Partners with Tallgrass to utilize natural gas pipelines
Crusoe is developing a new gigawatt-scale data center campus in Wyoming.
The company this week announced a strategic partnership with Tallgrass to develop a 1.8GW AI data center campus located in southeast Wyoming.
Further details on location, specifications, or project timelines weren’t shared.
Reportedly designed to scale up to 10GW, the campus will integrate multiple energy sources fueled by natural gas and future renewable energy developments in the region.
The project is apparently also set to benefit from its proximity to Tallgrass' existing CO2 sequestration hub, providing long-term carbon capture solutions, as well as leverage Tallgrass’ existing natural gas and water Wyoming assets.
“Building an American AI factory that can scale to 10GW of capacity illustrates Crusoe’s commitment to delivering infrastructure at the scale needed for the US to win the global AI race,” said Chase Lochmiller, co-founder and CEO of Crusoe.
“Our partnership with Tallgrass will activate the energy needed to power intelligence and drive a massive investment into the American workforce to bring this to life, creating high-quality jobs across construction, manufacturing, technology, energy, and transportation.”
Crusoe is currently developing a 1.2GW data center campus in Abilene, Texas, for Oracle and OpenAI. The company said it has broken ground on another 1GW+ campus at a new site, but hasn’t shared details. Crusoe has previously detailed plans to develop natural gas-powered data centers in Alberta, Canada.
Founded in 2012, Blackstone-backed Tallgrass operates thousands of miles of natural gas and oil pipelines in the US. It is also developing a hydrogen plant and developing carbon capture projects.
“At Tallgrass, we've called Wyoming ‘home’ for more than a decade,” said Matt Sheehy, CEO of Tallgrass. “With hundreds of teammates and thousands of miles of pipeline and other large-scale infrastructure across the state, we’re proud of the impact we've made in the region - and through this collaboration with Crusoe, even more excited for what’s ahead.”
Crusoe launched in 2018 as a cryptomining business that deployed containerized data centers to oil wells to harness natural gas that would otherwise be "flared off" and wasted. It has since pivoted to developing permanent data centers for itself and others, offering AI cloud services (including from leased sites), and has divested its crypto operations.
“This is exciting news for Wyoming and for Wyoming natural gas producers – and it highlights the kinds of projects we can achieve through continued trade missions, like our recent visit to Taiwan and Japan. Crusoe and Tallgrass have been working in Wyoming for years, and Crusoe was featured on 60 Minutes, pioneering new technology. It’s great to see that work continue here. I’m looking forward to their joint project becoming a reality,” said Wyoming Governor Mark Gordon.
Wyoming has a relatively small data center market. Microsoft and Meta are present in the Cowboy State, while Prometheus Hyperscale is developing its debut campus in the region. 1547 CSR and several cryptomining companies are also present.