Wyoming's AI Data Center Boom: Surpassing Human Energy Needs

In a significant development for Wyoming, the mayor of Cheyenne, Patrick Collins, has unveiled plans for an artificial intelligence data center with electricity consumption predicted to exceed that of all residences in the state. In collaboration with energy firm Tallgrass and AI data center developer Crusoe, this facility is set to start at 1.8 gigawatts, eventually scaling up to a staggering 10 gigawatts.
This project represents a massive energy demand, staggering for a state with the smallest population in the U.S. During its initial phase, the facility is anticipated to utilize 15.8 terawatt-hours annually—over fivefold what all households in Wyoming currently use. Upon reaching its full capacity, the data center will annually consume roughly 87.6 terawatt-hours of electricity. To mitigate the effects on the public grid, the project will harness its own gas generation and renewable energy supplies.
Governor Mark Gordon has lauded this project for its promise to boost the state's natural gas sector. Despite requiring state and local regulatory approvals, the site situated just south of Cheyenne is primed for a swift commencement, with Collins optimistic about the project's rapid initiation.
Cheyenne already hosts data centers from industry giants like Microsoft and Meta, drawn by advantageous factors such as a favorable climate and energy availability. However, this project introduces an unprecedented scale. As the third-largest net energy supplier in the country, Wyoming supplies 12 times the energy it consumes, predominantly through fossil fuels, making its electricity reserves limited.
The founding partners of the data center are yet to disclose its end users, stirring speculation about connections to OpenAI's Stargate AI infrastructure initiative. Although connections with OpenAI remain uncertain, its recent Texas facility, developed in conjunction with Oracle, represents a major investment in data center capacity and serves as a benchmark in the sector.