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Construction starts on estimated US$200m solar and battery project in US
16 July 2025
Construction has started on a 150MW solar and 600MWh battery energy storage facility in Doña Ana County, New Mexico, US, following a financial close by developer D.E. Shaw Renewable Investments (DESRI) and utility partner El Paso Electric.
Solar panels in a desert setting. Image: Adobe Stock
The Santa Teresa project will supply enough clean energy to power around 60,000 homes and includes a 20-year power purchase agreement with El Paso Electric.
It is the second collaboration between the two firms, following the Carne solar-plus-storage project launched in 2024.
While DESRI has not disclosed a capital cost, Construction Briefing estimated the combined solar and battery installation could cost between US$200 million and $500 million, based on current utility-scale construction benchmarks.
US-based SOLV Energy is the EPC and long-term operations partner, while LG Energy Solution Vertech is supplying battery systems and management software. Financing was provided by a syndicate of international banks including DNB Bank, National Bank of Canada, and Korea Development Bank, with Deutsche Bank as an administrative agent.
The project broke ground this week and is expected to enter service in 2026.
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