Alaska is emerging as a potential hub for data centers, thanks to a recent assessment of its natural gas resources. The U.S. Geological Survey (USGS) estimated that the North Slope could hold up to 96 trillion cubic feet of undiscovered natural gas, a figure that has sparked interest in the region for large-scale computing and AI sites. The cold climate, available land, and energy resources make Alaska a cost-effective alternative to traditional data center locations like Northern Virginia and Texas.
One of the most ambitious projects is Project Aaka, a 3GW natural-gas powered data center developed by STAK Energy. The site, located in an industrial corridor on the North Slope, has secured a 15-year gas supply deal with ExxonMobil Alaska Production Inc. STAK's chief development officer, Kay Zinngrabe, expressed optimism about the project's potential for future expansion, citing the USGS report as a positive indicator.
Beyond data centers, Alaska’s North Slope gas is also being considered for domestic and international markets through a $55 billion LNG pipeline. Despite concerns about resource competition, Zinngrabe emphasized the mutual benefits of both projects for Alaska’s economy. The state’s governor, Mike Dunleavy, supports data centers, but the outcome of the upcoming midterm elections could influence the industry’s future. Democratic candidate Jonathan Kreiss-Tomkins has proposed a temporary ban on new data centers, while Republican rival Bernadette Wilson has expressed opposition to hyperscale data centers.
Secretary of the Interior Doug Burgum highlighted the significance of Alaska’s energy resources, stating that they could supply affordable and reliable energy for generations. The USGS report underscores the potential of the North Slope’s natural gas reserves to support both data centers and other energy projects, positioning Alaska as a key player in the energy and computing sectors.