US oil major Chevron has announced it will be forming a new partnership with Engine No. 1 to establish a company that will use natural gas to supply data centres with scalable power.
The joint venture plans to establish what it calls “power foundries” for data centres that will supply them ample energy and avoid the need to take power off the grid.
Seven GE Vernova 7HA turbines, which are fuelled by natural gas and made in the US, have already been secured for the initial projects. Service is expected to start by the end of 2027, with an initial capacity of 4 GW of generation capacity, with there being scope for further expansion.
Engine No. 1’s chief investment officer and founder, Chris James, said that the US’s dominance in AI (artificial intelligence) was dependent on energy, adding:
“By using abundant domestic natural gas to generate electricity directly connected to data centres, we can secure AI leadership, drive productivity gains across our economy and restore America’s standing as an industrial superpower. This partnership with Chevron and GE Vernova addresses the biggest energy challenge we face.”
Chevron, which also makes the Texaco grease and lubricant range, said in a press release that digital technologies like AI-based solutions, cloud computing and data processing could only grow with scalable, cost-effective power solutions that wouldn’t put an excessive demand on the energy grid. It added that its new model would also use interconnects to support wider energy demand, by inputting spare energy into the country’s energy grid a low cost.
