LandBridge Company LLC has signed a lease development agreement with PowerBridge LLC that could lead to the construction of a large data center campus in Reeves County, Texas. Under the agreement, PowerBridge has the option to lease about 3,400 acres from LandBridge for what the companies call the Alpha Digital Campus. The project would include up to 2 GW of on-site power generation and a large-scale data center complex.
According to a press release, the agreement gives PowerBridge the right to continue site development work, seek permits and other entitlements, and potentially secure a long-term lease for the property. The site would be used for data center infrastructure and related power facilities.
Jason Long, CEO, LandBridge, said, “This new agreement with PowerBridge represents a catalyst for executing on the West Texas data center thesis with a proven developer with a strong track record of power and data center execution at scale. West Texas is primed to accommodate growing data center demand through its vast, contiguous surface availability, attractive natural gas dynamics, significant water availability, and favorable grid outlook and permitting timeline, among other enablers.”
Alex Hernandez, CEO, PowerBridge, said, “We are excited to partner with LandBridge in advancing our powered campus development strategy, which integrates energy and digital infrastructure, powered campus infrastructure will provide customers with ‘pad-ready’ campuses for multi-gigawatt vertical data center deployments that meet the pace and magnitude of hyperscaler customer requirements at Alpha Digital and other locations across West Texas.”
PowerBridge is backed by Five Point Infrastructure and is led by CEO Hernandez, the former founder and chief executive of Cumulus Data, and former CEO of Talen Energy Corp. Cumulus Data developed what it described as the first multi-gigawatt data center campus in the United States co-located with wholesale power generation.
PowerBridge has already filed a Generation Interconnection Request for the project’s power facilities and submitted details for the data center load. The company said the campus would operate through a private-use power network.
PowerBridge has also ordered equipment needed for the site’s power infrastructure. The first phase of power delivery is expected in 2027, while larger-scale generation is expected to come online in 2028, subject to regulatory approvals and commercial agreements.