According to Electrek, Tesla has locked in a long-term power purchase agreement for most of the output of Project Sterling, a large solar-plus-storage facility now under construction in Mohave County, Arizona. ContourGlobal held a groundbreaking on October 6, and the project is expected to come online in 2028.

The facility will span more than 2,000 acres in the Mojave Desert and include more than 760,000 solar panels with a combined DC capacity of 509 MW, converting to 450 MW AC. It will also feature over 300 battery containers using lithium iron phosphate chemistry, delivering up to 360 MW and storing about 1.4 GWh. ContourGlobal says the combined system can supply clean electricity for up to 16 hours a day and generate more than 1.1 TWh annually.

Tesla's PPA covers around 1 TWh per year plus renewable energy certificates, roughly 90% of expected output. The plant will connect to the Western Area Power Administration grid and has secured transmission rights into California's ISO market. Construction is expected to employ about 400 workers, and the project is privately financed with an equity bridge loan from international banks.