Fengate and Alpha Omega Power start operations at Caballero Battery Energy Storage System

By: Fengate Asset Management via GlobeNewswire

June 24, 2025 at 10:00 AM EDT

NIPOMO, Calif., June 24, 2025 (GLOBE NEWSWIRE) -- Fengate Asset Management (Fengate) and Alpha Omega Power (AOP) today announced that the 100-megawatt (MW)/400-megawatt-hour (MWh) Caballero Battery Energy Storage System (BESS) facility in Nipomo, California has achieved full commercial operations.

Caballero BESS is the first facility of its kind in San Luis Obispo County, providing much needed power capacity and using only top-tier technology to ensure world-class safety and durability.

“Caballero BESS is good for the environment and the community, providing enough reliable, clean energy to the central coast of California to power more than 100,000 homes for up to four hours every day, and contributing to local economic growth through the use of 100% union labor during the project’s construction phase,” said Greg Calhoun, Managing Director, Infrastructure Investments at Fengate. “We look forward to funding the continued growth of AOP and bringing resilient, stable power to grids across the United States.”

“Delivering a best-in-class energy storage facility of this scale is AOP’s core mission. Thanks to the world-class team of BESS experts, we have at AOP, and support from our trusted partners, we’re now delivering ‘Reliability, Stored’ to California,” said Paul Choi, Founder and CEO of AOP. “Our team is proud to achieve this milestone, which solidifies AOP as a leading BESS Independent Power Producer.”

Working shoulder-to-shoulder with all local and state authorities, Caballero BESS underwent rigorous testing and training with Cal Fire, San Luis Obispo City, and County Fire during the construction and testing phases. The project meets or exceeds all local, state, and federal safety requirements, including California Fire Codes and the latest National Fire Protection Association (NFPA) 855 standards for energy storage.

Caballero BESS is the first investment by the Fengate and AOP partnership, which formed in 2023. Fengate is managing this investment on behalf of the Fengate Infrastructure Fund IV and its affiliated entities, including an investment by the LiUNA Pension Fund of Central and Eastern Canada.

The project received financing from MUFG Bank Ltd. (MUFG) and from U.S. Bancorp Impact Finance, a subsidiary of U.S. Bank that provides capital to the renewable energy industry via tax equity and project finance debt.

“MUFG is pleased to partner with AOP as it deploys the energy storage resources needed to facilitate the effective and reliable integration of renewable resources into the electric system,” said Phillip Fletcher, Director, Project Finance at MUFG.

“Our investment in the Caballero BESS project is one way we can support our clients with custom financing solutions,” said Jon Peeples, Environmental Finance Business Development Director at U.S. Bancorp Impact Finance. “We’re proud to support Fengate and AOP in their work to expand sources of clean energy, strengthen the energy grid, and drive local job creation.”

About Fengate

Fengate is a leading alternative investment manager focused on infrastructure, private equity and real estate strategies, with more than $7 billion of capital commitments under management. The ﬁrm has been investing in infrastructure since 2006 with a focus on mid- market greenﬁeld and brownﬁeld infrastructure assets in the transportation, social, energy transition and digital sectors. Fengate is one of North America’s most active infrastructure investors and developers with a portfolio of more than 50 assets. Learn more at www.fengate.com.

About Alpha Omega Power

We are innovators focused on utility-scale battery storage, enhancing grid reliability, supporting renewable energy integration for a cleaner, sustainable energy future. AOP develops, acquires, builds, and operates BESS assets in the United States focusing on investment discipline and technological excellence. AOP currently holds a portfolio of over 2GW of BESS projects across key markets and partners with the nation’s top Load Serving Entities to deliver “Reliability, Stored.”

Media contact

Maddison Sharples
Vice President, Communications and Marketing
Fengate Asset Management
+1 416-254-3326
Maddison.Sharples@fengate.com

A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/c0d84e7c-908c-464f-84d5-1bca7ec1d02e