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Homer City Gets Green Light for 4.4 GW Gas-Powered AI Data Center Campus

Home » Buildings » Data Center » Homer City Gets Green Light for 4.4 GW Gas-Powered AI Data Center Campus

Homer City Redevelopment (HCR) has finally secured air quality approval from the Pennsylvania Department of Environmental Protection (PA DEP). This “Air Permit” clears the way for full construction of a massive 4.4 GW natural gas generating facility and adjacent data-center campus. With this milestone, the project can move from demolition and site-readiness into full build-out. Construction is expected to ramp up soon, and operations are projected to begin around 2027. 

Project Factsheet

Location: 3,200-acre site in Indiana County, Pennsylvania

Capacity: approximately 4.4–4.5 GW of natural gas power

Turbines: 7 × GE Vernova 7HA.02 high-efficiency gas turbines

Investors / Financiers: Knighthead Capital Management leads financing

Gas Supplier: EQT Corporation (in principle agreement)

Construction Partner: Kiewit Power Constructors Co.

Start of Power Production: Targeted for 2027

Original Site Use: Former coal-fired Homer City Generating Station

Economic and Infrastructure Impact

By reusing the old coal plant site, the project turns a brownfield into a high-growth energy and technology hub. The redevelopment is expected to drive thousands of construction jobs and attract billions in private capital to Indiana County. Local infrastructure,such as existing transmission lines, water access, and substations, will be leveraged from the legacy plant to speed build-out. The campus is designed to serve both large data-centre customers and feed excess power into the wider regional grid.

Technical & Regulatory Details

The PA DEP air-quality approval means the project must meet strict emissions standards. The plant will use seven high-efficiency hydrogen-enabled GE Vernova turbines. In addition, these advanced turbines will run in a combined-cycle configuration to maximize efficiency. Because much of the former plant infrastructure remains (transmission lines, substations), grid interconnection costs and delays are significantly reduced.

Project Overview | Homer City Redevelopment

Pennsylvania’s Energy-Tech Nexus: Why This Project Matters

This transformation reflects a broader trend in Pennsylvania: legacy energy infrastructure is being repurposed to power the next wave of digital innovation. In fact, the state is emerging as a strategic hub for AI-intensive data centers thanks to its abundant natural gas, existing power infrastructure, and favorable regulatory environment. Moreover, other major investors are also placing big bets: for instance, Blackstone recently committed $25 billion toward data centers and natural gas plants in Pennsylvania, tapping into co-located power-and-compute models. Further, this alignment of energy capacity and digital demand makes the Homer City project symbolic of how fossil energy assets are being reimagined in the AI era.

What Happens Next

Finally, with the permit now secured, Kiewit will mobilize construction crews to start major civil works. GE Vernova is expected to deliver the first turbines in 2026. Meanwhile, HCR and EQT will finalize natural gas supply arrangements to ensure fuel continuity, following trends seen in other large-scale energy-backed data center projects, such as the US$1.5 billion, 1 GW natural gas-powered data center deal recently announced. As the campus takes shape, developers hope it will attract high-performance computing clients and anchor Pennsylvania’s role in the global AI infrastructure landscape.

Nathan G is a reporter from Nairobi, Kenya. He has written for Construction Review for just over four years. He is currently a university student at one of Nairobi's top universities studying for a Bachelor of Science in Finance.

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