Summary
- TeraWulf has entered into a 20-year lease with Anthropic for a new AI data center campus in Hawesville, Kentucky, which is projected to generate around $19 billion in revenue.
- The company is also divesting its 50.1% interest in the Abernathy Joint Venture to a group led by Fluidstack, realizing a premium on its approximately $450 million investment.
- Bitcoin mining stocks are experiencing significant gains this Monday, with TeraWulf and IREN leading the upward trend.
Bitcoin mining company TeraWulf is making a significant investment in artificial intelligence by signing a 20-year lease with Anthropic, which it anticipates will generate approximately $19 billion in revenue, while also reducing its stake in a separate data center initiative in Texas.
Following this announcement, TeraWulf's shares (WULF) surged, trading at $24.05—a rise of nearly 14% for the day.
This development has seemingly enhanced investor sentiment across various Bitcoin mining companies that are increasingly integrating AI capabilities, with IREN shares climbing over 13%, Hut 8 increasing by 12%, and Cipher Digital up by 11%. Keel Infrastructure (previously Bitfarms), which has shifted its focus entirely from Bitcoin mining to AI, also saw a 10% increase in its stock price.
Per the agreement disclosed on Monday, Anthropic will utilize a custom-built facility at TeraWulf's Justified Data campus in Hawesville, Kentucky, designed to eventually provide about 401 megawatts of computing power. The first stage is expected to be operational in the latter half of 2027, with the entire site becoming fully functional by early 2028. TeraWulf indicated that the lease will be backed by an investment-grade credit rating.
Traditionally focused on Bitcoin mining, the Maryland-based firm is shifting towards AI infrastructure, driven by the increasing demand for computational resources required to train large language models. Anthropic, the AI company responsible for the Claude chatbot, is among several key players striving to secure long-term access to power and data center resources as it expands its models.
In another strategic move, TeraWulf has agreed to transfer its 50.1% stake in the Abernathy Joint Venture—a Texas data center project it developed with Fluidstack—to an investment group led by Fluidstack. This deal allows TeraWulf to cash out its investment of around $450 million at a premium. Fluidstack will assume control of the project going forward.
“When we announced the acquisition of the Justified Data campus in February, we informed investors that we anticipated securing a major customer commitment by the end of the second quarter of 2026,” stated TeraWulf Chairman and CEO Paul Prager. “Today’s announcement signifies the completion of final documentation and typical transaction processes, and we are excited to reveal this significant partnership with Anthropic.”