Black Hills Corp. has entered into a long-term agreement to supply power to a Google data center campus in Cheyenne, Wyoming. The contract spans until 2048, with the deal officially effective as of September 30, 2026.
The energy supply model includes 590 MW of grid-connected power from new natural gas plants and 2.1 GW managed via a microgrid, totaling approximately 2.7 GW. Black Hills plans to invest $1.8 billion between 2027 and 2029 to expand capacity at the Cheyenne Prairie Generating Station.
Google will cover all project-related expenses to protect other utility customers from financial risks. The company has already provided an advance payment of $399 million for long-lead equipment procurement.
Black Hills expects the project to generate $150 million in additional net income by 2030 and $2.4 billion in unlevered free cash flow through 2048. Service is scheduled to begin in late 2027, reaching peak load by 2030.
The utility is currently in the process of merging with NorthWestern Energy. This consolidation is intended to create a larger entity capable of supporting the energy demands of major clients like Google.
