Chevron signs power supply deal with Microsoft for Texas data center

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Wiring sits inside of the Data Hall of the Microsoft data center campus in Mount Pleasant, Wisconsin, U.S., September 18, 2025. REUTERS/Audrey Richardson
A Chevron logo outside the Chevron building in Houston, Texas, U.S. August 19, 2025. REUTERS/Kaylee Greenlee
FILE PHOTO: The steel frame of data centers under construction during a tour of the OpenAI data center in Abilene, Texas, U.S., September 23, 2025. REUTERS/Shelby Tauber/Pool/File Photo

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June 22 : Chevron said on Monday it has signed a 20-year deal with Microsoft to provide natural-gas fired power for a proposed data center in West Texas.

Technology companies, ‌including Microsoft, are rushing to secure electricity supply for their rapidly expanding data centers that would power AI services such as ChatGPT and Copilot.

The power plant, called project Kilby, is expected to is expected to provide first power by 2028 and will ramp up to 2.67 gigawatts over time.

Chevron expects to announce a final investment decision for project Kilby by the end of this year.

Source: Reuters

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