New Data Center Investments Bank On Future of AI, HPC Facilities

Nov. 25, 2024
Chronicling new investments and development projects for next generation data centers and power from Core Scientific and CoreWeave, Cologix, and Sharon AI plus New Era Helium.

Advances in artificial intelligence (AI), machine learning (ML) and high-performance computing (HPC) continue to drive the demand for next generation AI-aware and sustainable digital infrastructure.

With the rise of these technologies, large-scale investments are transforming the data center frontier and what the future of digital infrastructure holds in story.

For example, notable announcements in recent weeks have included: 

  • New data center and infrastructure development by Core Scientific, with a 100 megawatt (MW) plant in Muskogee, Oklahoma.
  • Cologix, with new AI campus in Johnstown, Ohio.
  • Sharon AI and New Era Helium’s net-zero 90 MW data center in the Permian Basin.

Core Scientific and Port Muskogee’s 100 MW HPC Data Center

Core Scientific, an industry leader in digital infrastructure and bitcoin mining who currently runs eight HPC and cryptocurrency mining data centers, has now teamed up with Port Muskogee to launch a 100 MW high-performance computing (HPC) data center in Muskogee, Oklahoma.

This data center will house GPU-as-a-Service provider CoreWeave’s NVIDIA GPUs for AI applications, setting Muskogee up as a global center for innovation.

Reflecting expectations that Musogee, OK will now become a magnet for innovation and technology development, Adam Sullivan, Core Scientific's Chief Executive Officer was quoted as saying:

Today we celebrate the beginning of a project that highlights Muskogee’s role as a center of next-generation, AI computing. This cutting-edge project was made possible thanks to the foresight demonstrated by Port Muskogee’s team, Mayor Patrick Cale, and the state of Oklahoma. Their support and determination make Muskogee a focal point for one of the most important and dynamic technology developments in modern times, creating an economic and job creation engine for the region. We look forward to serving as a contributing member of the local community for years to come.

The investment is expected to generate a net local economic impact of $182 million over the lifetime of the project and provide 150 jobs with an average wage of more than $65,000.

Schools and colleges, and other local institutions across town will enjoy more than $12 million in tax revenues, fostering community development.

Port Muskogee’s Executive Director, Kimbra Scott, highlighted the overall value of the project, stating:

"This facility is more than a data center; it’s a commitment to economic progress, bringing more than $4 billion in capital investment and $182 million in local net benefits over the life of the project. We are excited to be part of Muskogee’s transformation into a hub for high-performance AI and technology."

The 100 MW facility, which is scheduled to be up and running by 2026, will comprise 70 MW of NVIDIA GPUs and 30 MW of ancillary systems.

The deployment is an outgrowth of a $ 8.7 billion deal between Core Scientific and CoreWeave to provide 500 MW of critical IT capacity across multiple sites.

The agreement also includes plans to “ support artificial intelligence-related workloads under a series of contracts that entail the modification of certain of our data centers to deliver hosting services for HPC.”

Core Scientific is also expanding their existing Denton, Texas footprint, with the Denton City Council approving lease amendments that expand its land area from 31 to 78 acres and its power capacity up to 394 MW.

The $6.1 billion property investment will result in aproject that  will house one of North America’s largest GPU supercomputers.

The move cements Core Scientific’s leadership in HPC and AI infrastructure as they move from cryptocurrency mining to a future as a leader in next-gen HPC infrastructure, supporting AI and generative computing demands.

Cologix’s AI-Enabled $7 Billion, 800 MW Data Center Campus in Johnstown, Ohio

Cologix, a global network-neutral data center vendor, has announced that it will build an AI-ready data center campus in Johnstown, Ohio.

At $7 billion, the campus will provide 800 MW of scalable capacity in 2 million square feet, another industry indicator that Central Ohio’s position as a focus of digital infrastructure development.

The campus, on 154 acres, expands on Cologix’s existing presence in Ohio, where it maintains four data centers.

These offices, connected via a fiber network, have direct links to 50+ cloud providers, including AWS and Google Cloud.

The development is expected to begin in 2025, and will include eight data centers to meet the growing need for AI, hybrid cloud and high-density interconnection services.

