Jet.AI Inc. JV for 50MW Data Center Campus in Moapa, Nevada

Rhea-AI Summary

Jet.AI (NASDAQ: JTAI) announced a planned joint venture with Choo Choo Express to develop a 50 MW data center campus on ~20 acres in Moapa, Nevada, dated Dec 23, 2025. Management cites an illustrative enterprise value ≈ $500M for a fully developed 50 MW project, comprised of roughly $400M project debt and $100M equity. Jet.AI expects to commit $10M over ~two years, with equity “promote” allocated ~70% to Jet.AI / 30% to CCE, implying ~$25M prospective value to Jet.AI at stabilization. The site adjoins a remediated coal plant converted to a 200 MW battery facility and existing utilities. Terms remain subject to definitive agreements, diligence, and milestones.

Positive

• 50 MW project planned at Moapa, Nevada
• Illustrative $500M enterprise value for 50 MW
• Jet.AI committed approximately $10M over two years
• 70% promote allocation to Jet.AI implies ~$25M

Negative

• Project requires entitlement, utility, and power procurement milestones
• Illustrative capital structure assumes ~$400M project debt
• Outcomes sensitive to capitalization-rate assumptions (10% vs 6%)
• Joint venture subject to definitive agreements and customary conditions

Key Figures

Planned data center capacity 50 megawatts Planned data center campus in Moapa, Nevada

Illustrative enterprise value approximately $500 million Management example for a fully developed 50MW data center

Jet.AI capital commitment approximately $10 million Expected investment over an anticipated two-year period

Illustrative capital structure $400 million debt / $100 million equity Management’s example capital stack for 50MW data center

Preferred vs common equity $65 million preferred / $35 million common Illustrative equity breakdown in management example

Jet.AI equity promote approximately $25 million Prospective value to Jet.AI at stabilization under JV structure

Capitalization rate (base case) 10% Assumption used in illustrative valuation scenario

Capitalization rate (refinancing example) 6% Customary rate cited for refinancing transactions in example

Market Reality Check

$0.6476 Last Close

Volume Volume 86,283 vs 127,502 20-day average (relative volume 0.68x). low

Technical Price $1.20 is 89.8% below 52-week high $11.77 and 13.21% above 52-week low $1.06, trading below 200-day MA at $3.33.

Peers on Argus

JTAI gained 3.45% while peers showed mixed moves: BNZI -9.18%, IFBD +0.98%, RYDE -5.17%, FTFT -0.05%, VS -0.97%, suggesting a stock-specific reaction to the JV news.

Market Pulse Summary

The stock dropped -28.3% in the session following this news. A negative reaction despite the JV news would fit a market focused on execution and balance-sheet risk. The data center scenario and implied $500 million enterprise value are explicitly illustrative, dependent on securing debt, equity, and development milestones. With shares already 89.8% below the 52-week high and trading under the $3.33 200-day MA, investors may have discounted long-dated projections and prioritized near-term fundamentals.

Key Terms

enterprise value financial

"50MW data center estimated enterprise value of ~$500MM"

Enterprise value is the total worth of a company, reflecting what it would cost to buy the entire business. It includes the company's market value plus any debts, minus its cash holdings, offering a comprehensive picture of its true value. Investors use it to compare companies regardless of their capital structures, helping them assess how much they would need to pay to acquire the business.

project debt financial

"made up of roughly $400 million of project debt and $100 million of equity"

Debt taken on specifically to finance a single project — such as building a factory, power plant, or infrastructure asset — where lenders expect to be repaid from the cash the project generates and often from the project's assets rather than the borrower’s other businesses. It matters to investors because the risk and returns are tied to that one project's success; like a loan on a single house, problems with that house won’t necessarily sink the borrower’s other holdings but can threaten the investment in the project itself.

preferred capital financial

"approximately $65 million is assumed in this example to be institutional preferred capital"

Preferred capital is money a company raises by selling preferred shares or similar securities that sit between debt and common stock in the pecking order: holders get regular, often fixed payments and are paid before common shareholders if the company runs into trouble. For investors it matters because it offers steadier income and greater safety than common shares, but usually less upside if the company does very well — like a player who gets a guaranteed seat near the front but fewer chances for bonuses.

capitalization rate financial

"These assumptions are based on a 10% capitalization rate; lower capitalization rates"

