Texas-based gas firm Kodiak Gas Services has signed a six-year deal to provide 76MW of behind-the-meter baseload power to a data center in West Texas.
The company, based just outside Houston, will deploy about 40 natural gas-fueled reciprocating generation units, including balance-of-plant, for a data center operator.
Kodiak claims that the data center operator has signed a contract with an investment-grade-rated hyperscaler, and a GPU designer is the guarantor of the data center lease. The operator, the hyperscaler, and the GPU designer were not named.
The gas-engine deployment is expected to begin in Q4 2026 and scale into Q1 2027.
"Today's announcement represents an ideal situation for us; the size fits our available power fleet, the location is within our established operational footprint in West Texas, and the customer has strong commercial and financial support," said Mickey McKee, Kodiak's president and CEO.
McKee said the deal is Kodiak's second long-term contract to supply primary power to a data center.
Kodiak is a contract compression, distributed power, and energy infrastructure services provider. Its customers include oil and gas producers, midstream operators, and data center developers and operators. The company targets 2GW of power generation capacity by 2030, and sees the latest deal as a replicable model providing “a clear path toward contracting additional power capacity," said McKee.
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