Cypress Creek Energy and Google have commenced construction on the initial two phases of the Steel River Energy Center in Mississippi County, Arkansas, US.

The start of building works was marked by a ceremony attended by local officials, company representatives and community leaders.

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The initial phases of the development will deliver 1.6GW-direct current (GWdc) of solar generation capacity and 1.9GW-hours (GWh) of battery storage to the local electricity grid.

The project ultimately aims to deliver a total of 2.5GWdc of solar capacity and 2.9GWh of battery storage once all three phases are completed by 2029.

According to Cypress Creek, this output is expected to be sufficient to supply more than 315,000 homes in Arkansas each year.

Google has entered into a power purchase agreement with Cypress Creek to secure power from the first two phases.

Google Data Centre Energy head Will Conkling said: “Steel River not only represents an important investment in Google’s clean energy commitments but also in our commitment to Arkansas.

“This collaboration with Cypress Creek Energy will strengthen the grid and help ensure more reliable, affordable and clean energy is available for businesses and communities throughout the state.”

Located in the heart of the country’s leading steel-producing region, the project will use structural steel sourced from Mississippi County.

For the early stages, PACO Steel will supply more than 400,000 steel piles manufactured in Blytheville, using 142,000t of steel from US Steel’s Big River Steel facility.

Solar trackers for the site will be produced with domestic steel, and all solar modules and battery energy storage systems will be made in the US.

LG Energy Solution is set to provide its lithium iron phosphate-based energy storage system, JF2 DC Link, for the project.

The construction is expected to generate roughly 700 jobs per phase and provide a total of $300m in tax revenue over the project life, supporting Rivercrest School District, Mississippi County and the town of Wilson.

Cypress Creek has named Moss as the engineering, procurement and construction contractor for the Steel River Energy Center project.

Last month, Cypress Creek obtained $3.5bn in financing for the initial two phases of the Steel River Energy Center.