ESS, the Wilsonville grid-scale energy storage company that went public in 2021 and has been trying to hit its stride since then, has a new board chair.
Texas energy veteran Harry Quarls takes over for Michael Niggli, who had been chair since 2018 and who will retain a seat on an expanded board of directors, ESS (NYSE: GWH) announced Tuesday.
Quarls currently leads the boards at three other companies — Key Energy Services and Mesquite Energy in the oil and gas sector, and CHC Helicopter, which provides transportation services to the oil and gas industry.
Quarls’ resume includes a nearly decade-long stint as managing director at infrastructure investment fund Global Infrastructure Partners.
“We are thrilled to bring someone of Harry’s stature to the board of ESS,” Niggli said in a statement. “The company is making strong progress and delivering the energy storage products that customers need. Adding Harry to the team will prove invaluable as we continue to expand our capacity and scale to achieve the full market potential of our patented, safe and cost-effective long duration storage solutions.”
ESS is aiming to take advantage of a growing energy storage market, but whether its relatively unproven iron flow battery can make inroads against lithium-ion batteries remains to be seen. ESS claims an advantage with longer duration output, but the market will need to be convinced the systems are bankable.
Wilsonville buildout
The company raised around $250 million by going public through a SPAC merger in October 2021 and has poured tens of millions of dollars into building out its Wilsonville production capacity. As of the end of last year it had 271 full-time employees, most in Wilsonville.
ESS reported $2.8 million in revenue in the quarter ended June 30, with a net loss of $22.9 million. It had $99.5 million in cash and equivalents, enough to “get us well into next year,” officials said.
In a statement, Quarls touted ESS’ “proprietary technology this is readily scalable and which leverages flexible, accessible supply chains.”
According to an April proxy statement, ESS’ biggest owner is Softbank Group’s SB Energy Global Holdings with a 23.3% stake, followed by Breakthrough Energy Ventures, a Bill Gates-backed fund, at 12%. Each firm has a spot on the eight-person ESS board.
ESS shares gained nearly 7% on Tuesday as the Russell 2000, a measure of small caps, closed up 1.4%.
