Microsoft and Chevron announced plans on Monday to develop a 2.67-gigawatt natural gas power plant in West Texas to serve the tech company’s AI and cloud data centers.
Under the 20-year power purchase agreement, the plant will provide dedicated electricity to a Microsoft-operated data center. Two large GE Vernova turbines will generate most of the power, with a Caterpillar subsidiary Solar Turbines providing the rest. (The Solar Turbines name might sound familiar — xAI uses them in its unpermitted power plant near Memphis.) Microsoft will buy power from the power plant for 20 years.
