esVolta, a leading developer and operator of battery energy storage assets in North America, has recently secured $139.6 million in project financing from MUFG Bank to support the construction and operation of the Boxcar Energy Storage project in Wylie, Texas, US.
The Boxcar Energy Storage project, located northeast of Dallas, is set to provide 150MW of power and 300 megawatt-hours (MWh) of energy storage to the Electric Reliability Council of Texas (ERCOT) market upon completion. This facility aims to meet the increasing demand for energy storage solutions from commercial and industrial sectors.
The financing arrangement includes a tax equity bridge loan, a construction loan, letters of credit, and term loan facilities to support the development of the project. esVolta has also secured a long-term offtake agreement with a corporate customer for the Boxcar project, further showcasing the demand for energy storage solutions in the market.
Upon completion, the Boxcar project will increase esVolta’s total energy storage capacity within ERCOT to approximately 1.6 gigawatt-hours (GWh). This marks a significant milestone in esVolta’s growth within Texas, where battery storage plays a crucial role in managing electricity supply and demand and supporting the integration of renewable energy sources.
Justin Johns, the Chief Financial Officer of esVolta, expressed gratitude towards MUFG Bank for their support, stating, “MUFG is a premier lender in the energy infrastructure space, and their support of Boxcar reflects strong confidence in both the project and esVolta’s platform.”
The transaction was facilitated with the advisory support of Orrick, Herrington & Sutcliffe for esVolta and Winston & Strawn for MUFG Bank. Fred Zelaya, Managing Director at MUFG, highlighted the importance of energy storage technology in the growth of clean energy, emphasizing the bank’s commitment to supporting projects in key markets like ERCOT.
esVolta has been actively developing and operating standalone battery energy storage assets across North America since 2017. In a previous deal in January 2025, the company completed a preferred equity transaction facilitated by Captona, an energy transition investment firm, totaling $243 million, including proceeds from the sale of input tax credits.
The news of esVolta securing funding for the Boxcar Energy Storage project was originally reported by Power Technology, a GlobalData owned brand. This development underscores the company’s commitment to expanding its presence in Texas and contributing to the growth of clean energy infrastructure in the region.
