US-based investment giant BlackRock has acquired Akaysha Energy, an Australian firm that has more than 1GW of energy storage capacity in its portfolio.

The financial details of the deal have not been disclosed.

BlackRock has committed to investing more than A$1bn ($700m) to support the development of battery storage assets in Australia.

The deal was executed through the company’s Climate Infrastructure business and is its first battery storage investment in the Asia-Pacific (APAC) region.

Akaysha Energy’s portfolio comprises nine battery storage assets, including Ulinda Park, a 150MW/300MWh battery project located in the west of Brisbane.

The Australian firm has also developed the Palmerston Battery Energy Storage System (BESS) in Tasmania.

It also plans to deploy a large-scale battery with a capacity of between 200MW and 400MW near Wellington, New South Wales (NSW).

Akaysha said that its NSW battery will have the capacity to hold up to eight hours of energy storage capacity.

The company currently has six other projects in the development phase, the details of which are yet to be released.

BlackRock APAC climate infrastructure co-head Charlie Reid said: “For our clients, we see tremendous long-term growth potential in the development of advanced battery storage assets across Australia and in other Asia-Pacific markets and look forward to working with Akaysha to ensure an orderly transition to a cleaner and secure energy future.”

Reid added that these battery storage projects would play a key role in Australia’s energy transition, as some of the country’s coal-fired power stations are expected to close ahead of schedule.

In the longer run, Akaysha Energy plans to explore new opportunities for developing storage projects in other APAC regions, particularly Japan and Taiwan.

The company is also looking to add green hydrogen assets to its portfolio.

In August last year, an affiliate of BlackRock acquired a stake in South Korean solar energy development company Brite Energy Partners.