NVIDIA, SB Energy Partner for 8 GW AI Data Center Campus in Ohio
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Key Takeaways
- NVIDIA secures up to 8 GW of IT load capacity at the PORTS-Pike campus in Ohio for OpenAI's compute infrastructure.
- NVIDIA to invest $1.5 billion in SB Energy and provide residual value guaranties capped at $105 billion.
- SB Energy will build and operate the facility under a 20-year lease to OpenAI, with service expected to begin in 2028.
- The project includes 10 GW of new energy generation and a $4.2 billion investment in regional grid infrastructure.
NVIDIA has entered into a multi-year partnership with SB Energy to develop the PORTS Technology Campus at the decommissioned Portsmouth Gaseous Diffusion Plant in Pike County, Ohio. Under the agreement, NVIDIA has secured the necessary land, power, and shell capacity to host its AI compute infrastructure. An affiliate of OpenAI will serve as the tenant for the site.
The initial phase of the project covers approximately 4.25 gigawatts (GW) of IT load. NVIDIA also maintains an option to provide credit support for an additional 3.8 GW at the Portsmouth Site, which would bring the total potential capacity to approximately 8 GW. SB Energy will build, own, and operate the data center facilities under a 20-year lease agreement with OpenAI.
NVIDIA has committed to a $1.5 billion direct investment in SB Energy, joining existing investors SoftBank Group and OpenAI. Furthermore, NVIDIA entered into multiple residual value guaranties with SB Energy, with an aggregate payment obligation capped at $105 billion. These obligations are subject to specific conditions, including the lessor meeting ready-for-service requirements, which are expected to begin in 2028.
NVIDIA's payment obligations under the guaranties are triggered if OpenAI defaults on its lease due to insolvency or non-payment. In the event of such a trigger, NVIDIA may elect to assume the lease, require the lessor to find a replacement tenant, initiate a sale process, or defer remedies for up to one year while covering project costs. OpenAI has agreed to indemnify NVIDIA for any amounts paid under these agreements.
