In the area north of Dallas, where data centers are increasing and the Texas grid is under substantial pressure, Energy Vault is making a significant move in battery storage to cater to the growing need for electricity driven by AI. The California-based energy storage company announced it has acquired the McMurtre Battery Energy Storage System (BESS) near Dallas. This 175 MW / 350 MWh project, purchased from Belltown Power, is part of Energy Vault’s strategy to deploy an initial 1,500 MW of battery storage capacity across the US and beyond.
**Why ERCOT North, and why now**
The McMurtre project is located in the ERCOT North market, a highly competitive area for energy in the US, with rapid data center construction near Dallas driving demand for grid stability and new generation capacity. Energy Vault chose this location for its potential revenue and closeness to expanding computing infrastructure. The project has an executed Small Generator Interconnection Agreement and full site control, reducing risks leading to construction. The company expects to start construction in late 2026 and aims for commercial operation by December 2027.
**The financial picture**
The McMurtre project is anticipated to generate $15 to $20 million in average annual revenues, amounting to an estimated $350 to $375 million over its lifespan. These projections depend on market conditions, permitting, and execution risks. Energy Vault plans to integrate the project into its Asset Vault platform, supporting its development through Ready-to-Build status with a $300 million preferred equity investment, allowing over $1 billion in total project capital expenditure.
**Three asset classes, one thesis**
McMurtre is part of Energy Vault’s strategy involving three asset classes: battery energy storage systems, powered land, and powered shells (modular data center infrastructure near energy assets). The strategy includes a partnership with Crusoe Energy Systems to deploy modular AI units at its sites, highlighting battery storage as essential for new digital infrastructure. Robert Piconi, Energy Vault’s chairman, emphasized the acquisition supports their strategy to meet AI compute demand.
**A growing portfolio**
The acquisition expands Energy Vault’s total owned assets to 715 MW, including projects like the 150 MW SOSA Energy Center, the 57 MW Cross Trails BESS in Texas, an 8.5 MW resiliency center in California, and storage projects in Australia. The McMurtre system will use Energy Vault’s B-VAULT AC Technology Platform 3, adding to a global portfolio exceeding 3 GWh of deployed or contracted systems.
**The bigger question**
Energy Vault is betting on the convergence of energy and AI infrastructure, assuming companies will pay more for reliable, co-located power and that integrated storage operators can best provide this. The outcome depends on execution, ERCOT’s growth, and the AI data center expansion pace. The McMurtre deal is another step in Energy Vault’s global strategy, hinting that the grid’s role is evolving from energy supply to supporting broader technological developments.