Key facts
- TeraWulf and Anthropic signed a 20-year lease for data center infrastructure.
- The deal is expected to generate approximately $19 billion in contracted revenue for TeraWulf.
- The new AI infrastructure campus will be located in Hawesville, Kentucky.
- The campus will support 401 megawatts of critical IT load, with full capacity by early 2028.
- TeraWulf is selling its stake in the Abernathy joint venture to Fluidstack-led group.
- The sale of the joint venture stake is expected to monetize TeraWulf's $450 million investment.
Bitcoin miner TeraWulf announced on Monday a significant 20-year lease agreement with AI company Anthropic for data center infrastructure, a deal projected to generate approximately $19 billion in contracted revenue. This strategic shift aims to secure long-term, recurring revenue for TeraWulf as it transitions away from a primary reliance on bitcoin mining.
The agreement involves the development of a purpose-built AI infrastructure campus at TeraWulf's Justified Data site in Hawesville, Kentucky. This campus is designed to support about 401 megawatts of critical IT load, with initial capacity expected online in the latter half of 2027 and full capacity anticipated by early 2028.
In a separate move, TeraWulf has agreed to sell its 50.1% stake in the Abernathy joint venture to an investor group led by its partner, Fluidstack. This sale is intended to monetize TeraWulf's approximately $450 million investment at a premium and to free up capital for its wholly-owned AI infrastructure projects.
As of the previous close, TeraWulf shares had already seen a substantial increase of about 85% year to date.