Tuesday, June 23, 2026

Microsoft’s West Texas Data Center will be having an oil and gas major as its energy provider.

Happy Tuesday! 

We keep hearing on how oil and gas will be pairing with data centers, not just energy power companies.  Well, this is the first one we have actually read it is going to happen.

Did anyone happen to read the Oil & Gas Journal’s OGJ Daily Update Newsletter on June 23, 2026, their article titled, “Chevron to build gas-fired West Texas power plant, supply Microsoft”?   The article goes on to speak on how an energy development company owned by Chevron named Energy Forge One LLC will be developing a 2.67 GW natural gas power plant in West Texas named Project Kilby who will be providing electric to Microsoft.  The two facilities will be located side by side, and the project will be developed with a stage prefabricated style like current natural gas plants which allows it to grow as needed.  The Kilby project is a joint project with Engine No. 1; and they are expected to use West Texas industrial produced water instead of the groundwater as a way to re-use produced water which is no longer allowed to be pumped underground in certain areas around West Texas.   The Kilby project will be using innovative equipment as a way to cut emissions.   Chevron will be making a final investment decision later this year and their power plant is expected to be operational sometime in 2028.  We will let you know, if we hear anything else on this project.  If you would like to read more of the Oil & Gas Journal’s article, please click the link:   Chevron to build gas-fired West Texas power plant, supply Microsoft | Oil & Gas Journal.

Our team has experience in developing hydrocarbon storage facilities, so if you too would like to get a project going, we’re here to help!  Don’t forget to check out our ESC website or contact us via the email in the Blog!

We hope you have a wonderful evening and a productive week! 

**Disclaimer: You may be charged a fee to read The Oil and Gas Journal’s article. **