The Power Connection Digest Issue #49

April 1, 2026

Peter Cook, Editor

Only a few months ago, the description of accessing power in West Texas was “I’ve got a need, the need for speed!” Now, we seemed to have blown past hyperspeed.

“We’ve gone from ludicrous speed… to plaid.” (Okay, I asked Claude for some quotes related to super speed and it gave me “plaid” from Spaceballs. I’m sure I have seen the movie, but I don’t recall this line.).

Now, it seems like we’re approaching: “She can’t take much more of this, Captain!”

Certainly that line applies to the grid.

Some big announcements this week (from many of the sponsors and speakers from the 2nd Annual Permian Power Connection Conference!). Speaking of the conference, a hearty welcome to our new sponsors: Kodiak Power Solutions is our latest Platinum Sponsor! If you have not heard of them, that is because just today Kodiak Gas officially closed on their acquisition of Distributed Power Solutions and DPS’ new name will be Kodiak Gas Solutions! Look at that, breaking news and you haven’t even gotten to the articles yet!

Other new sponsors include Caterpillar (Gold), Hanwha Data Centers (Gold), Mesa Power Solutions (Gold), CK Power (Gold), TCB Energy Services (Gold), BT Trailers (Silver), TTS (Silver), Core Scientific (Logo), Kinetik (Logo), Midland Chamber of Commerce (Supporting Org), Odessa Development Corp (Supporting Org), Per Scholas (Supporting Org), and Flipping the Barrell (Media Partner).

Check the conference website to see if your logo is on there. If not, reach out to me and let’s get that fixed!

On top of that, we’ve added a bunch of new speakers to the conference website. We’ll showcase our new speakers and confirmed agenda topics in the Digest in the next couple of weeks. Let’s jump right to the content for this week’s newsletter. Not only are there some huge announcements, but there are a couple of articles with words of caution that are well worth considering.

And now, the news…

Chevron, Microsoft, and Engine No. 1 sign exclusive deal for power supply

The long-term agreement is tied to a proposed natural gas-fired power plant in West Texas, with a projected cost of roughly $7 billion. The facility would initially generate 2,500 megawatts of electricity, intended to power a large data center campus. Congrats to Chevron, Platinum Sponsor for the Permian Power Connection Conference, on the announcement!

Atlas Energy Solutions signs 5-year power purchase agreement

The PPA features an initial term of 5 years and two additional 5-year extension options. Congrats to another Platinum Sponsor for the 2nd Annual Permian Power Connection Conference!

Meta boosts investment in West Texas AI data center by over sixfold to $10 billion

The data center aims to bring 1 gigawatt of capacity online by 2028.

LandBridge Announces Agreement with PowerBridge for the Development of a 2 GW Powered Data Center Campus in the Permian

LandBridge announced that it has entered into a lease development agreement with PowerBridge, providing the option to lease up to ~3,400 acres in Reeves County, Texas from LandBridge for a giga-scale data center campus with up to 2 GW of initial co-located power generation under development by PowerBridge and its power partners (the “Alpha Digital Campus”).

Crusoe Announces New 900 MW AI Factory Campus in Abilene, Texas to Support Microsoft AI Infrastructure

New dedicated campus designed to support large-scale AI workloads; combined with Crusoe’s existing Abilene infrastructure, the full site is expected to reach approximately 2.1 GW of total capacity.

The Gas Turbine Aftermarket Just Got a $40 Billion Backer

Hanwha (a new Gold Sponsor for the Permian Power Connection Conference!) + PSM is a bigger deal than most people realize. Here’s why it matters for every power plant owner in the country.

New Era Energy partners with Stream Data Centers for Texas campus

New Era Energy & Digital announced it has entered into a non-binding letter of intent to form a joint venture with Stream Data Centers for the development of its Texas Critical Data Centers campus in West Texas.

7.5 GW and a Blank Check: Meta Just Showed the World What AI Power Procurement Actually Looks Like

It’s not behind the meter. And that distinction changes everything.

Army reaches conditional agreement with private industry for hyperscaled data centers

Global investment firm Carlyle was selected for a project on about 1,384 acres at Fort Bliss in West Texas, and CyrusOne was selected for a project on approximately 1,201 acres at Dugway Proving Ground, Utah.

