Microsoft has started work on a new data center in Cheyenne, Wyoming.

In a community blog update, Microsoft said it is building a data center on HR Ranch Road in Cheyenne.

Details of the development haven’t been shared. Microsoft said it has contracted with JE Dunn as the general contractor for the HR Ranch Road project.

Construction is expected to continue for approximately 18-24 months, with heavy earthwork anticipated from July 2025 through November 2025 and overall completion targeted for early 2026.

HR Ranch Road, to the east of Cheyenne, is home to the Black Hills Corporation-owned Cheyenne Prairie Generation Station and the Dry Creek Waste Water Treatment.

Microsoft has had a data center presence in Wyoming since 2012 and expanded its footprint there in 2014. The West Central Azure region opened in 2016.

In 2021, the company opened two new data centers in Cheyenne. One of the facilities is located in the Cheyenne Business Parkway, and another in the Bison Business Park.

Last year, local officials voted to expand the North Range Business Park by more than 920 acres to support construction of another Microsoft data center.

Last January, the company partnered with power equipment manufacturer Caterpillar in a pilot project to test the viability of using hydrogen fuel cells to supply reliable and sustainable backup power to a data center for 48 hours. The project, which was successfully completed, used a large-format hydrogen fuel cell system to power Microsoft’s facility in Cheyenne, Wyoming, during a simulated two-day backup event.

Wyoming has a relatively small data center market. Microsoft and Meta are present in the Cowboy State, while Prometheus Hyperscale and Crusoe are developing campuses in the region. 1547 CSR and several cryptomining companies are also present.