Crusoe Energy Systems, a data center developer, has announced battery procurement agreements with two major energy storage companies to support its expanding operations.

The company has placed orders with Form Energy, which specializes in long-duration iron-air battery technology, and Redwood Materials, known for battery recycling and materials production. The orders are part of Crusoe's infrastructure development strategy for its data centers.

Form Energy's iron-air batteries are designed to provide multi-day energy storage, offering a potential solution for data centers seeking reliable backup power and grid independence. The technology stores energy by converting iron to rust through oxidation and then reverses the process to generate electricity.

Redwood Materials, founded by former Tesla executive JB Straubel, focuses on battery recycling and the production of sustainable battery materials. The company has been expanding its operations to meet growing demand from various sectors requiring energy storage solutions.

Crusoe operates data centers that are often co-located with energy infrastructure, including renewable energy projects and natural gas facilities. The company's business model involves utilizing stranded or excess energy resources to power computing operations.

The battery orders reflect the broader trend of data center operators investing in energy storage systems to ensure operational reliability and potentially reduce grid dependency as computing demands continue to grow.