Black Hills Inks 2048 Google Data Center Deal, Plans $1.8B Gas Build
BKH sits 23% above its 52-week low of $59.91.
Summary
Black Hills signed agreements through 2048 to serve Google's planned Cheyenne data center, committing $1.8B for 564 MW of new gas generation in 2027–2029. Google provided $399 million of refundable advances for long lead-time equipment, to be reimbursed by June 30, 2027. The project is expected to deliver roughly $150M net income in 2030 and about $2.4B unlevered FCF net of capex, with MGMF revenue starting late 2027. This is a major long-term contract win that extends BKH's strategy to serve large-load data centers with dedicated assets and fees. The timeline shows a prior 1.8 GW data center deal mentioned in the Q2 10-Q, but this announcement provides specific terms and a named customer. Regulatory approvals, financing terms, and construction milestones are the next key checkpoints.
Updated with an SEC 8-K filing · What changed
Updates
· SEC 8-K — Google provided $399 million of refundable advances for long lead-time equipment, to be reimbursed by June 30, 2027.
At the time of this announcement, BKH was trading at $73.41 on NYSE in the Energy & Transportation sector, with a market capitalization of approximately $5.4B. The 52-week trading range was $59.91 to $78.69. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Wiseek News.