Former cryptomine company turned AI data center firm Applied Digital is planning a new data center campus outside Fargo, North Dakota.

The company this week announced plans for Polaris Forge 2, a $3 billion, 280MW campus near Harwood in Cass County. The site will use Applied's Polaris Forge liquid-cooled design.

Set to break ground in September 2025, the campus will launch with initial capacity in 2026, reaching full capacity in early 2027. The 900-acre site will initially include two buildings and has secured power through Cass County Electric Cooperative.

"We believe Polaris Forge 2 represents the next stage in Applied Digital’s rapid growth and our position as a leader in delivering high-performance AI infrastructure," said Wes Cummins, CEO of Applied Digital. "The demand for AI capacity continues to accelerate, and North Dakota continues to be one of the most strategic locations in the country to meet that need.”

Cummings said the site has “strong interest” from multiple parties and the company is in “advanced negotiations with a US-based investment-grade hyperscaler” for the campus.

“We believe this new campus will strengthen our operations, increase our ability to scale, and create lasting value for both our customers and the communities we serve," he added.

Applied currently operates a HPC data center campus in North Dakota – now known as Polaris Forge 1 – in Ellendale, some 140 miles southwest of the new site. Built to support 400MW of critical IT load, with potential to expand to more than 1GW, Polaris Forge 01’s design features a closed-loop, waterless, direct-to-chip cooling system.

After first breaking ground in 2022, the Ellendale site is being repurposed from cryptomine hosting to AI and HPC as part of a major deal with AI cloud firm CoreWeave.

Cass County Electric Cooperative is a not-for-profit, member-owned electric cooperative serving counties across North Dakota.

“We are excited to have the opportunity to provide Applied Digital with the power they need to drive innovation and technology in a way that benefits our communities and legacy members. As we work through the final stages of an agreement, we will continue to keep our cooperative values at heart while preparing to meet the needs of future generations,” said Paul Matthys, Cass County Electric Cooperative president and CEO.

Applied Digital was founded as Applied Blockchain but does not mine its own Bitcoin, traditionally hosting hardware on behalf of other cryptomining firms. It now also hosts HPC and AI hardware amid massive demand for available capacity. Applied is also offering its own cloud services and has previously said it will host and offer access to Nvidia Blackwell GPUs.

Elsewhere, Applied has a 106MW facility in Jamestown, North Dakota, known as JMS01, and is also planning a 200MW facility in Iowa. It is reportedly eyeing a major development in South Dakota.

“North Dakota wins when companies like Applied Digital choose to be more than an employer. In Ellendale, they invested in people through workforce housing and created strong local partnerships that strengthen the community,” Governor Kelly Armstrong said. “We’re excited that they are committing to expanding their presence in North Dakota with a Harwood location, continuing the trend of being a positive corporate citizen and helping to develop our rural communities while contributing to our strong economy.”