal into a 109.7 MWh grid battery facility using PowerX lithium iron phosphate sto
Project/Contract Award
Asia-Pacific
Power
18 September 2026
3 min read
Research Desk
Shizuoka Prefecture is set to host one of Japan's more prominent grid-scale battery deployments, after ENEOS Power Corporation selected a decommissioned oil terminal site in Shimizu Ward as the location for a new extra-high voltage storage facility.
The project will draw on domestically manufactured battery containers from PowerX, Inc., with construction planned to begin in January 2027 and operations targeted to commence within fiscal year 2028.
The facility will be built on land belonging to the ENEOS Group's Shimizu Oil Terminal in Shimizu Ward, Shizuoka City. ENEOS Power Corporation, headquartered in Minato City, Tokyo, and led by Representative Director and President Yasushi Onoda, is developing the project.
The choice of an established energy infrastructure site reflects a strategy of converting legacy fossil fuel assets into platforms for new grid storage functions, a pattern emerging across Japan's energy transition. Daiwa Energy Co., Ltd. is acting as the engineering, procurement, and construction contractor.
It is through Daiwa Energy that the equipment order was placed with PowerX, and it was Daiwa Energy that formally awarded PowerX the contract covering 40 units of its Mega Power 2700A battery energy storage system.
Each Mega Power 2700A unit is housed in a 20-foot ISO-standard container and carries a nominal storage capacity of 2,742 kWh alongside a rated storage capacity of 2,468 kWh. Across the full order of 40 units, the installation delivers a combined nominal capacity of 109.7 MWh. PowerX states this is equivalent to the daily electricity consumption of approximately 10,300 average Japanese households. The system will provide a power conversion system output of 50 MW.
The battery chemistry used is lithium iron phosphate, a technology common in stationary storage applications and selected for characteristics including thermal stability and cycle life performance. All 40 units are manufactured at PowerX's production facility in Tamano City, Okayama Prefecture, making the Mega Power 2700A a domestically produced system within Japan. PowerX itself is headquartered in Tamano City and is led by Director, President, and CEO Masahiro Ito. The company is listed on the Japanese stock exchange under securities code 485A.
Once operational, the Shizuoka facility will charge and discharge electricity in connection with the power grid serving the Chubu area. PowerX describes the purpose of this activity as helping to stabilize the balance of electricity supply and demand within the region, while also supporting the expansion of renewable energy generation.
Shizuoka Prefecture falls within the service territory of Chubu Electric Power, and the integration of large-scale battery storage at the extra-high voltage level represents a growing area of grid investment as Japan seeks to accommodate rising volumes of variable renewable generation across its national network.
PowerX noted that revenue associated with the Shizuoka project had already been incorporated into its signed orders for fiscal year 2027, as presented in financial results briefing materials that were disclosed on August 14, 2026. The company explained that the public announcement of the order was made only after agreement on disclosure had been reached with the customer, and that the timing of the press release does not necessarily correspond to any regulatory disclosure requirements.
This sequence means the project was commercially secured and recorded in PowerX's financial reporting before its public announcement, a distinction the company made explicit in its communications around the deal.
With the construction start set for January 2027, the project follows an approximately two-year development track before reaching its planned operational window in fiscal year 2028. The 40-container installation, totaling nearly 110 MWh of nominal capacity and a 50 MW power output, represents a significant deployment within PowerX's portfolio of grid-scale storage projects and adds to ENEOS Power's infrastructure presence in the Chubu region. ENEOS Power is a subsidiary of the ENEOS Group, one of Japan's largest energy conglomerates. The Shimizu project illustrates how the group is positioning its existing physical assets, including land tied to petroleum operations, as viable locations for the next generation of grid infrastructure.
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