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Proposed

Microsoft Pecos AI data center with Chevron's Project Kilby gas plant

Also called: Project Kilby, Energy Forge One

Microsoft plans a 2-gigawatt AI data center near Pecos. Chevron would build a gas power plant next to it just for this site. Microsoft says it will take 5 to 7 years and create more than 6,000 construction jobs at peak.

โœ” ConfirmedSourceLast checked: Oct 6, 2026

Where things stand: Announced in June 2026. First power from the new gas plant is expected in 2028.

๐Ÿ•’ Latest update (June 22, 2026): Microsoft announced a 2-gigawatt data center in Pecos. Chevron signed a 20-year deal to power it with a new gas plant.

What we know

  • ๐Ÿ“ WhereNear the city of Pecos (exact site not published in sources we opened), Unincorporated Reeves County, Reeves County
  • ๐Ÿข CompanyMicrosoft (data center); Chevron with Engine No. 1 and GE Vernova (power plant)
  • ๐Ÿ›๏ธ Owned byMicrosoft
  • ๐Ÿ‘ค Built forMicrosoft
  • โšก Power it needs2,000 megawatts (about as much as 1,600,000 homes)
  • ๐Ÿ”Œ Where the power comes fromChevron's new gas power plant next to the site (Project Kilby), growing to 2.67 gigawatts, under a 20-year deal. Not connected to the grid at first.
  • โ„๏ธ CoolingClosed-loop cooling; Microsoft says only an initial fill of water is needed

โ“ Still unanswered

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What happened so far

  • June 22, 2026
    Microsoft announced a 2-gigawatt data center in Pecos. Chevron signed a 20-year deal to power it with a new gas plant.
๐Ÿ›ฐ๏ธ See it from above

An aerial photo of the area.

We only know the town, so this shows the town center, not the exact site. Photos: USGS The National Map.

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Where this comes from

  1. Powering the next wave of AI: expanding capacity with our new datacenter in Pecos ยท Microsoft ยท June 22, 2026
  2. Microsoft 2-gigawatt AI data center in West Texas with onsite gas ยท The Energy Mag ยท June 22, 2026

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