The capitalization rate is a percentage that helps investors estimate how much money a property or investment might generate relative to its value. It’s similar to a return rate, showing how quickly an investment could pay for itself over time. This rate helps compare different investments and assess their potential profitability.

battery energy storage technical

"now operating as a 200-megawatt battery energy storage facility"

A system that stores electrical energy in rechargeable batteries so power can be used later, like a large-scale rechargeable power bank for homes, businesses, or the electricity grid. It matters to investors because it helps smooth out supply and demand, lets operators sell power when prices are higher, backs up critical services during outages, and supports more renewable generation — all of which can create new revenue streams and reduce operational risk.

natural gas pipeline technical

"a substation, and a natural gas pipeline visible in close proximity"

A natural gas pipeline is a long network of steel or plastic tubes and compressor stations that move natural gas from production sites to power plants, factories, and homes, like a highway system for fuel. For investors it matters because pipelines are physical assets that earn fees for transporting gas, so their revenue, value, and risk depend on gas demand, pipeline capacity and reliability, regulatory rules, and interruptions that can halt payments.

hyperscale technical

"supporting hyperscale inference workloads deployed closer to end users"

Hyperscale describes the ability of a system or operation to grow rapidly and handle extremely large amounts of work or data. It’s like a massive factory that can quickly expand its production capacity to meet soaring demand. For investors, hyperscale indicates a business’s potential to scale efficiently, often leading to increased growth and profitability.

edge of the network technical

"deployed closer to end users at the edge of the network"

Edge of the network is the physical or virtual location where data is collected and processed close to the devices or users that generate it, instead of sending everything to a distant central server. For investors this matters because handling data at the edge can cut delays, lower transmission costs, improve privacy and reliability, and enable new real‑time services—factors that influence a company’s growth prospects, capital needs and competitive edge.

AI-generated analysis. Not financial advice.

50MW data center estimated enterprise value of ~$500MM

LAS VEGAS, NV, Dec. 23, 2025 (GLOBE NEWSWIRE) -- Jet.AI Inc. (NASDAQ: JTAI) (“Jet.AI” or the “Company”), an emerging provider of high-performance GPU infrastructure and AI cloud services, today announced a planned joint venture with Choo Choo Express LLC (“CCE”), relating to the development of a planned 50-megawatt data center campus in Moapa, Clark County, Nevada.

Moapa Data Center Project Map

Description: The image shows an aerial map of a planned data center campus in Moapa, Nevada, highlighting a 20-acre parcel located along existing utility corridors near a major roadway. The campus is positioned adjacent to a fully remediated former coal plant now operating as a 200-megawatt battery energy storage facility, with nearby electrical transmission lines, a substation, and a natural gas pipeline visible in close proximity.

The proposed joint venture is expected to pursue the development of a data center and related infrastructure on approximately 20 acres of land located in Moapa, Nevada. CCE expects to contribute the land to the joint venture, subject to the execution of definitive agreements, completion of diligence, and satisfaction of customary conditions.

Located less than an hour from the Las Vegas strip, the Moapa campus is one of the few remaining sites in the Southwest capable of supporting hyperscale inference workloads deployed closer to end users at the edge of the network. Its geographic position offers the potential for low-latency connectivity into California and key Southwestern markets. The campus is situated adjacent to a remediated coal-fired power plant and benefits from substantial existing utility infrastructure, including access to electric transmission, natural gas, fiber connectivity, water, and transportation corridors.

Under the terms of the proposed joint venture, Jet.AI expects to commit approximately $10 million of capital over an anticipated two-year period, subject to the achievement of defined development and infrastructure milestones. Capital contributions are structured to align with milestones and may be internally financed at the option of the Company and CCE once the land is fully powered and appraised. Milestones include feasibility studies, entitlements, utility extensions, and power procurement activities.

“Certain CCE personnel bring direct, hands-on experience in the design, construction, and operation of large-scale data centers for Core Scientific,” said Jet.AI Executive Chair Mike Winston. “CCE brings a related workforce of thousands of contractors, alongside deep local knowledge of the Moapa area and forty years of in state development experience. Today’s announcement builds upon Jet.AI’s earlier disclosure this year regarding its pursuit of a data-center campus in Clark County.”

