Engine No. 1 and Chevron U.S.A. have announced a partnership to develop up to 4 GW of power generation capacity for U.S.-based data centers, using domestically sourced natural gas. GE Vernova will supply seven U.S.-made 7HA natural gas turbines under a slot reservation agreement. These “power foundries” will co-locate power plants with data centers in the Southeast, Midwest, and West, bypassing the traditional power grid to avoid increasing electricity prices for consumers. The first facilities are expected to come online by the end of 2027, with potential for expansion.
The initiative aims to support growing AI-driven workloads with scalable, cost-effective power while reducing reliance on existing transmission infrastructure. The projects will integrate carbon capture and storage (CCS) technology capable of capturing over 90% of CO2 emissions. Engine No. 1, an investment firm focused on U.S. industrial revitalization, leads the project with Chevron, a major energy producer, and GE Vernova, a leading provider of power generation technology. Over time, surplus energy may be sold to the national grid through future interconnections.
• Power capacity: Up to 4 GW, equivalent to powering 3-3.5 million homes
• Primary energy source: U.S. natural gas
• Lead companies: Engine No. 1, Chevron U.S.A., GE Vernova
• Technology: GE Vernova 7HA natural gas turbines with CCS integration
• Planned regions: Southeast, Midwest, and West U.S.
• Target operational date: Initial projects in service by late 2027
• Grid independence: Directly powers data centers, avoiding strain on transmission networks
“Energy is the key to America’s AI dominance,” said Chris James, founder and CIO of Engine No. 1. “By using abundant domestic natural gas to generate electricity directly connected to data centers, we can secure AI leadership, drive productivity gains across our economy, and restore America’s standing as an industrial superpower.”
