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Home » EQT Set To Be Named Gas Supplier for Homer City Redevelopment Project
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EQT Set To Be Named Gas Supplier for Homer City Redevelopment Project

omc_adminBy omc_adminJuly 16, 2025No Comments4 Mins Read
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Homer City Redevelopment LLC (HCR), tasked with transforming the decommissioned coal-burning Homer City Generating Station, said Tuesday it had signed an agreement in principle with EQT Corp. for the supply of natural gas to the Homer City Energy Campus.

The Homer City Energy Campus will transform the site that was home to Pennsylvania’s largest coal-fired power plant into a 3,200-acre artificial intelligence and high-performance computing data center complex.

It is planned to have a 4.4-gigawatt fully integrated on-site gas-run generating station. Startup is expected 2027.

“Under the Agreement, HCR will have an unparalleled level of gas supply redundancy for the site with the ability to source gas from both the Texas Eastern Transmission and Eastern Gas Transmission and Storage pipeline systems”, HCR and EQT said in a joint statement.

“HCR and EQT will unlock natural gas supply of up to 665,000 MMBTUs [million British thermal units] per day. The transaction is one of the largest single-site natural gas purchases in North American history”.

HCR chief executive Corey Hessen commented, “This agreement ensures long-term energy security for the data center campus, while demonstrating our commitment to powering the future with Pennsylvania gas, Pennsylvania power and ultimately, Pennsylvania data centers”.

GE Vernova Inc. has bagged a contract to supply its high-efficiency 7HA.02 gas turbines for the redevelopment project. The Cambridge, Massachusetts-based power technology company will deliver seven units.

Kiewit Power Constructors Co. has won the construction rights. Construction is expected to start this year.

The former coal power station, which had a two-gigawatt capacity, ran from 1969 to 2023.

The redevelopment project was announced last April. “Much of the critical infrastructure for the project is already in place from the legacy Homer City plant, including transmission lines connected to the PJM and NYISO power grids, substations and water access”, a press release said.

It said the Homer City Energy Campus will have 60-65 percent lower emissions per megawatt hour compared to the coal plant.

According to the announcement, the initial capital investment could “exceed $10 billion for power infrastructure and site readiness, with data center development to inject billions more, making this the largest such investment in Pennsylvania’s history”.

“Importantly, energy production at the new Homer City Energy Campus will rely on natural gas produced in the Marcellus Shale Region of the U.S., and the project will help address the nation’s growing energy shortage – a crisis that will only intensify as demand surges to support the global race for dominance in AI and HPC technology”, the announcement added.

Financing for the redevelopment project is led by Knighthead Capital Management LLC.

“Knighthead is thrilled to be involved in the long-term development of the Homer City Energy Campus, which we believe will play a vital role in securing America’s AI and energy capacity dominance”, said Knighthead partner Andrew Shannahan.

To contact the author, email jov.onsat@rigzone.com


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