ABB expands partnership with VoltaGrid to support data center microgrid offering

The new agreement will see ABB provide 35 additional synchronous condensers with flywheel technology and eHouses for major power generation projects globally for VoltaGrid (a Platinum Sponsor for the Permian Power Connection Conference!).

Google, Fermi executives debate off-grid data centers

The race to find power for data centers set up a heated debate between Fermi America and Google executives on Wednesday over issues like going off grid and renewable energy’s ability to meet massive load growth. Fascinating discussion, and we’ll be having a panel on the debate at the Permian Power Connection Conference.

Texas Opens $350M Advanced Nuclear Grant Programs to Spur Reactor Buildout, Supply Chain

“To power the Texas of tomorrow, we must boost our state’s advanced nuclear capacity,” said Texas Governor Greg Abbott in a statement.

What are the downsides to the data center boom? The Texas Legislature aims to find out.

Lt. Gov. Dan Patrick, who controls the Texas Senate, has directed lawmakers to "recommend ways to balance (the) economic development benefits of this growth against the impacts on landowners, private property rights, water infrastructure and community integrity."

Texas may overhaul power market to handle data center boom

The chair of the state Public Utility Commission told energy leaders at CERAWeek that regulators will examine grid costs.

Texas and the Illusion of Demand

Inside the ERCOT interconnection queue, a new reality is emerging. Developers are filing for grid access not because they are ready to build, but because the option itself has value. Right now, the grid is planning against a shadow. And that shadow has consequences.

Why Texas Is Winning the Next Phase

If you want to understand where the next wave of data center development is going, stop looking at maps of where data centers have been. Start looking at where power can still move.

Powering southeast NM means powering the entire state

Southeast New Mexico is carrying one of the heaviest economic loads in this state, but the power infrastructure needed to support that growth is struggling to keep pace.

Top energy developer warns on overbuilding power supplies for AI

A leading US clean energy investor has warned of the risk of overbuilding energy infrastructure for the AI boom, urging power companies to require data centres cover the cost of the build-out — whether they use the electricity or not.

Modular data centers could be attached to gas pipelines and use excess pressure for power and cooling

“By recovering otherwise wasted pressure energy, the system generates electricity without combustion or emissions. Simultaneously, high-capacity cooling is produced and used to efficiently manage server heat load.”

Behind-the-Meter Is No Longer a Backup Plan: what changes now

Transformer lead times of 18 to 36 months and generator or turbine procurement measured in years mean that infrastructure decisions must precede utility agreements by a significant margin.

SoftBank’s 10 GW Ohio Campus Marks a Turning Point for AI Infrastructure

With DOE leasing federal land and AEP supporting transmission, SoftBank’s 10 GW Ohio project redefines AI data centers around power and infrastructure.

New power plant to add grid capacity

A new Western Pennsylvania power plant will not only power a gargantuan data center campus, it will actually add electricity generation to the region's much strained grid.

Why Western Pennsylvania is built for the AI economy

With vast energy reserves beneath our feet, infrastructure already in place, a legacy of skilled trade workers known for their work ethic, and access to top research, engineering, and robotics institutions such as Carnegie Mellon University and the University of Pittsburgh, innovators are not talking about subtraction. They are talking about addition.

When Your Bring Your Own Power and Can’t Use It

Under the proposed PJM framework, even if a developer builds or secures enough generation to meet its own demand, that power is not guaranteed to serve the data center. It is treated as part of the broader network. It can be redirected. It can be curtailed. It can be taken away in the name of system reliability. So you can bring your own power and still not have power.

Data centers get ready — the Senate wants to see your power bills

Two U.S. senators on Thursday fired the latest salvo in an increasingly active front against data centers and their energy use. Senators Josh Hawley and Elizabeth Warren sent a letter to the U.S. Energy Information Administration (EIA) asking it to collect details on energy use from data centers — and how that use is affecting the grid.

Full Throttle: Five Trends Reshaping the Gas Power Boom

A once-predictable industry is moving at hyperscale speed. Here are five trends defining the biggest gas power buildout in a generation.

Looking to stay connected in the rapidly evolving Permian Basin? Look no further than The Power Connection Digest.

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