New Era Energy & Digital, a Texas-based developer of digital infrastructure and power assets, has secured a land option purchase agreement for a sprawling 3,500-acre site in Lea County, New Mexico. The company unveiled plans for a massive data center campus, powered by a combination of natural gas and nuclear energy, marking a significant step in the evolution of data center infrastructure and energy generation.
The project, announced on November 6, aims to deliver over 2 GW of natural gas-fired generation capacity and 5 GW or more of nuclear power. This substantial energy investment underscores the growing demand for data center capacity, particularly for AI-driven applications. The first phase of power generation, likely from new gas-fired units, is expected to come online in 2028.
New Era Energy & Digital selected the Lea County site for its strategic advantages, including proximity to major gas transmission lines, existing power infrastructure, abundant water supply, a skilled local workforce, and high-speed fiber connectivity. The company is set to begin engineering for the campus within the next month, which will include a comprehensive site evaluation, master planning, and full site engineering. The company has confirmed the availability of natural gas for the project and is in the final stages of technology selection for the nuclear component.
This project represents a major milestone for New Era as its first wholly owned venture, independent from the Texas Critical Data Centers (TCDC) joint venture with Sharon AI. The TCDC project, located in the gas-rich Permian Basin of Texas, includes 250 MW of power generation capacity.
Beyond powering its own facilities, New Era plans to offer powered shell buildings and powered land lease options for AI-focused enterprises. This vertically integrated model is designed to reduce tenant costs and accelerate deployment timelines. The company is collaborating closely with the State of New Mexico to align the project with state economic and environmental priorities.
E. Will Gray II, CEO of New Era Energy & Digital, emphasized the project’s potential to drive economic growth and high-tech job creation. “Lea County’s deep energy heritage provides a foundation of skilled talent that directly supports our next-generation digital infrastructure vision,” Gray said. “We believe this development will not only drive economic growth and high-tech job creation but also leverage New Mexico’s natural resources to power the future of AI innovation.”
The announcement comes as the data center sector continues to grapple with the challenges of scaling infrastructure to meet the demands of AI and other data-intensive applications. The integration of nuclear power into the energy mix for this project could set a precedent for future developments, potentially influencing the sector’s approach to energy generation and sustainability.
As the project progresses, it will be crucial to monitor its impact on the local economy, energy markets, and the broader data center industry. The success of this initiative could inspire similar ventures, shaping the future of digital infrastructure and energy generation in the United States.