📰 Chevron, Engine No. 1, and GE Vernova Partner to Power U.S. AI Data Centers
New collaboration to deliver up to 4 GW of natural gas-generated power, supporting America’s growing AI industry while planning for a low-carbon future.
Chevron CVX 0.00%↑, Engine No. 1, and GE Vernova GEV 0.00%↑ have announced a partnership aimed at powering the rapid expansion of U.S. data centers that fuel AI. Together, the companies plan to deliver up to 4 GW of power using natural gas, providing a scalable, reliable energy source while keeping future decarbonization options in mind.
The partnership intends to establish several “power foundries” — large-scale power plants directly connected to data centers in regions like the Southeast, Midwest, and West. These plants will bypass the traditional power grid initially, ensuring cost-effective and reliable electricity for data centers. Over time, they may connect to the grid to supply surplus energy, further supporting U.S. energy demands.
Chris James, founder of Engine No. 1, highlighted the importance of energy for the nation’s technological leadership. “Energy is the backbone of America’s AI dominance. By utilizing domestic natural gas, we can secure our position as a global tech leader while driving economic productivity.”
Chevron CEO Mike Wirth also praised the initiative as a critical step in leveraging the nation’s energy resources. “This is a chance to deliver on President Trump’s vision of U.S. energy and AI leadership, creating jobs and reinforcing our national security in the process.”
The collaboration has already secured seven GE Vernova 7HA natural gas turbines, set for delivery in 2026. The companies aim to have their first projects operational by 2027, powering data centers with energy equivalent to what 3-3.5 million homes would use.
While the projects will initially rely on natural gas, they are designed to incorporate future technologies like carbon capture, capable of reducing emissions by over 90%, and renewable energy integration. GE Vernova CEO Scott Strazik emphasized the long-term vision. “This collaboration reflects the innovation needed to meet the growing power demands of AI while laying the groundwork for a cleaner energy future.”
As data centers expand to support AI applications, they are projected to consume up to 12% of U.S. electricity by 2028, up from 4.4% in 2023, according to a study by the Lawrence Berkeley National Laboratory. The partnership between Chevron, Engine No. 1, and GE Vernova aims to address this surge responsibly, ensuring the U.S. remains at the forefront of AI innovation.
By focusing on scalable energy solutions, the initiative also promises to create thousands of jobs, boost domestic manufacturing, and support the reindustrialization of America’s economy. It’s a move that signals how energy and technology sectors are converging to meet the demands of a fast-evolving digital era.
Source: Chevron Press Release, Bloomberg, The New York Times
Disclaimer:
The information and opinions provided in this article are for informational and educational purposes only and should not be considered as investment advice or a recommendation to buy, sell, or hold any financial product, security, or asset. The Future Investors does not provide personalized investment advice and is not a licensed financial advisor. Always do your own research before making any investment decisions and consult with a qualified financial professional before making any investment decisions. Please consult the general disclaimer for more details.