TeraWulf (WULF), has signed two 10-year high-performance computing (HPC) colocation agreements with AI cloud platform Fluidstack.
The agreements lock in approximately $3.7 billion in contracted revenue, with potential to rise to $8.7 billion if two five-year extension options are exercised.
Google will support the project by backstopping $1.8 billion of Fluidstack’s lease obligations, facilitating project debt financing, and taking an 8% equity stake in WULF through warrants for about 41 million shares.
The deals will provide over 200 megawatts of critical IT load (around 250 MW gross capacity) at TeraWulf’s Lake Mariner data center in Western New York, a facility purpose-built for liquid-cooled AI workloads.
TeraWulf’s Lake Mariner campus, equipped with dual 345 kV transmission lines, closed-loop water cooling, and low-latency fiber connectivity, is positioned as a premier hyperscale-ready site for demanding AI workloads. Phase one of the deployment, delivering 40 MW of capacity, is slated for the first half of 2026, with full buildout expected by year-end.
Leadership from both companies emphasized the strategic significance of the partnership. CEO Paul Prager called it “a defining moment” for TeraWulf, while CTO Nazar Khan highlighted the facility’s scalability and readiness. Fluidstack President César Maklary underscored their joint commitment to rapid, scalable AI infrastructure.
The agreements are structured as modified gross leases with annual escalators, expected to generate site-level net operating income margins of 85% or roughly $315 million annually. Total project costs are projected at $8–$10 million per MW. Fluidstack also holds a 30-day exclusivity option for CB-5, potentially adding another 160 MW of IT load.
TerraWulf shares are up 22% pre-market to $6.68.
