Bitdeer AI, part of Bitdeer Technologies Group, an emerging AI cloud service and infrastructure provider has signed a 16 year colocation lease and services agreement for its Tydal Data Center in Norway, securing a tenant commitment expected to generate approximately US$ 4.7 billion in contracted revenue over the initial term. The lease is structured as a modified gross lease which includes a one-time eight-year extension option that could increase the total contract value to approximately US$ 8 billion over 24 years.
According to a press release, the agreement was signed through Bitdeer subsidiary Tydal Data Center AS with Volta Tydal AS, a subsidiary of AI infrastructure company Volta. It will provide 121 IT MW of capacity at the Tydal facility, supported by 133 gross MW, for a leading AI lab using NVIDIA GPU infrastructure, with Dell Technologies serving as the technology provider with the tenant reimbursing electricity costs on a pass-through basis, and average payments over the initial 16 year term expected to be approximately US$ 202 per kW per month.
Michael G. Potter, CFO, Bitdeer Technologies, said, “This project will incorporate leading-edge NVIDIA GPU technology and frontier models from a leading AI lab into a data center that is powered exclusively through highly reliable, carbon-free energy sources to bring AI data centers at scale to Norway and Europe.”
Haakon Bryhni, Chairman, Tydal Data Center AS, said, “Tydal Data Center combines one of Norway’s strongest energy locations with dual grid connectivity and renewable local hydropower, with the world’s most advanced AI infrastructure in building a new generation of high-performance AI infrastructure, delivering leading-edge energy efficiency while creating opportunities for energy reuse and a circular economy to establish Norway as a leading destination for sustainable AI computing.”
Ricard Boada, Co-Founder and CEO, Volta, said, “This partnership demonstrates what is possible when institutional infrastructure capital is combined with world-class physical infrastructure and leading AI technology. By combining Bitdeer’s data center platform with Volta’s capital formation capabilities, compute platform and relationships across the AI ecosystem, we are creating one of Europe’s largest AI factories.”
Volta’s lease obligations are expected to be supported by a credit backstop consisting of Letters of Credit totaling approximately US$ 1.3 billion, arranged by affiliates of J.P. Morgan and another global financial institution, subject to customary conditions.
The Tydal site is being developed as an AI-focused data center following Bitdeer’s expansion from cryptocurrency mining infrastructure into high-performance computing and AI infrastructure. When completed the facility is expected to rank among Norway’s largest AI data centers, with a power usage effectiveness (PUE) of approximately 1.1 and operations powered entirely by renewable energy.
Financial advisers and legal counsel were involved on both sides of the transaction. Morgan Stanley & Co. LLC, Barclays Capital Inc., and Northland Securities, Inc. advised Bitdeer on the agreement, while Lowenstein Sandler LLP, Cooley LLP, and Advokatfirmaet Wiersholm AS served as its legal counsel. J.P. Morgan acted as financial adviser to Volta, with Milbank LLP providing legal counsel.