Kodiak Gas Services has entered into an agreement to provide 76 megawatts of behind-the-meter, baseload power to a data center in West Texas, the company announced. The six-year deal will see Kodiak deploy roughly 40 natural gas-fueled reciprocating generation units to the site.
The data center operator receiving the power is under contract with an investment-grade-rated hyperscaler, and a GPU designer is serving as guarantor of the data center's lease, according to Kodiak.
Kodiak expects to begin deploying the power assets in the fourth quarter of 2026, scaling further into the first quarter of 2027. Revenue recognition from the agreement is expected to start in the first quarter of 2027.
The agreement marks Kodiak's second long-term contract to supply primary power to a data center. "Approximately half of our current power portfolio is now under long-term power contracts," said Kodiak CEO Mickey McKee.