Microsoft Eyes 3,200 Acres In Cheyenne For New Data Centers

Microsoft has unveiled intentions to purchase 3,200 acres in Cheyenne, Wyoming, marking the initial phase of a multi-year data center expansion project. The acquisition includes two parcels: approximately 200 acres in Bison Business Park and 3,000 acres in Southeast Cheyenne, both situated southeast of downtown. The company's plans detail a development process that will encompass several public hearings. To address potential concerns regarding utility rates, Microsoft has committed to a partnership with Black Hills Energy, utilizing a Large Power Contract Service (LPCS) tariff. This agreement mandates Microsoft to directly fund all necessary infrastructure upgrades and power procurement to serve its load, ensuring no increase in electric rates for other customers. Addressing environmental impacts, Microsoft stated its intention to replenish more water than it uses. The company leverages direct evaporative cooling in its existing Wyoming facilities, which it claims uses water less than 10% of the year. Future designs aim to further reduce or eliminate ongoing water access for cooling. Additionally, Microsoft will contribute to water replenishment efforts in the Mississippi-Missouri and Colorado River Basins. Bowen Wallace, Corporate Vice President for Datacenters-Americas Region at Microsoft, emphasized the company's long-standing presence and positive impact, dating back to 2012. He highlighted the project's potential to generate thousands of construction jobs and hundreds of permanent roles, bringing significant investment, opportunity, and tax revenue to the Cheyenne community.