Kentucky Power and TeraWulf expand agreement to 1 GW with $100 M in customer bill credits
Kentucky Power and TeraWulf finalized an expanded agreement that doubles the contracted electric demand at the Muskie Data campus from 500 MW to 1 GW. The deal provides $100 million in winter bill credits for residential customers over the first ten years, with credits beginning in 2029. It also moves the second 500‑MW phase forward from 2030 to 2029 and requires TeraWulf to cover financing costs for Kentucky Power’s planned 760‑MW generation facility. The agreement is pending approval by the Kentucky Public Service Commission.
Why it matters
Kentucky Power says the agreement will support system modernization and protect existing customers from the cost of new demand. TeraWulf expects the expanded 1 GW commitment to meet strong customer demand and accelerate its growth in eastern Kentucky.
Key facts
- 1The expanded agreement would increase contracted electric demand at the Muskie Data campus from 500 megawatts to 1 gigawatt. prnewswire.com
- 2TeraWulf will provide $100 million in winter bill credits for Kentucky Power residential customers over the first 10 years of the contract. prnewswire.com
- 3The bill credits are expected to begin in 2029 and could be about $25 per month for a typical residential customer during the winter heating season. prnewswire.com
- 4The second 500‑megawatt phase of the Muskie Data campus is accelerated from 2030 to 2029, subject to regulatory approval. prnewswire.com
- 5TeraWulf has agreed to pay the estimated financing costs for Kentucky Power’s planned 760‑megawatt combined‑cycle generation facility at Big Sandy. prnewswire.com
- 6The agreement remains subject to approval by the Kentucky Public Service Commission. lanereport.com
Summary written by AlphAI from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.