July 6 - TeraWulf said it has entered into a 20-year lease agreement with Anthropic for data center infrastructure, a commitment the company estimates will translate into approximately $19 billion in contracted revenue. The announcement pushed TeraWulf shares higher by more than 16% in premarket trading, reflecting investor response to the new long-term revenue stream.
The lease secures recurring income from an AI customer at a time when the company is pivoting away from dependency on bitcoin mining for its business. TeraWulf has said previously, in May, that this transition would play an increasing role in its operations going forward.
Facility and capacity details
The agreement covers a purpose-built AI infrastructure campus at TeraWulf's Justified Data site in Hawesville, Kentucky. The campus is planned to support about 401 megawatts of critical IT load. TeraWulf expects initial capacity at the site to be operational in the second half of 2027, with the campus reaching full capacity by early 2028.
Capital reallocation through joint venture sale
In a separate, related transaction, TeraWulf agreed to sell its 50.1% stake in the Abernathy joint venture to an investor group led by its partner Fluidstack. The sale is intended to monetize TeraWulf's roughly $450 million investment in that joint venture at a premium to its invested capital. Management says the proceeds will free up capital to pursue wholly owned AI infrastructure projects.
Market context
As of the previous close, TeraWulf shares had gained about 85% year to date. The stock's strong performance to date, and the sizable contracted revenue announced with Anthropic, highlight a strategic shift to long-term, recurring revenue tied to AI infrastructure rather than primarily to bitcoin mining operations.
The transactions combine a multi-year contractual relationship for hosting AI workloads with a balance-sheet reshaping move to convert an earlier joint venture investment into liquid capital. The lease, capacity timeline, and the monetization of the joint venture are central to TeraWulf's stated plan to reorient toward AI-focused infrastructure revenue.