Energy firm plans battery manufacturing plant in Sacramento County
A Bay Area energy firm plans to open a 183,000-square-foot battery manufacturing site near Sacramento’s airport and hire hundreds of local workers, the company announced Wednesday.
Burlingame-based Peak Energy credited the dramatic increase in demand for energy storage, driven in part by the proliferation of data centers. The company aims to begin manufacturing in Sacramento County in the first quarter of 2027, said CEO and Cofounder Landon Mossburg.
Peak Energy’s batteries are the size of shipping containers, and are primarily used by data center operators and utilities.
“America needs energy storage that is lower cost, more affordable, more reliable and purpose-built to meet the demand coming onto the grid,” Mossburg said in a statement.
The company said the facility represented a $71 million investment and would employ 239 people.
Sacramento competed with other sites across the U.S. for the manufacturing site — including Texas, said Greater Sacramento Economic Council CEO Barry Broome.
Peak was awarded a $10.5 million tax credit through CalCompetes, a state program. And the Sacramento Municipal Utility District will help the company test its batteries on the local grid with a small pilot program, said Lora Anguay, the utility’s incoming CEO.
Renewable energy, unlike natural gas, is a “use it or lose it” proposition, said Sacramento City Councilmember Eric Guerra, who is on the California Air Resources Board for the Sacramento Air Basin, and previously chaired the Sacramento Metropolitan Air Quality Management District.
Batteries with storage like Peak Energy’s, Guerra said, can help utilities store that energy.
Mossburg said in an interview that “old-school battery technology” requires refrigeration, while Peak’s don’t. That distinction, he said, represented an “incredible engineering problem,” in designing batteries that can survive 22 to 25 years in climates as diverse as Arizona and Alaska.
“It’s a big mission,” Mossburg told attendees at a launch event Wednesday. “Energy is getting more expensive.”
Mossburg previously spent five years at Tesla, first in supply chain, then as an engineering director. He then worked for the Swedish battery firm Northvolt, most recently as the company’s North American president.
He co-founded Peak Energy in 2023. The company now has more than $1 billion in customer contracts. Peak is shipping some orders already, out of Burlingame, but next year has to deliver about 10 times the amount it will in 2026, and the following year it will grow eightfold again.
“We needed to be online and scale up really quickly,” he said.
