Bitcoin miner Core Scientific plans to expand its Texas operations into a massive data center campus focused on artificial intelligence with up to 1.5 gigawatts of total power capacity.
The company said in an announcement Monday that it is developing the Pecos, Texas, site as a high-density colocation hub designed to support AI workloads as demand for computing infrastructure increases. Approximately 1GW of the planned capacity is expected to be available for lease.
“We continue to leverage our deep internal expertise to differentiate how we build and scale next-generation artificial intelligence infrastructure,” said Adam Sullivan, CEO of Core Scientific.
As part of the transition, Core Scientific said the approximately 300 megawatts currently used to mine Bitcoin at the site will be repurposed for data center operations. The company added that the first data hall has completed foundation work and is moving to vertical construction, with initial capacity expected in early 2027.
Core Scientific stock is up 44% since the beginning of the year. sauce: Yahoo! finance
The company has also secured an additional 300 megawatts of power under contract with utility companies and outlined further expansion plans with behind-the-meter solutions.
Besides Core Scientific, other miners are also focusing on AI and exploring alternative revenue streams as mining margins shrink. MARA Holdings acquired a 64% stake in French infrastructure company Exaion in February, expanding its business into AI services. Other miners such as Hive, Hut 8, TeraWulf, and Iren are also repurposing mining facilities into data centers.
Core Scientific acquires 200 acres of land
Core Scientific said it has acquired more than 200 acres of land in the area to support construction.
Last week, the company also announced plans to raise $3.3 billion through senior secured notes due in 2031 to fund data center expansion across Georgia, Texas, North Carolina and Oklahoma. The move follows the company securing a separate $1 billion credit facility from Morgan Stanley in March.
Core Scientific has traditionally derived most of its revenue from mining digital assets, but it is increasing its focus on infrastructure services. The company operates facilities across multiple U.S. states, including Texas, Georgia, and North Carolina.
NYDIG to acquire idle New York smelter
As reported by Cointelegraph, Alcoa is close to selling its long-dormant Massena East smelter in upstate New York to Bitcoin mining company NYDIG, with the deal expected to close by the middle of this year. The plant had been sitting idle since 2014, when it was shut down due to high energy costs and global competition.
Earlier this year, Century Aluminum also sold its Hawesville smelter in Kentucky for $200 million to cryptocurrency mining company TeraWulf, which plans to convert the smelter into a high-performance computing and AI facility.
