NextEra and Brookfield Infrastructure Partners announced a $100 billion AI data center campus at the DOE's Paducah nuclear enrichment site in Kentucky, targeting over 1.2 GW of compute capacity backed by dedicated natural gas and battery energy storage.
Brookfield and NextEra Energy plan to invest $100 billion to transform part of the US Department of Energy's former Paducah Gaseous Diffusion Plant into one of the nation's largest AI data center campuses, pairing more than 1.2 GW of compute capacity with dedicated power generation built specifically for the project.
The Paducah American Energy Hub coalition unveiled the project on Wednesday. Brookfield will develop and operate the campus, while NextEra will build up to 2 GW of natural gas generation and up to 2.6 GW of battery energy storage. The partners expect the campus to support up to 1.8 GW of utility capacity by 2032. The partnership also includes Big Rivers Electric Power Corporation, Jackson Purchase Energy Cooperative, and Paducah Power System.
The Department of Energy selected Brookfield following its November 2025 Request for Offers to lease land and develop the campus at the Paducah site. DOE picked NextEra to build and own the dedicated generation resources. The project remains subject to negotiation and execution of definitive agreements.
Brookfield CEO Bruce Flatt framed the initiative as part of a larger strategy: "The Department of Energy Paducah Site will be the seed of our plan to invest $100 billion in AI infrastructure." NextEra Chairman, President and CEO John Ketchum emphasized the model's approach to grid management: "This project is a proof point for how AI infrastructure should be built in America. The data center will bring its own power, pay for its own power infrastructure and create good-paying jobs for local workers."
For the broader industry, the announcement signals a shift toward treating power infrastructure as an integral component of campus design rather than an external utility dependency. Neil Osnato, founder of Persistence Analytics Group, noted that the dedicated generation model could accelerate development timelines for hyperscale AI campuses while reducing infrastructure costs borne by existing customers. However, he cautioned against treating announced nameplate capacity as equivalent firm generation. "A gigawatt of battery capacity is not the same thing as a gigawatt of continuously available generation," Osnato said, emphasizing that the critical metric is how much firm power the campus can sustain during stressed grid conditions. He urged planners to evaluate transmission requirements, fuel infrastructure, reserve obligations, battery operating assumptions, and whether incremental system costs remain appropriately assigned to the project rather than socialized across the broader grid.
The former enrichment site offers existing transmission capacity, water infrastructure, fiber connectivity, roads, and developable land, enabling faster construction than a greenfield site. Under the proposed structure, Big Rivers Electric Power Corporation would provide wholesale electric service, Jackson Purchase Energy Cooperative would provide retail service, and Paducah Power System would serve as a community partner. The power service agreement will require approval from the Kentucky Public Service Commission.
The project is expected to create approximately 8,000 construction jobs and 600 permanent operations jobs. Energy Secretary Chris Wright called it a potential blueprint for future AI infrastructure development: "It's difficult to overestimate the importance of this project. The planning and investment by NextEra Energy and Brookfield provides a crucial roadmap for future projects in the United States by revealing the ability to build world-leading infrastructure without passing costs on to surrounding communities."
The announcement did not identify an anchor AI customer or disclose when construction is expected to begin.