About this addition to the Cologix footprint in Ohio, Laura Ortman, CEO of Cologix said:

This new eight-data-center campus is more than an expansion—it’s a testament of our commitment to high-capacity, resilient digital infrastructure that not only meets but anticipates our customers' evolving requirements.

This addition highlights Cologix’s emphasis on local development.

"A catalyst for positive momentum," said Johnstown Mayor Donald Barnard of the data center project.

Barnard stressed the development's fit with the city’s vision for technology growth, and how it will help central Ohio become a leader in hyperscale and AI-ready infrastructure that spurs innovation and generates massive economic development.

Cologix has stated they will share additional information about this project as it progreses.

Sharon AI and New Era Helium’s 90 MW Net-Zero Data Center in the Permian Basin

It turns out that the Permian Basin in West Texas and southeastern New Mexico, which has traditionally been power-rich locale, is now one of the most promising regions for sustainable data center growth. 

Perhaps that is because the roughly 75,000 square mile region is one of the largest and most productive oil and natural gas repositories in the the world, as well as the location of the Texas cities of Midland and Odessa.  

Now Sharon AI and New Era Helium have teamed up to build a 90 MW net-zero energy data center in the region using natural gas and helium.

The plan is to use state-of-the-art carbon capture technologies to offset 250,000 metric tons of CO2 per year in keeping with the industry’s quest for sustainability and globsl net-zero carbon goals.

The data center will be built on a liquid-cooled Tier 3 platform with Nvidia Cloud Partner reference designs to ensure optimal AI and HPC performance.

New Era Helium will provide the power infrastructure, including a gas-fired power station and carbon sequestration systems.

The partnership builds on New Era Helium’s 137,000-acre footprint in the Pecos Slope Field to deliver an enduring and cost-effective energy resource.

The 90 MW power plant is expected to capture approximately 250,000 metric tons of CO2, allowing it to qualify for certain Section 45Q tax credits associated with carbon capture, utilization and storage.

On this new joint venture project, Wolf Schubert, CEO of Sharon AI Inc. stated:

We are very excited to be building Tier 3 direct-to-chip liquid cooling data centers in the U.S. with our partners at New Era Helium, who bring considerable energy infrastructure experience to the joint venture. Initial planning and scoping is now complete, and we look forward to moving forward with engineering and offtake discussions.

The proposed project includes space for further growth, possibly reaching greater than 90 MW to meet rising demand. 

The joint venture represents a visionary solution to bridge the gap between energy generation and digital infrastructure.

Utilizing dry natural gas tailings, the project will not only sell resources but also increase sustainability as a hydrogen-fuel facility.

E. Will Gray II, CEO of New Era Helium Corp clearly sees helium power as a strategic goal for data center energy supply, stating:

The Sharon AI partnership marks an integral step in New Era Helium’s advancement of high-grading natural gas production into multiple revenue streams and vertical integration into energy infrastructure. Given the growth in cloud computing and AI, uninterruptible power remains a critical asset and power, much like helium, remains a critical puzzle piece to its continued adoption. This JV allows us to take our dry natural gas by-product and monetize it into power, realizing a much higher net price. Additionally, we are enthusiastic to partner with the Sharon AI team as they have a proven track record in the development of high compute data centers.

The Continued Growth of Data Center Investment Drives Forward Unabated

Be it infrastructure or power, the continued demand for data centers that can support HPC and AI projects seems to be exploding almost exponentially.

As each new project is announced it seems that the next project, representing new and additional investments with the introduction of the latest technologies, is just waiting in the wings.

In the meantime, the following video from the aforementioned Core Scientific describes how the company, one of the largest public Bitcoin miners in North America, is now modifying its data centers for AI. 

 

Keep pace with the fast-moving world of data centers and cloud computing by connecting with Data Center Frontier on LinkedIn, following us on X/Twitter and Facebook, and signing up for our weekly newsletters using the form below.

About the Author

David Chernicoff

David Chernicoff is an experienced technologist and editorial content creator with the ability to see the connections between technology and business while figuring out how to get the most from both and to explain the needs of business to IT and IT to business.

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