TeraWulf shares soar after Anthropic leases data center in Kentucky

Anthropic on Monday signed a 20-year lease to use a TeraWulf data center in Kentucky.

The data center, located about an hour southwest of Louisville in Hawesville, will have capacity of around 400 megawatts with first power delivery expected in the second half of 2027.

TeraWulf shares soared more than 16% in premarket trading. The lease is expected to generate around $19 billion in revenue over the initial term.

“The Anthropic lease validates our strategy and establishes a long-duration revenue stream with one of the world’s leading AI companies,” CEO Paul Prager said.

TeraWulf also sold its 50% interest in a 168-megawatt data center in Abernathy, Texas to an investor group led by Fluidstack.

TeraWulf is a crypto mining company that has pivoted to AI data center infrastructure. Its stock is up more than 80% this year.