NorthWestern Energy has announced a letter of intent to supply up to 1,000 megawatts of energy to a new data center being developed by Quantica Infrastructure. This venture aims to provide “resilient network solutions for AI.” With this commitment, NorthWestern will utilize nearly all of its generating capacity, including output from the new Yellowstone County Generating Station. The collaboration is part of NorthWestern’s dedication to economic development and top-tier energy services.
CEO Brian Bird emphasized efforts to enhance transmission infrastructure for the project. Quantica CEO John Chesser expressed excitement about the partnership’s potential, aiming to position Yellowstone County as a hub for hyperscale and AI operations. Although Quantica has not detailed job creation expectations, the data center is planned for Yellowstone County.
NorthWestern, a regulated utility under the Montana Public Service Commission (PSC), plans to integrate the data center into its regulated business model. This move is intended to distribute infrastructure costs across a larger customer base. However, Anne Hedges from the Montana Environmental Information Center criticized this approach, arguing that such efficiency does not benefit ratepayers, who lack alternative utility options.
PSC’s Executive Director Alana Lake stated that the commission is monitoring NorthWestern’s commitments closely, especially regarding customers with significant power needs. Disagreements exist between NorthWestern and the PSC about regulatory authority over new large load customers. NorthWestern’s VP Crystal Lail asserts that Montana law exempts such customers from needing PSC approval.
NorthWestern Energy currently supplies around 760 megawatts to Montana customers, peaking at 1,300 megawatts during high demand. The utility is also negotiating with TAC Data Centers and Atlas Power for additional data center projects, indicating a growing interest in supporting large-scale energy consumers in Montana. Despite these expansions, plans to double its stake in the Colstrip power plant show NorthWestern’s commitment to maintaining its energy portfolio.
Quantica’s founding team has notable ties to Talen Energy, with several executives, including Chesser and former CEO Charlie Baker, having previously worked there. Quantica was officially registered in Delaware in August 2024, signaling its formal entry into the market.
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