As artificial intelligence (AI) continues its rapid expansion, one major challenge has emerged—powering the data centers that fuel its growth. AI-driven applications require immense computing power, and as a result, energy consumption has skyrocketed. Recognizing this need, Chevron, in collaboration with GE Vernova and Engine No. 1, is making a strategic move to supply natural gas-powered energy to AI data centers across the United States.

The Growing Energy Demand of AI Data Centers

AI data centers consume vast amounts of electricity—up to 50 times more power per square foot than a typical office building. Even a single query on ChatGPT can use 10 times the energy of a standard Google search. With AI adoption surging across industries, the demand for reliable and scalable energy solutions is at an all-time high.

Many data centers currently rely on the electrical grid, making them vulnerable to energy shortages, outages, and capacity constraints. To mitigate these risks, Chevron and its partners are developing behind-the-meter power plants to provide a more stable and independent energy source for AI infrastructure.

Chevron’s Natural Gas-Powered Solution

Chevron, GE Vernova, and Engine No. 1 plan to deliver up to four gigawatts (GW) of power—enough to supply electricity to approximately 3.5 million U.S. homes for one year. Their strategy includes:

Building behind-the-meter power plants near AI data centers to provide localized and uninterrupted energy supply.
Deploying U.S.-made GE Vernova 7HA natural gas turbines, known for their high efficiency and reliability.
Ensuring flexibility for lower carbon solutions, such as carbon capture and storage (CCS), which can capture more than 90% of CO2 emissions from turbines.

The first phase of this initiative will involve the delivery of seven GE gas-powered turbines, expected to begin providing power in 2027. This approach leverages the U.S.’s abundant natural gas resources to drive AI innovation while maintaining grid stability.

A Strategic Energy Play for the AI Boom

This bold move underscores the increasing interconnection between the energy and technology sectors. AI-driven businesses are seeking power solutions that can support their exponential growth, and natural gas presents a viable option due to its availability, affordability, and lower emissions compared to traditional coal-based power sources.

Chevron’s history of deploying behind-the-meter power solutions in remote oil and gas operations, such as the Permian Basin, makes this a natural expansion of its expertise. By extending this model to AI data centers, Chevron is not only addressing a pressing industry need but also positioning itself as a key player in the evolving energy-tech landscape.

The Future of Energy for AI

As AI applications continue to scale, companies will need innovative power solutions to keep pace with growing demand. Chevron, GE Vernova, and Engine No. 1 are demonstrating how energy and tech companies can collaborate to drive sustainable and efficient power solutions. With the integration of carbon capture technology and potential renewable energy adoption, this initiative could set a precedent for balancing energy security and environmental responsibility in the AI era.

For businesses operating in the energy sector, this trend presents numerous opportunities. Service providers in natural gas power generation, turbine maintenance, and carbon capture solutions stand to benefit as AI data centers seek reliable energy sources. Additionally, oil and gas firms can explore similar partnerships to capitalize on the energy demands of emerging technologies.

The message is clear—AI isn’t just transforming industries; it’s reshaping the future of energy. With natural gas playing a critical role in powering AI, the synergy between energy and technology will only continue to grow.