TeraWulf has amended its electric service agreement with Kentucky Power, doubling the contracted capacity at its Muskie Data Campus from 500MW to 1GW. The company announced the change on October 6.

The campus sits on 285 acres inside the 1,000-acre EastPark Industrial Park. TeraWulf acquired the site in May 2026 from Industrial Equity Partners. Under the revised plan, the first 500MW phase is set to ramp in 2028, and the second 500MW phase moves up to 2029 from the previous 2030 target.

Kentucky Power is developing a 765-kV and 345-kV substation that will tie the campus into the regional transmission network. TeraWulf is also evaluating the potential to reach as much as 2GW at Muskie over time.

TeraWulf Chairman and CEO Paul Prager said, "Customer interest in Muskie has been tremendous, and power availability is central to those conversations." No tenant has been named for the Muskie campus.

The Muskie project is the company's second large Kentucky development. TeraWulf is also building the Justified Data Campus in Hancock County, a 480MW site on a former aluminum processing property. The first facility there is scheduled to come online in 2027, and Anthropic is leasing capacity at that campus.

Beyond Kentucky, TeraWulf operates a campus in Buffalo, New York, whose customers include Core42 and Fluidstack.

The announcement adds Kentucky to the list of Southeast and Appalachian-region states where developers are expanding capacity around available transmission. Power access has become the gating factor for new data center campuses, and the Muskie agreement ties the schedule directly to Kentucky Power's substation work.

Construction of the second phase now depends on the accelerated timeline for that grid connection, which sets the pace for the 2029 target.

Source: DatacenterDynamics - https://www.datacenterdynamics.com/en/news/terawulfs-kentucky-campus-to-reach-1gw-in-2029/