Key Highlights
- TeraWulf shares climbed 17% during premarket hours to approximately $24.81–$24.87 following the Anthropic lease announcement
- Expected revenue from the agreement totals around $19 billion across the initial two-decade term
- A dedicated AI infrastructure campus will be constructed at TeraWulf’s Hawesville, Kentucky location with 401 megawatts of critical IT capacity
- The first phase is slated to go live in late 2027, with complete buildout anticipated by early 2028
- The company has simultaneously agreed to divest its majority 50.1% interest in a Texas-based data center joint venture worth $450 million
Shares of TeraWulf exploded 17% higher during Monday’s premarket session, climbing to approximately $24.81, following news of a 20-year infrastructure lease with Anthropic for a dedicated AI campus in Kentucky.
The rally provided relief after the stock declined 10% on Thursday and endured a seven-session losing streak heading into the week.
The new facility will be situated at TeraWulf’s Justified Data location in Hawesville, Kentucky. The campus is designed to accommodate approximately 401 megawatts of critical IT load through a multi-phase rollout.
According to TeraWulf, the arrangement is projected to yield roughly $19 billion in total contracted lease revenue throughout the initial contract period. It’s a significant milestone for a business that originally focused on Bitcoin mining operations.
The first operational capacity is targeted for the latter half of 2027. Complete campus operations are anticipated by the first quarter of 2028.
CEO Paul Prager emphasized that the agreement confirms the company’s strategic transition into AI infrastructure. “The lease provides approximately $19 billion of contracted lease revenue over its initial term,” he noted.
Prager further highlighted that the partnership establishes a blueprint for additional growth opportunities and showcases TeraWulf’s capabilities in securing power access, infrastructure development, and establishing extended customer agreements.
Company Divests Texas Data Center Stake
In related news, TeraWulf disclosed plans to liquidate its 50.1% controlling position in the Abernathy Joint Venture, a 168-megawatt AI data center development in Texas.
The acquisition will be completed by an investment consortium headed by Fluidstack, TeraWulf’s current joint venture collaborator and AI-cloud infrastructure specialist.
TeraWulf’s total investment in the Texas operation reached $450 million. Company leadership stated the divestiture enables capital reallocation toward ventures offering enhanced long-term returns through complete ownership.
The Texas project was initiated in 2025 as part of TeraWulf’s strategic expansion into AI infrastructure markets.
Implications for TeraWulf’s Future
The Kentucky development is supported by what TeraWulf characterized as investment-grade credit backing, strengthening the long-term lease’s financial foundation.
Prager positioned both announcements as a coordinated strategic realignment. “Together, these transactions position TeraWulf for its next phase of growth,” he stated.
The Anthropic partnership represents the most definitive indication to date of TeraWulf’s transformation from Bitcoin mining operations toward a specialized AI data center platform.
Monday’s premarket gains position TeraWulf stock to reclaim significant losses accumulated during the previous trading week.
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