On Monday, Chevron and Microsoft revealed their intention to create a 2.67-gigawatt natural gas power facility in West Texas to support the tech giant’s AI and cloud computing data centers.

As part of a power purchase agreement spanning 20 years, the facility will deliver dedicated electricity to a data center managed by Microsoft. The majority of the energy will be produced by two large GE Vernova turbines, while additional power will come from a subsidiary of Caterpillar, Solar Turbines. (The name Solar Turbines might ring a bell — xAI employs them in its unauthorized power facility located near Memphis.) Microsoft is set to acquire electricity from this plant for two decades.

According to Chevron’s press release, this endeavor will rank “among the largest co-located natural gas power and data center developments in the U.S.”

While Microsoft has been signaling this transition for several months, it remains a notable change for a corporation that has openly prioritized sustainability. Microsoft has committed to achieving zero carbon emissions by 2030, a target that may become more challenging with this new power plant. 

Referred to as Project Kilby, the power facility is anticipated to emit over 13 million tons of carbon dioxide, 3,200 tons of criteria air pollutants, and 278,000 pounds of hazardous air pollutants, according to the Environmental Integrity Project.