Cipher Digital addresses Riesel data center questions with 25 News

Cipher Digital addresses Riesel data center questions with 25 News

News ClipKXXV·Riesel, McLennan County, TX·6/5/2026

Cipher Digital is proposing a data center development near Riesel, Texas, in McLennan County. The company has responded to resident concerns regarding the project's location, size, and resource usage, and is actively seeking to schedule a town hall meeting with the Riesel City Council to address community questions.

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Gov: Riesel City Council

Cipher Digital, a data center development company, has expressed interest in constructing a new facility in McLennan County Precinct 2, near Riesel, Texas. The company has partially purchased land close to the Sandy Creek Power Plant and is still evaluating the exact location and considering additional land acquisitions. Specific plans for the data center's size and tenant needs have not yet been finalized.

In response to mounting resident concerns, Cipher Digital communicated with 25 News, addressing questions about the development. The company stated its commitment to economic development, estimated to contribute approximately $13 million in annual taxes over 10 years, and emphasized its role in supporting national security interests by situating AI infrastructure in the U.S. Cipher Digital has requested a town hall meeting with the Riesel City Council to engage directly with residents and address their priorities, following up on an open letter issued on May 8.

Regarding resource consumption, Cipher Digital clarified that it does not plan to use City of Riesel water for data center cooling, though city water may be requested for staff use. The company anticipates employing treatment solutions for brackish or recycled water for cooling, similar to its approach at other sites. Water and electricity demands are contingent on future tenant requirements, with specific figures to be shared once reasonable estimates are available.