Data Center Economics (illustrative example)

For illustrative purposes, management believes a fully developed 50-megawatt data center typically carries an enterprise value of approximately $500 million, made up of roughly $400 million of project debt and $100 million of equity. Of that equity, approximately $65 million is assumed in this example to be institutional preferred capital, with the remaining $35 million representing common equity, or “promote.” Under the proposed joint venture structure, that equity promote is expected to be allocated approximately 70% to Jet.AI and 30% to CCE, implying a prospective value of approximately $25 million to Jet.AI at stabilization.

As project debt is paid down over time, the equity value would be expected to increase. In a fully de-levered scenario, management estimates the equity portion could represent approximately 25% of total enterprise value, or $125 million. Based on an assumed $10 million investment, this illustrative scenario would imply a prospective return of approximately 1.5x over the initial development period and up to 11.5x over a longer-term horizon as debt is repaid, subject to the assumptions and risks described in the forward-looking statements below.

These assumptions are based on a 10% capitalization rate; lower capitalization rates would be expected to increase the implied equity value. For example, at a 6% capitalization rate, which is customary in refinancing transactions, the illustrative figures would increase to approximately $41 million (3.1x) and $208 million (19.8x). As with all forward-looking estimates, actual results may vary based on market conditions, financing terms, and other factors discussed elsewhere in this release.

Exclusivity

The term sheet provides for an exclusivity period during which the parties will work in good faith to negotiate definitive documentation and further pursue entitlements, utility availability, and customary environmental work.

About Jet.AI Inc.

Jet.AI Inc. is a technology-driven company focused on deploying artificial intelligence tools and infrastructure to enhance decision-making, efficiency, and performance across complex systems. The Company is listed on the NASDAQ Capital Market under the ticker symbol “JTAI.”

About Choo Choo Express LLC

CCE is related to a Nevada-based infrastructure development and construction firm with more than four decades of operating history across power, water, sewer, gas, and large-scale utility installations. CCE works closely with this licensed general contractor and developer with experience delivering complex infrastructure projects across more than ten U.S. states. One of the principals of CCE has extensive experience building and designing data centers for Core Scientific and serves as a director of the AI Infrastructure Acquisition Corp. (NYSE: AIIA) whose sponsor entity is 49.5% owned by Jet.AI Inc.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, statements regarding the anticipated development of the Moapa data center project, expected capital commitments, strategic benefits of the campus location, low-latency performance, future negotiations of definitive agreements, and the Company’s infrastructure strategy. These statements are based on current expectations and assumptions and involve risks and uncertainties that could cause actual results to differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Jet.AI undertakes no obligation to update or revise any forward-looking statements, except as required by law.

The valuation and return estimates are illustrative only and are provided for conceptual purposes to demonstrate how project economics may scale. They are not forecasts or projections of actual results and are subject to significant assumptions, risks, and uncertainties, including capital structure, financing terms, leasing outcomes, market conditions, capitalization rates, and timing of development. Actual results may differ materially, and there can be no assurance that any such values or returns will be achieved.

For additional information, please refer to Jet.AI’s filings with the Securities and Exchange Commission.

Jet.AI Investor Relations:
Gateway Group, Inc.
949-574-3860
Jet.AI@gateway-grp.com

Choo Choo Express LLC (“CCE”):
Dave Brown
702-917-0337
dbrown@ldalv.com

Attachment

• Jet.AI Inc.

FAQ

What is Jet.AI’s planned investment in the Moapa data center (JTAI)?

Jet.AI expects to commit approximately $10 million of capital over an anticipated two-year period.

How large is the Moapa data center campus Jet.AI (JTAI) plans to build?

The planned campus is a 50-megawatt data center on about 20 acres in Moapa, Nevada.

What enterprise value does Jet.AI (JTAI) use for a 50 MW data center?

Management provided an illustrative enterprise value of approximately $500 million for a 50 MW facility.

How is equity split between Jet.AI (JTAI) and CCE in the JV?

The illustrative equity promote is expected to be allocated roughly 70% to Jet.AI and 30% to CCE.

What infrastructure advantages does the Moapa site offer for Jet.AI (JTAI)?

The site is adjacent to a remediated coal plant now a 200 MW battery facility and has nearby transmission, substation, and pipeline access.

What are the main risks for Jet.AI’s (JTAI) Moapa joint venture?

Key risks include obtaining entitlements, completing utility extensions, power procurement, and signing definitive JV documentation.