Deployment of high temperature (>500 °C) thermal energy storage in solar power plants will make solar power more cost competitive and pave the way towards a sustainable future. In this research, a unique metallic encapsulation has been presented for thermal energy storage at high temperatures, capable of operation in aerobic conditions. This goal was achieved by employing low cost materials like carbon steel. The research work presents the unique encapsulation procedure adopted, as well as various coatings evaluated and optimized for corrosion protection. Experimental testing favored the use of 150 μm of nickel on carbon steel for corrosion protection in these conditions. These metallic encapsulations survived several thermal cycles at temperatures from 580 °C to 680 °C with one encapsulation surviving for 1700 thermal cycles.