Alpha Compute Acquires Oil and Gas Assets for $5.5 Million, Estimates 2.9 Million Barrels of Remaining Oil In-Place
Alpha Compute Corp. (Nasdaq: ALP) has announced an update on its Alpha Energy 02 transaction, which involves acquiring oil and gas assets for $5.5 million.
The company's leadership visited the property to review due diligence documents, met with sellers, and toured the pad sites. They obtained information on operations, financials, and equipment inventory, as well as verified well resources.
One natural gas test well into the Marcellus shale showed substantial recoverable gas resources across multiple formations linked to the acquired land and mineral rights. This corresponds to an estimated 200 MW of power generation capacity dedicated to Alpha Compute's planned data center in Q1 2028.
The acquisition delivers a stacked-resource position on over 300 acres, including one natural gas test well with proven reserves, more than 75 existing oil and shallow gas wells, operational maintenance facilities, and full surface control. The estimated original oil in place is around 3 million barrels, with only 4% extracted to date.
Alpha Compute does not intend to sell the gas but rather consume it on site for power generation at approximately 7.5 MMBtu per megawatt-hour. Initial production of 20-40 million cubic feet per day could support roughly 100-200 MW of generation capacity, and the combined recoverable gas is sufficient to sustain around 30-60 MW of continuous load for a decade.
The company plans to complete updated geological assessments, advance DEP permitting, finalize on-site generation design, and enter binding covenants with local governments. The project will comply with local ordinances, regional grid policies, and Pennsylvania Department of Environmental Protection regulations.