Calpine Corporation has announced the second phase of its 400-megawatt (MW) power supply agreement with Dallas-based CyrusOne, expanding a partnership that supports a new data center adjacent to the Thad Hill Energy Center in Bosque County, Texas.
The updated agreement adds 210 MW of power to the 190 MW originally announced in July, finalizing a deal that secures power, grid connection, and land for the large-scale facility expected to be operational by late 2026.
CyrusOne CEO Eric Schwartz said the expansion "exemplifies the innovation required to meet the growth in data center demand."
"By expanding our agreement to 400MW with their Powered Land Capabilities, we've enabled a comprehensive solution for power, grid connectivity, and site infrastructure, while maintaining our commitment to responsible energy use," said Schwartz.
Schwartz noted that the Thad Hill site will "set a benchmark for future hyperscale developments across Texas and Beyond."
Calpine President and CEO Andrew Novotny highlighted how the collaboration strengthens grid stability.
"One of the agreement attributes that we are most proud of is the ability for Calpine and CyrusOne to coordinate our operations to ensure grid reliability in times of supply scarcity," said Novotny.
He added that the partnership "delivers significant financial benefits for the community and the State of Texas, all while helping the U.S. lead in the critical AI race."
Rick Peña, Calpine's Executive Vice President of Corporate Development, emphasized the company's leadership in scalable power solutions. "This expanded agreement at the That Hill Energy Center secures Calpine's position as a leader in reliable, scalable power solutions for hyperscale customers," stated Peña.
The updated agreement highlights Texas's growing energy field, as it continues to increase supply to keep up with the constantly expanding demand.
