Key Highlights
- TeraWulf shares climbed 17% during premarket hours, trading near $24.81–$24.87 following the Anthropic lease announcement
- The agreement is estimated to produce roughly $19 billion in revenue throughout the initial 20-year lease period
- A dedicated AI infrastructure campus will be constructed at TeraWulf’s Hawesville, Kentucky location, featuring 401 megawatts of critical IT capacity
- The facility’s first phase is anticipated to launch in late 2027, reaching complete capacity by early 2028
- Simultaneously, TeraWulf announced plans to divest its majority 50.1% ownership in a Texas-based data center partnership where it had committed $450 million
Shares of TeraWulf experienced a significant 17% premarket rally on Monday, climbing to approximately $24.81, following the company’s disclosure of a two-decade lease arrangement with Anthropic for a specialized AI infrastructure facility in Kentucky.
This upward momentum follows a challenging period where the stock declined 10% on Thursday and had been experiencing a seven-session downward trend heading into Monday’s session.
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 capacity, rolling out in multiple development stages.
TeraWulf projects the partnership will yield roughly $19 billion in revenue from contracted lease payments throughout the agreement’s initial duration. This represents a substantial milestone for an enterprise that originally focused on Bitcoin mining operations.
The first operational phase is targeted for the latter half of 2027. Complete campus functionality is projected by the opening months of 2028.
Chief Executive Officer Paul Prager emphasized that the lease agreement confirms the company’s strategic transition toward AI infrastructure. “The lease provides approximately $19 billion of contracted lease revenue over its initial term,” he stated.
Prager further noted that the arrangement establishes a blueprint for additional expansion opportunities and showcases TeraWulf’s capabilities in securing power resources, building infrastructure, and negotiating extended customer agreements.
TeraWulf Divests Texas Partnership Stake
In concurrent news, TeraWulf revealed its intention to dispose of its 50.1% controlling interest 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 had allocated $450 million toward the Texas partnership. Company officials indicated the divestiture will enable capital reallocation toward ventures where TeraWulf can secure enhanced long-term returns through complete ownership.
The Texas initiative was launched in 2025 as a component of TeraWulf’s expanded move into AI infrastructure markets.
Implications for TeraWulf’s Future
The Kentucky development is supported by what TeraWulf characterized as an investment-grade credit foundation, which strengthens the financial stability underlying the extended lease arrangement.
Prager positioned both announcements as components of a comprehensive strategic realignment. “Together, these transactions position TeraWulf for its next phase of growth,” he explained.
The Anthropic partnership represents the most definitive indication to date of TeraWulf’s transformation from its cryptocurrency mining origins toward establishing itself as a specialized AI data center provider.
TeraWulf’s premarket performance on Monday positions the stock to reclaim a substantial portion of losses accumulated during the previous week’s trading sessions.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
