Natural gas to play major role in NextEra/Google deals

The AI Gold Rush: Why Everyone's Betting Big on Artificial Intelligence in 2024 | by Praveen David Mathew | Medium

Natural Gas Plays Key Role in Power Strategy

This week’s announcement of a major power agreement by NextEra Energy with Google, Meta, Exxon Mobil and other companies to build infrastructure for the AI boom involves several projects throughout the Midwest and even the Southwest Power Pool, the regional grid operator that includes Oklahoma.

As details emerged, they revealed the growing importance of natural gas in powering these large-scale data center developments.

The agreement shows how natural gas will play a central role in the buildout of new power generation connected to artificial intelligence infrastructure.

NextEra Energy has supplied wind-powered electricity since 2011 for its data center in Pryor, Oklahoma. That same Pryor facility is now undergoing expansion as part of NextEra’s $9 billion investment in Oklahoma over the next two years.

Fourteen years ago, Google agreed to buy 100 megawatts of wind energy production from NextEra Energy Resources in Minco. The purchase offset the impact of the Google Pryor data center on the local power grid.

NextEra energy on a monitor

Solar Development Faces Legal Challenges

Since that wind agreement, NextEra attempted to build the 5,000-acre Persica solar farm near Porter in Wagoner County. That project now sits inside a legal battle after county commissioners voted against the approval of permits.

Despite the setback, this week’s agreement shows that NextEra continues pressing forward with additional power development for data center hubs.


15 Gigawatts of New Generation Targeted

NextEra hopes to develop 15 gigawatts of new power generation by 2035 to supply electricity to expanding data center hubs. The company also places new emphasis on natural gas generation as part of that strategy.

As E&E News reported, if all of NextEra’s proposed projects reach completion, they would significantly boost natural gas use across multiple regions.


Southwest Power Pool Review Involves Oklahoma

One major project now awaits approval from the Southwest Power Pool (SPP), the 14-state grid operator based in Little Rock, Arkansas. Oklahoma remains one of the operating member states.

NextEra Energy and Basin Electric Power Cooperative now explore development of a 1,450-megawatt natural gas plant in North Dakota for a multi-gigawatt data center campus.

The companies have already submitted an application to the Southwest Power Pool requesting a review of transmission and interconnection requirements for the facility. The review will determine whether the project can move forward.


Oklahoma’s Expanding Role in AI Power Growth

This latest agreement places Oklahoma directly inside the expanding national power grid supporting artificial intelligence development. With wind, solar and natural gas generation all playing roles in the state’s energy future, NextEra’s investments continue reshaping Oklahoma’s position inside the national data center energy supply chain.

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