Eos Energy Enterprises, Inc. has started commercial production at its Thorn Hill manufacturing facility in Marshall Township, Pennsylvania, following the successful completion of Site Acceptance Testing for Battery Line 2. The launch marks a significant step in the company's efforts to scale its manufacturing model and reduce execution risk associated with future expansion. By replicating and improving upon the automated battery production established at its first facility, Eos aims to support growing customer demand and execute against its contracted backlog.

The company is advancing toward a goal of reaching 4 GWh of annual manufacturing capacity by the end of 2026. This expansion is driven by increasing demand for its zinc-based long duration energy storage systems across multiple applications. In May 2026, Frontier Power USA (FPUSA) signed its first transaction to acquire a 480 MWh battery project portfolio in Texas and entered a strategic framework agreement with Stella Energy Solutions to advance a 2 GWh pipeline utilizing Eos technology.

Production Milestones and Capacity

Battery Line 2 was designed using operational insights gained from commissioning Line 1. The new line incorporates single-piece flow architecture, enhanced process redundancy, and advanced pick-and-place gantry systems to improve throughput. Simultaneously, Line 1 surpassed its full-year 2025 production in just the first 164 days of 2026, establishing a blueprint for future capacity additions.

Facility Efficiency and Design

The Thorn Hill facility layout reduces raw material travel by 86% and shortens overall production line length by 40% compared to Battery Line 1. These improvements are designed to enhance material handling, reduce complexity, and support higher operating efficiency. Production operators are onsite, and Line 2 has begun producing commercial batteries. Subassemblies are expected to come online in the early third quarter, with full production targeted in the fourth quarter of 2026.

International Demand and Projects

In the United Kingdom, Frontier Power Energy Holding Ltd acquired rights to the Ayr and Busby projects in Scotland. These projects are expected to utilize approximately 2.8 GWh of Eos Z3 Indensity systems under an existing framework agreement announced in April 2025. While subject to development milestones and closing conditions, these opportunities underscore the demand that Line 2 was built to support.

Eos Energy Enterprises, Inc. announced the record date for a rights offering to fund its capital contribution in the Frontier Power USA joint venture. The record date for the Rights Distribution will be at 5:00 pm New York time on July 1, 2026, and the distribution date will be on July 2, 2026. Eligible holders include holders of the company's common stock and warrants issued on specific dates in 2023 and 2025.

The company expects to distribute rights to acquire units comprised of common stock and warrants. Each right will entitle an Eligible Holder to purchase units at a subscription price equal to an approximate 10% to 20% discount to the volume weighted average trading price of the company's common stock for a 15 to 30 day trading period ending on and including the trading day prior to the Record Date. The warrants included in the Units will have a value equal to approximately 25% to 50% of the aggregate rights offering amount, based on a Black-Scholes methodology.

The rights offering will include an over-subscription privilege to permit Eligible Holders who exercise their basic subscription rights in full to purchase additional unsubscribed Units, subject to certain restrictions. Further details on the terms and procedures will be announced at the commencement of the rights offering.

Pursuant to the terms of certain outstanding warrants and convertible notes, the company is required to provide advance notice of the Rights Distribution, including a 20-calendar-day notice period for certain warrant holders and a 10-scheduled trading-day notice period for convertible note holders.

The rights offering will be made pursuant to the company's existing effective shelf registration statement on Form S-3 filed with the Securities and Exchange Commission (SEC) and a prospectus supplement to be filed prior to the commencement of the offering. The completion of the rights offering remains subject to certain conditions, and the company reserves the right to amend or terminate the offering at any time prior to its expiration date.