Woodway Energy Infrastructure, a developer, operator, and owner of natural gas and related energy infrastructure, has announced it has entered into definitive agreements to develop a natural gas pipeline for a hyperscale data center development.
The 22-mile, 30-inch pipeline will provide dedicated natural gas transportation to a behind-the-meter power generation project for the data center. According to a press release, the pipeline has been designed to meet the unnamed customer’s specific requirements with scalability in mind.
“This project demonstrates Woodway’s ability to rapidly deliver large-scale, purpose-built natural gas infrastructure for customers with demanding safety, reliability and capacity requirements,” said Diaco Aviki, Woodway Energy Infrastructure Chief Executive Officer. “Our model combines tailored design, speed and focused execution with long-term ownership and operation. By working closely with our customers, we can develop pipeline solutions that address their specific needs and provide the fuel supply certainty required to support their growth.”
The company said that the pipeline is expected to enter commercial service in the first half of 2028, so long as it clears the regulatory reviews and approvals. The pipeline will be owned and operated by Woodway.
Woodway has not disclosed the name of the hyperscale data center, nor was the location. However, the company’s current assets are all located in Texas, suggesting this project is likely in the state as well. Texas has also become a popular region for data center operators looking to install behind-the-meter power generation, especially around the Permian Basin.
Microsoft announced in June that it had partnered with Chevron to build a generation facility at its Project Kilby facility in West Texas. In August, w.media reported that PowerPlay was developing a 400 MW behind-the-meter AI data center project in the greater Abilene area with a neocloud partner.
Behind-the-meter generation solutions have the benefit of bypassing grid interconnection delays. The Electric Reliability Council of Texas (ERCOT) said in June that it was tracking 438 GW of large load requests for connection to the grid. Of those, nearly 89 percent are from data centers.