Bitcoin mining firm TeraWulf Inc. (Nasdaq: WULF) has acquired Muskie Data Campus, a site in Eastern Kentucky zoned to support a hyperscale data center expected to support over 1 gigawatt of power capacity for AI and high-performance computing (HPC) workloads. The acquisition from Industrial Equity Partners was announced at undisclosed terms and includes approximately 285 acres of developable land within the 1,000-acre EastPark Industrial Park. The stock price jumped over 12% on the news, according to The Block's stock tracking data. Kentucky Power is constructing a 345 kV substation connected to the existing 765 kV transmission network to support the full 1+ GW campus, with energy service agreements executed concurrently with the acquisition. This expansion reflects TeraWulf's strategic shift toward HPC and AI infrastructure, a trend shared by former bitcoin mining firms across the industry.
TeraWulf's HPC Growth
TeraWulf's high-performance computing business overtook its bitcoin mining segment for the first time in Q1 2026, generating approximately $21 million of the company's total $34 million quarterly revenue. The firm currently operates campuses in New York, Texas, and Maryland, and has been converting some bitcoin-focused centers to support HPC workloads.
Strategic Expansion in Kentucky
Muskie will be TeraWulf's second major campus in Kentucky, joining its 480 MW site in Hancock County. CEO Paul Prager stated: "TeraWulf is fundamentally a power infrastructure company that builds digital infrastructure, not the other way around. Our ability to identify, secure, and develop sites like Muskie reflects the advantages of our integrated approach and deep experience operating complex energy infrastructure assets."
Prager added: "This project also reflects an important core strategy at TeraWulf: disciplined growth. We continue to focus on sites with durable power control, scalable expansion potential, strong utility relationships, and clear pathways to commercialization."
Industry Context
The acquisition occurs amid broader debate over data center development in the United States. Critics argue that data center construction can increase local electricity prices and create environmental concerns, while supporters contend that data centers generate jobs and tax revenue.
