Gore Street Energy Storage Fund, the battery storage investment company, has signed a two-year tolling agreement with North American energy solutions provider MAG Energy Solutions covering three of its operational assets in Texas.
The agreement covers 80% of the capacity of the Snyder, Sweetwater and Westover sites, which together have a total capacity of 29.85 MW and 59.7 MWh, with 23.9 MW and 47.8 MWh placed under the toll.
Under a tolling structure, the counterparty pays a fixed fee for the right to operate and dispatch the assets, giving the asset owner predictable income regardless of market conditions. MAG will pay a fixed toll of approximately £57,700 per MW per year, taking over management of bidding, scheduling and dispatch from 19 October.
The remaining 20% of capacity retains merchant exposure, with revenues from that portion shared between the two parties.
The deal is designed to provide stability through a difficult period for Texas battery storage.
The company's Texas assets averaged around £14,980 per MW per year in the quarter to 30 June 2026, well below the tolling rate secured, after rapid growth in installed capacity compressed market revenues from their 2022-23 peaks.
Chief executive Alex O'Cinneide said the agreement bridges the gap between current market conditions and the higher returns expected as Texas demand recovers, driven by data centre growth and industrial electrification.
Contracted revenues are now expected to account for around 40% of total revenue in the current financial year.
