Peak Energy: Salt Battery Challenge to China’s Dominance

A Denver-based energy storage company, Peak Energy, is attempting to challenge China’s dominance in the battery supply chain with a surprising key ingredient: sodium. The company is betting on sodium-ion battery technology, which relies on soda ash – a sodium compound remarkably abundant in the United States – as a viable alternative to the lithium-ion batteries that currently power everything from electric vehicles to grid-scale energy storage.

Currently, China controls a significant portion of the battery materials market. This has prompted policymakers and industry leaders to seek alternative supply chains to bolster energy security. According to a report by Peak Energy, the U.S. Holds 92% of global soda ash reserves, positioning it as a potential “Saudi Arabia of soda ash.” Unlike China, which must synthesize soda ash from salt, the U.S. Can source it cheaply and in large quantities.

The shift towards sodium-ion technology isn’t a new idea, but several factors are converging to make it more feasible now than in the past. The Inflation Reduction Act, with its bipartisan incentives, is attracting capital to domestic battery manufacturing. Simultaneously, growing trade tensions with China and the rapidly increasing demand for energy storage are creating a strategic urgency to localize production.

While lithium-ion batteries have long been favored for their high energy density – crucial for applications like electric vehicles where weight and range are paramount – sodium-ion batteries offer distinct advantages in other areas. Landon Mossburg, CEO of Peak Energy, highlighted in a recent interview that sodium-ion batteries trade some energy density for a longer life and lower operating costs. This makes them particularly well-suited for large-scale grid storage, where size and weight are less critical than longevity and affordability.

Peak Energy is currently leveraging existing global cell supply while simultaneously working towards establishing U.S. Gigafactory capacity by 2028. This dual approach allows the company to bring sodium-ion systems to market quickly while building a domestic manufacturing base. The company’s strategy involves pairing proven system integration with a clear roadmap to domestic production, aligning with both U.S. Energy security priorities and the growing commercial demand for non-lithium storage solutions.

A demonstration project near Denver, Colorado, showcases Peak Energy’s technology. A recent installation consists of a 110,000-pound container packed with batteries capable of powering 2,700 homes for four hours. This pilot project serves as a tangible example of the potential of sodium-ion technology.

The appeal of sodium-ion batteries extends beyond resource availability. Sodium is inherently safer than lithium, reducing the risk of thermal runaway and fires. The innovative, passively cooled design employed by Peak Energy further enhances safety and extends battery life. This design allows for a more stable operating temperature, minimizing degradation and maximizing the battery’s lifespan.

However, challenges remain. While the U.S. Possesses abundant soda ash reserves, establishing a robust and efficient supply chain for sodium-ion battery components will require significant investment and coordination. The technology is still in its early stages of commercialization, and scaling up production to meet growing demand will be a complex undertaking. The Nikkei Asian Review reported that while materials are abundant, supply chain hurdles remain.

The success of Peak Energy and the broader adoption of sodium-ion batteries could have significant geopolitical implications. By reducing reliance on China for battery materials, the U.S. And its allies could strengthen their energy independence and mitigate the risks associated with concentrated supply chains. This shift could also create new economic opportunities within the U.S., fostering domestic manufacturing and job creation.

The world’s largest sodium-ion battery launched in November 2025, signaling a growing momentum behind the technology. While lithium-ion batteries are unlikely to be displaced entirely, sodium-ion batteries are poised to capture a significant share of the energy storage market, particularly in applications where cost, safety, and longevity are paramount. Peak Energy’s approach, focusing on grid-scale storage and domestic production, represents a strategic bet on the future of energy storage and a potential pathway to break China’s battery stranglehold.