Elong Power Holding Limited (NASDAQ: ELPW) has announced a three-year energy storage agreement worth at least $300 million, potentially giving the small-cap energy company a major new revenue stream.
The agreement involves Elong's wholly owned subsidiary, Elong Power (Beijing), which will supply energy storage equipment to developers of large-scale battery storage projects in China.
Under the terms of the agreement, the customer will give Elong priority when purchasing energy storage equipment, with total planned purchases of at least 2 billion yuan, or approximately $300 million, over three years.
The first purchase contract is expected to be signed in January 2027 and is projected to be worth at least $45 million.
Elong is targeting China's growing energy storage market
Elong specializes in lithium battery energy storage systems used by homes, businesses, and electric utilities.
These systems store electricity when it's available and release it when demand increases. They can also help stabilize electrical grids and make renewable energy sources such as solar and wind more reliable.
With this new agreement in place, Elong will focus on supplying the equipment. Its customer will invest in, build, and operate the storage facilities. This allows Elong to participate in large energy infrastructure projects without having to finance and operate the power stations itself.
The announcement also follows another agreement announced October 28, when Elong disclosed a $25.5 million annual distribution arrangement.
Together, the agreements support the company's strategy of expanding its energy storage business while developing international distribution operations.
If Elong successfully converts the planned purchases into firm orders and delivers the equipment, the agreement could provide a meaningful source of revenue over the next three years.
For now, the next development to watch is the anticipated $45 million purchase contract in January 2027.
Publication Date
November 5, 2026
Category
Energy
Jeff Siegel
Senior Content Contributor
