DOE Site in Western Kentucky Revitalized with Data Center Campus and Dedicated Energy Project, Creating Jobs and Protecting Residents and Businesses from Costs
Rhea-AI Summary
Brookfield (NYSE:BAM) and NextEra Energy (NYSE:NEE), with Big Rivers Electric, Jackson Purchase Energy Cooperative and Paducah Power System, plan a privately funded $100 billion data center campus at DOE’s Paducah Site in western Kentucky. Brookfield will lease land, develop and operate the campus, which is targeted to reach up to 1.8 GW of utility capacity and over 1.2 GW of compute capacity by 2032, supported by up to 4.6 GW of dedicated generation.
DOE selected NextEra Energy to build and own up to 2 GW of natural gas generation and up to 2.6 GW of battery energy storage to power the campus. According to the companies, the project is structured to avoid added costs for existing residential and small-business ratepayers, is expected to create about 8,000 construction jobs and 600 operations jobs, and remains subject to definitive agreements and Kentucky Public Service Commission oversight for power service arrangements.
Positive
- $100 billion privately funded AI infrastructure investment plan centered on Paducah Site
- Campus designed for up to 1.8 GW utility and 1.2 GW compute capacity by 2032
- Up to 4.6 GW of dedicated generation resources built specifically for the project
- NextEra to build up to 2 GW gas and 2.6 GW battery storage for campus power
- Expected creation of about 8,000 construction and 600 full-time operations jobs
- Structure intended to avoid added costs for existing residential and small-business ratepayers
Negative
- Project remains subject to negotiation and execution of definitive documentation
- Power service agreement requires additional oversight and approval from the Kentucky Public Service Commission
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jul 22 | Aypa acquisition | Positive | -1.5% | Brookfield agreed to acquire Aypa Power for approximately $7 billion enterprise value. |
| Jul 20 | Strategic joint venture | Positive | -2.0% | Brookfield acquired a non-controlling interest in Healthpeak's outpatient medical building portfolio. |
| Jul 06 | Earnings call scheduling | Neutral | +2.5% | Brookfield scheduled its second-quarter 2026 results conference call for August 5. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
BAM's two recent transaction announcements were followed by negative 24-hour reactions, while its results-call scheduling notice was followed by a positive reaction.
Key Terms
gigawatts technical
battery energy storage systems technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
Once fully constructed in 2032, the campus will support up to 1.8 gigawatts (GW) of utility capacity and over 1.2 GW of compute capacity — backed by up to 4.6 GW of dedicated generation resources paid for and built specifically for the project, protecting customers from costs and fulfilling President Trump's Ratepayer Protection Pledge.
The partnership coalition includes Brookfield, NextEra Energy, Big Rivers Electric Power Corporation, Jackson Purchase Energy Cooperative and Paducah Power System.
"This new campus helps secure our nation's position as a global leader in innovation," said
By pairing the Brookfield data center campus with new power infrastructure, the project is designed to strengthen grid reliability across the region while shielding current residential and small-business electricity ratepayers from additional costs. NextEra Energy will add power generation resources in stages as the campus ramps up, ensuring the data center's growing power needs are met by new supply.
The development is expected to create approximately 8,000 construction jobs and 600 full-time operations jobs.
DOE's former enrichment site proved to be the ideal location for largest economic investment in
"We are intently focused on finding ways to put federal land back to use for American taxpayers," said DOE Assistant Secretary for Environmental Management Tim Walsh. "That commitment is at the heart of our office's American Energy Hubs initiative. Our employees are working with urgency to transform legacy sites that played a key role in the prosperity and success of our nation, like
Once an essential component of the nation's atomic energy program, the Paducah Site has long contributed to America's energy security. Due to the scale of its previous operations, the site is already equipped with transmission capacity, water infrastructure, fiber connectivity, roads and land ready to support a project of this magnitude. That existing infrastructure significantly accelerates timelines to begin work on the development.
Following its Request for Offers in November 2025, DOE selected Brookfield to lease land and develop and operate the data center campus at the Paducah Site. DOE also selected NextEra Energy to build and own the dedicated generation resources to power the campus, including up to 2 GW of natural gas and up to 2.6 GW of battery energy storage systems. The project is subject to negotiation and execution of definitive documentation.
Big Rivers Electric Power Corporation will provide wholesale electric service, Jackson Purchase Energy Cooperative will deliver retail service, and Paducah Power System will serve as a community supporter.
The power service agreement with Big Rivers Electric Power Corporation and Jackson Purchase Energy Cooperative will include additional oversight and approval from the Kentucky Public Service Commission.
A word from Bruce Flatt, CEO of Brookfield:
"Demand for critical infrastructure that accelerates innovation in the
A word from John Ketchum, chairman, president and CEO of NextEra Energy:
"This project is a proof point for how AI infrastructure should be built in America. The data center will bring its own power, pay for its own power infrastructure and create good-paying jobs for local workers — and in doing so, it will make the local communities stronger. New jobs, new energy resources, a more reliable grid and not a dollar of added cost on an existing customer's electric bill. The Paducah Site has the infrastructure, the capacity and the legacy to support a project of this scale. We are proud to continue moving forward to power it and do our part to help revitalize the region."
A word from Don Gulley, president and CEO of Big Rivers Electric Corporation:
"Our members count on us to protect them from risk while planning boldly for the future. We believe this project will provide significant benefits to our members without compromising the affordability or reliability of their electricity. The infrastructure investments required for this project will strengthen reliability, open opportunities for new generation resources and position
A word from Greg Grissom, president and CEO of Jackson Purchase Energy Cooperative:
"As a member-owned cooperative, our priority is always the people and communities we serve. Projects like this have the potential to bring meaningful economic development to our region while safeguarding the electricity our members depend on every day. Jackson Purchase Energy is proud to collaborate with our project partners to deliver long-term value for our members and support the region's future."
A word from Cory Hicks, CEO of Paducah Power System:
"For generations, the Paducah Site has played a critical role in our nation's energy and national security mission — from its Cold War era legacy to decades of supporting America's defense and industrial capabilities. Today, our same site is helping power what many consider the next great national challenge: the race for advanced computing and artificial intelligence. Paducah Power System is proud to support this new mission of national significance while building a strong economic future for this region."
About Brookfield
Brookfield is a leading global investment firm with more than
For more information, please visit our website at www.brookfield.com
About NextEra Energy, Inc.
NextEra Energy, Inc. (NYSE: NEE) is the largest electric power and energy infrastructure company in
About Big Rivers Electric Corporation
Big Rivers Electric Corporation is a member-owned, not-for-profit, generation and transmission cooperative. It provides wholesale electric power and shared services to three distribution cooperative Member-Owners across 22 counties in western
About Jackson Purchase Energy Cooperative
Jackson Purchase Energy Cooperative is a non-profit, member-owned rural electric cooperative headquartered in
About Paducah Power System
Serving approximately 22,500 customers with a reliability rate of
Cautionary Statements and Risk Factors That May Affect Future Results
This news release contains "forward-looking statements" within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical facts, but instead represent the current expectations of NextEra Energy, Inc. (together with its subsidiaries, NextEra Energy) regarding future operating results and other future events, many of which, by their nature, are inherently uncertain and outside of NextEra Energy's control. Forward-looking statements in this news release include, among others, statements concerning growth strategies and development opportunities. In some cases, you can identify the forward-looking statements by words or phrases such as "will," "may result," "expect," "anticipate," "believe," "intend," "plan," "seek," "potential," "projection," "forecast," "predict," "goals," "target," "outlook," "should," "would" or similar words or expressions. 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SOURCE Paducah American Energy Hub