Osborne Clarke advises EKU Energy on market entry in Germany and acquisition of a 400 MW battery storage project in Lamspringe

Osborne Clarke has provided legal advice to battery storage developer EKU Energy Limited on its market entry in Germany and on the acquisition of a 400 MW battery storage project (Battery Energy Storage System, BESS) in Lamspringe, Germany, from Nion HoldCo GmbH & Co. KG. The project is designed to provide grid‑stabilising system services and to support the integration of a growing share of renewable energies into the German power system and, already at the development stage, ranks among the largest projects in the German market.

The 400 MW BESS in Lamspringe is intended to make a significant contribution to providing flexibility in the power system – from participation in balancing energy markets and managing price volatility on the wholesale power market through to supporting regional grid stability. In an environment where the expansion of renewable generation capacity continues to increase strongly and conventional power plant capacity is being taken off the grid, large‑scale stand‑alone storage projects such as Lamspringe are becoming increasingly important strategically for grid operators, utilities and investors alike.

With EKU Energy’s market entry and the acquisition of the Lamspringe project, the trend towards ever larger, portfolio‑backed storage solutions in the German and European markets is continuing. Battery storage systems are increasingly developing into an independent, investable asset class that is based on market‑driven revenue models without relying on traditional support schemes, while at the same time performing key functions for the energy transition – from smoothing volatile generation profiles to relieving pressure on the grids in congestion situations.

“The combination of the market entry of a specialised international storage developer and the 400 MW project, which is one of the largest in Germany, shows how dynamically the German market for battery storage is currently developing,” says Dr Christoph Torwegge, lead partner at Osborne Clarke. “For new market participants in particular, it is crucial to interlink regulatory frameworks, technical project requirements and bankable contractual structures seamlessly from the outset. The transaction with Nion HoldCo is a good example of how complex BESS platform strategies can be implemented in a structured way in Germany.”

Advisers on the transaction

The Osborne Clarke team which advised EKU Energy Limited under the joint lead of Dr Christoph Torwegge (Partner in charge) and Julian Tristram consisted of Natalie Kopplow, Theresa Viegener, Veronika Thalhammer, Alexandra Abeln, Friedrich Polzin (all from the Energy & Energy Transition sector group), Ann‑Kristin Lochmann (Tax) and Liv Hildebrandt (Legal Project Management).