New Era Energy Signs 207 MW Vistra Power Deal for Texas Data Center
New Era Energy & Digital (NASDAQ: NUAI) has signed a 20-year agreement with a Vistra (NYSE: VST) affiliate for up to 207 megawatts of electricity for its planned Texas data center, securing a long-term power commitment as it seeks tenants for the development.
Luminant ET Services will supply at least 200 megawatts for the first phase of the Texas Critical Data Center near Odessa, New Era said in a September 21 statement. Power is expected to become available in the third quarter of 2027 from Vistra’s adjacent 1,180-megawatt natural gas plant.
New Era shares rose 30.5% to close at $7.65 on Monday, giving the Nasdaq-listed developer a sharp gain following the announcement.
The agreement also brings substantial financial obligations. New Era must post a $116 million letter of credit within 15 business days of the September 18 signing and provide up to $82.8 million in additional security before power delivery, according to a securities filing. Together, those requirements could reach $198.8 million.
Luminant’s obligations depend on conditions being met by December 31, 2027, including an agreement to purchase the related substation and equipment. The filing also permits electricity to be sourced elsewhere or from the Texas grid. Neither the announcement nor the filing’s summary disclosed electricity pricing.
New Era reported $69.8 million in cash and cash equivalents and another $15 million in restricted cash at June 30. Its subsidiary had drawn $20 million under a Macquarie facility advertised at up to $290 million; further borrowing remained subject to lender discretion and conditions. Those figures underscore the distinction between potential financing capacity and money already available to the developer.
Vistra will receive a 5% non-voting stake in the entity holding the portion of the project it supplies once power delivery begins. A companion agreement gives Vistra first-refusal rights over future onsite power development beginning in April 2028 and five-year first-offer rights on certain other generation and battery projects.
The power contract follows New Era’s August announcement that it had obtained construction permits for the 493-acre campus. At that time, the company said tenant negotiations and joint venture discussions with Stream Data Centers were continuing. The September announcement did not identify a tenant.
New Era shifted its strategy from legacy natural gas operations toward data center development in the second half of 2025. Its latest agreement advances the first phase of a campus the company says could eventually scale to 1.4 gigawatts, with later phases still representing planned expansion.
