Compressed air energy storage (CAES) represents a very attracting option to grid electric energy storage. Although this technology is mature and well established, its overall electricity-to-electricity cycle efficiency is lower with respect to other alternatives such as pumped hydroelectric energy storage. A meager heat management strategy in the CAES technology is among the main reasons of this gap of efficiency. In current CAES plants, during the compression stage, a large amount of thermal energy is produced and wasted. On the other hand, during the electricity generation stage, an extensive heat supply is required, currently provided by burning natural gas. In this work, the coupling of both CAES stages through a thermal energy storage (TES) unit is introduced as an effective solution to achieve a noticeable increase of the overall CAES cycle efficiency. In this frame, the thermal energy produced in the compression stage is stored in a TES unit for its subsequent deployment during the expansion stage, realizing an Adiabatic-CAES plant. The present study addresses the conceptual design of a TES system based on a packed bed of gravel to be integrated in an Adiabatic-CAES plant. With this objective, a complete thermo-fluid dynamics model has been developed, including the implications derived from the TES operating under variable-pressure conditions. The formulation and treatment of the high pressure conditions were found being particularly relevant issues. Finally, the model provided a detailed performance and efficiency analysis of the TES system under charge/discharge cyclic conditions including a realistic operative scenario. Overall, the results show the high potential of integrating this type of TES systems in a CAES plant. (C) 2017 Published by Elsevier Ltd.