Black Hills Corp. Executes Definitive Agreements to Serve Google’s Planned Data Center in Cheyenne, Wyoming
Key Highlights
- ➤Black Hills (BKH) plans $1.8 billion natural-gas generation investment through 2029
- ➤Google data center will receive up to 590 MW of grid-connected energy service
- ➤Project expected to contribute approximately $150 million net income in 2030
- ➤Project expected to generate approximately $2.4 billion unlevered free cash flow through 2048
- ➤Black Hills expects earnings contribution from generation returns and management fees beginning in 2027
Expert Statements
Linn Evans, President and CEO of Black Hills Corp.
“We are pleased to support Google’s planned investment in Wyoming while remaining firmly committed to providing safe, reliable, and cost-effective service to every customer.”
Linn Evans, President and CEO of Black Hills Corp.
“The agreements demonstrate how innovative energy solutions can support economic growth while ensuring existing customers are protected.”
Linn Evans, President and CEO of Black Hills Corp.
“Importantly, these agreements and supporting regulatory mechanisms are structured so that Google bears all costs associated with serving the planned data center throughout the life of the project.”
Linn Evans, President and CEO of Black Hills Corp.
“We are excited that this project will create jobs, strengthen regional infrastructure, and contribute to Wyoming's long-term economic development.”
* Investing $1.8 billion in new company-owned natural gas generation * Providing up to 590 megawatts (MW) of grid-connected energy service and managing 2.1 gigawatts (GW) of third-party contracted resources through a private microgrid * Strong customer protections including no cost shifting to other customers * Return on generation investment and microgrid management fees are contracted to begin contributing to earnings in 2027, and expected to provide approximately $150 million of net income in 2030 * Expected to generate approximately $2.4 billion of unlevered free cash flow through 2048, net of $1.8 billion of capital expenditures RAPID CITY, S.D., Oct. 06, 2026 (GLOBE NEWSWIRE) -- Black Hills Corp. (NYSE: BKH) today announced it has signed definitive agreements effective Sept. 30, 2026, with terms through 2048, to serve a planned Google data center to be constructed in Cheyenne, Wyoming. The negotiated agreements include a Large Power Contract Services Agreement (LPCSA) and a Generation Facilities Agreement (GFA).
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