National Grid Ventures (NGV), the commercial arm of National Grid plc, has agreed to invest US$ 1.75 billion for a 35 percent stake in Joulent LLC, a technology-driven energy company, forming a strategic partnership to develop contracted power and electrical infrastructure for large electricity users in the United States. The partnership will also draw on its expertise in high-voltage networks, system integration and infrastructure development. The company expects the relationship to support its data center connection program, which aims to connect more than 10 GW of demand across the U.K. and U.S. over the next five years.
The investment will support Joulent’s first project, Project Kilby, a 2.67 GW co-located power facility in West Texas being developed in a 50/50 partnership with Chevron Corporation. The facility will supply electricity to a Microsoft-operated data center under a 20-year power purchase agreement. The project has secured key equipment and engineering capacity and is targeting first power delivery in 2028 according to a press release.
Zoë Yujnovich, Chief Executive of National Grid, said: “Our investment in Joulent is a disciplined, partner-led investment in contracted critical infrastructure for the AI-driven large load economy. It extends National Grid’s core strengths of investing in long-duration infrastructure with predictable cash flows and attractive risk-adjusted returns.”
Chris James, Founder and CEO, Joulent, said, “This investment from National Grid Ventures strengthens Joulent’s ability to deliver reliable, large-scale power on the timelines AI infrastructure and advanced industry now requires.”
Noelle Walsh, Microsoft President of Cloud Operations + Innovation, said, “AI and cloud are advancing at a pace that requires closer coordination between energy and infrastructure, and we welcome National Grid Ventures’ experience and capabilities in helping address this challenge and support reliable, high-performance compute at scale.”
The investment is separate from National Grid’s existing five-year capital investment program of at least £70 billion (US$ 93 million) through 2031. It will be funded from the company’s balance sheet, with a final investment decision expected in 2026. The deal comes as demand from data centers and other power-intensive industries increases, creating demand for dedicated power infrastructure alongside traditional grid connections.