Blackstone invests 500 million dollars to support Lancium in building an AI data center in West Texas

According to Bloomberg, Blackstone has invested over $500 million in Lancium to support its construction of data centers exceeding 5 gigawatts in West Texas. Lancium plans to develop five facilities in areas rich in wind and solar resources to meet the rapidly growing energy demand for artificial intelligence applications.

This investment will help Lancium meet the funding needs of the project, which is expected to go online by 2028. Lancium is also considering combining zero-carbon resources such as solar power and battery storage to promote the use of clean energy. The first data center park is located in Abilene and is expected to be operational next year. The project is led by a joint venture that co-invested with Blue Owl Capital, Crusoe Energy Systems, and Primary Digital Infrastructure with a total investment of $3.4 billion.

Lancium previously mainly served cryptocurrency miners, but with the surge in AI demand, its business focus has shifted towards integrating data centers with clean energy. This transaction was financially advised by Goldman Sachs Group.