Hydrostor Secures $230 Million to Progress Advanced Compressed Air Energy Storage Projects

TORONTO, Ontario, AUGUST 12, 2026 - Hydrostor, a global long-duration energy storage (LDES) developer and operator, has secured a $230 million USD equity investment, including previously announced funding from a convertible note that had been committed from Canada Growth Fund Inc. ("CGF"), Goldman Sachs Alternatives ("Goldman Sachs"), and Canada Pension Plan Investment Board ("CPP Investments"). The additional funding comes from a strategic equity round, which includes investments from Baker Hughes; Hatch; Realize Capital Partners, a Social Finance Fund wholesaler; and others.

The transactions will fund development of Hydrostor's 7 GW global pipeline of advanced compressed air energy storage (A-CAES) projects, and will propel Hydrostor's flagship U.S. project, the Willow Rock Energy Storage Center, to financial close later this year.

"The grid needs bankable long-duration energy storage that can be deployed today to enable affordable and reliable electricity for all, and Hydrostor's continued fundraising success is a testament to the potential of our A-CAES technology to get us there," said Curtis VanWalleghem, Chief Executive Officer and Co-Founder of Hydrostor. "We're excited to bring in sophisticated partners who understand the role Hydrostor will play in modernizing the grid."

Hydrostor's advanced compressed air energy storage (A-CAES) technology represents a critical solution for developing affordable and reliable modern grids amidst unprecedented electricity demand growth. The 500 MW Willow Rock Energy Storage Center, Hydrostor's flagship project in the U.S., has received the necessary permits for development and plans to break ground later this year.

About Hydrostor Inc.

Hydrostor is a leading developer and operator of long duration energy storage systems, leveraging a proven, patented technology solution for delivering long duration energy storage to power grids around the world, using compressed air and water to store energy.

Founded in 2010 and with offices in Toronto, Canada; Melbourne, Australia; and Denver, USA; Hydrostor is backed by Goldman Sachs Alternatives, CPP Investments, Canada Growth Fund, and other forward-thinking institutional investors, providing financial security to commit to top-tier energy projects. Hydrostor has an extensive pipeline of A-CAES projects in North America, Australia, and Europe, poised to meet their evolving grid and reliability needs.

To learn more, visit https://www.hydrostor.ca/ or follow us on LinkedIn.

Advisors

National Bank of Canada Capital Markets and Rothschild & Co. acted as financial advisors to Hydrostor, and Goldman Sachs & Co. LLC acted as placement agent, in connection with the transaction.