Soluna Formalizes Metrobloks JV for 350 MW Texas AI Data Center Campus
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Key Takeaways
- Soluna Holdings and Metrobloks formed a joint venture to develop the 350 MW Project Kati 2 data center in Texas.
- The project includes a 100 MW Phase I and a 250 MW Phase II critical IT data center.
- Soluna committed $19 million for Phase II property acquisition and up to $2 million for operating expenses.
- Tenant due diligence and formal negotiations have begun with at least one potential tenant.
- Soluna reported a 58% revenue increase in Q1 2026 and regained Nasdaq compliance.
Soluna (NASDAQ: SLNH) Holdings has formalized a joint venture with Metrobloks for Project Kati 2, a planned multi-phase data center development in Willacy County, Texas, adding structure to the company’s push beyond bitcoin mining and hosting into AI and high-performance computing infrastructure.
The agreement, disclosed in an SEC filing Tuesday, governs the operation of Soluna MB KK II JVCo, LLC, a joint venture between Soluna HPC KK II HoldCo, LLC and DC Kati Venture LLC, an entity managed by Metrobloks LLC. Soluna’s subsidiary holds all Class A interests in the venture, while the Metrobloks entity holds all Class B interests. Soluna will serve as manager of the manager-managed LLC.
Project Kati 2 is expected to be developed in two phases. The first phase is planned as a 100 MW critical IT data center development, while the second phase would add another 250 MW of critical IT capacity, bringing the total contemplated buildout to 350 MW.
The filing provides more detail on the economics of the partnership. Soluna contributed the Phase I property, a purchase agreement to acquire the Phase II property and about $3.5 million to fund certain operating expenses. Subject to closing of the Phase II property acquisition, Soluna has committed to contribute about $19 million to complete that purchase, plus up to another $2 million for operating expenses as they come due.
