NiSource Enters into $2.2B Battery Energy Storage Tolling Agreement

Event Overview

On October 15, 2026, NiSource Generation Company LLC ("GenCo"), a subsidiary of NiSource Inc., entered into a long-term Battery Storage System Tolling Agreement with Atlas Storage 1 LLC, an indirect subsidiary of AGP Capital Holdings Pte. Ltd. ("AGP Group").

Key Terms of the Obligation

• Project Capacity: 600 MWAC / 2,400 MWh stand-alone battery energy storage system interconnected with the Midcontinent Independent System Operator, Inc. (MISO) transmission system.
• Scope & Rights: GenCo will supply electricity to charge the facility and retain full dispatch rights, capturing capacity, energy storage, discharged energy, ancillary services, and environmental attributes/revenues.
• Term & Value: Approximately 20.5-year delivery term commencing on commercial operation of phase 1 (expected by December 1, 2027). Aggregate storage payments are estimated at approximately $2.2 billion.
• Accounting Treatment: Expected to be accounted for as a finance lease obligation under FASB ASC Topic 842.
• Purchase Option: GenCo secures an exclusive and irrevocable option to acquire the project at specified intervals during and at expiration of the delivery term.
• Conditions: Subject to execution of EPC contracts and satisfactory interconnection agreements by January 31, 2027.