TeraWulf just bought itself a very large piece of Kentucky real estate, and it has nothing to do with bourbon. The Nasdaq-listed company closed its acquisition of the Muskie Data Campus on May 22, a 285-acre site in eastern Kentucky’s EastPark Industrial Park that it plans to develop into a hyperscale data center with more than 1 gigawatt of total capacity.
The deal and the numbers
TeraWulf completed the transaction with Industrial Equity Partners, picking up the sprawling site near Ashland and Grayson, Kentucky. The company plans to develop capacity in two phases: 500 MW targeted for the second half of 2028, and another 500 MW expected by the end of 2030.
The power infrastructure backing the site is substantial. Kentucky Power, a subsidiary of American Electric Power, is building a dedicated 345 kV substation that connects to the existing 765 kV transmission network.
Investors clearly liked what they saw. TeraWulf’s stock climbed between 11% and 13% following the announcement on May 26.
This isn’t TeraWulf’s first Kentucky rodeo, either. Back in February 2026, the company acquired the Hawesville site, now branded the Justified Data Campus, which is projected to deliver approximately 480 MW of capacity. Combined with the Muskie campus, TeraWulf is now looking at a Kentucky portfolio that could eventually exceed 1.5 GW.
From Bitcoin mining to AI infrastructure
TeraWulf originally made its name as a Bitcoin miner. The company still maintains a mining segment, but the strategic direction has shifted decisively toward high-performance computing and AI infrastructure.
CEO Paul Prager framed the Muskie acquisition as part of the company’s broader strategy to build “power-advantaged” sites designed to meet surging demand for AI and HPC services.
What this means for investors
With the Muskie and Hawesville campuses combined, TeraWulf is assembling a portfolio of over 1.5 GW of planned capacity. The phased development approach limits near-term capital risk, with the first 500 MW at Muskie not expected until the second half of 2028.
TeraWulf hasn’t abandoned Bitcoin mining entirely. The company maintains a mining segment alongside its HPC ambitions, giving investors dual exposure to Bitcoin price movements and AI infrastructure demand.
The utility partnership with Kentucky Power via American Electric Power provides dedicated transmission infrastructure, including a 345 kV substation connected to the existing 765 kV network — infrastructure that would take a competitor years and considerable regulatory navigation to replicate.
