CyrusOne has signed a second energy deal for a planned data center campus outside the Dallas-Fort Worth area in Texas.

Calpine Corporation this week announced the second phase of its 400MW power supply agreement with CyrusOne to serve a new data center adjacent to the Thad Hill Energy Center in Bosque County, Texas.

The new contract adds 210MW of power to the 190MW originally announced in July, completing a deal that will secure power, grid connection, and land to support the CyrusOne facility, which is currently under construction and expected to be operational by the fourth quarter of 2026.

"Our partnership with Calpine exemplifies the innovation required to meet the growth in data center demand," said Eric Schwartz, CEO of CyrusOne. "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. The Thad Hill facility will set a benchmark for future hyperscale developments across Texas and beyond."

The DFW10 data center will be located adjacent to the Calpine-owned Thad Hill Energy Center. Thad Hill is a natural gas power plant with a capacity of 250MW. It was commissioned back in 2010 and serves the Electricity Reliability Council of Texas (ERCOT) grid. Calpine is owned by a consortium of companies, led by Energy Capital Partners (ECP).

Reports of the data center first emerged last November, following a filing to the Texas Department of Licensing and Regulation, and the two companies signed a 190MW deal related to the site in July.

"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 Andrew Novotny, Calpine's president and CEO. "By continuing to actively manage our generation output, these partnerships actually enhance grid reliability by curtailing in times of need. These agreements also deliver significant financial benefits for the community and the state of Texas, all while helping the US lead in the critical AI race simultaneously."

The data center will be constructed through a phased approach, with the facility’s first phase covering 190,000 sq ft (17,651 sqm), with a capacity of 144MW. Sources familiar with the deal told DCD that the second phase would expand the campus to more than 700,000 sq ft (65,032 sqm) and deliver an IT capacity of 288MW.

KKR-owned CyrusOne has more than 50 data centers across the US and European markets. In the Texas market, it has more than 14 data centers – both planned and operational – with more than half based around Dallas-Fort Worth.