A 15-year supply agreement with ExxonMobil supports plans to turn North Slope natural gas into electricity for advanced computing infrastructure.
Alaska’s North Slope could become home to a major off-grid power development as STAK Energy moves forward with plans to use locally produced natural gas to support energy-intensive computing operations.
A 15-year gas supply agreement with ExxonMobil Alaska Production Inc., announced November 5, 2026, establishes a potential fuel source for Project Aaka, a proposed energy campus designed to generate nearly 3 gigawatts (GW) of electricity. The project would create a commercial outlet for natural gas reserves that have historically been difficult to market because of the region’s limited transportation infrastructure.
The agreement comes as data center developers seek reliable electricity supplies to support artificial intelligence and other computing workloads. Building generating capacity near existing fuel resources offers one approach, although the project’s Arctic location introduces logistical, financial and environmental considerations.
North Slope Gas Finds a Potential New Market
Natural gas production on Alaska’s North Slope has long been tied to oil extraction, with substantial volumes reinjected into underground reservoirs rather than transported to commercial customers. Limited pipeline infrastructure and the expense of moving gas out of the region have constrained market development.
Project Aaka would take a different approach by generating electricity near the gas supply instead of relying on a pipeline to reach distant markets.
The agreement between STAK Energy and ExxonMobil follows a preliminary arrangement established in January 2026. For ExxonMobil, the proposed development could provide an additional market for North Slope natural gas. For STAK Energy, the 15-year contract represents a step toward securing the fuel required for large-scale generation.
The planned campus would be located in an established industrial corridor near Deadhorse, with access to year-round roads and airport facilities. STAK Energy intends to use high-efficiency natural gas turbines to produce electricity independently of Alaska’s public utility grid.
That arrangement could allow the facility to serve advanced computing operations without placing additional demand on public electricity systems. The project may also support nearby industrial users, although the availability and pricing of electricity for other customers have not been established.
Initial generation is targeted for 2030, with additional capacity expected to come online in phases through 2032. At nearly 3 GW, the completed development would require significant investments in generation equipment, gas processing and delivery systems, computing facilities and supporting infrastructure.
Land Approval Moves Project Forward, but Questions Remain
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