The former site of Pennsylvania’s largest coal-fired power plant is being repurposed into the largest natural-gas powered data center campus in the United States. Officials announced Tuesday that the $10 billion redevelopment project in Homer City will become a critical hub for powering artificial intelligence and high-performance computing technologies.
The project, spearheaded by Homer City Redevelopment (HCR) in partnership with Kiewit Power Constructors Co., is being called the largest capital investment in Pennsylvania history. The 3,200-acre site, located 50 miles east of Pittsburgh, will support the regional power grid and host numerous data center clients, while relying on natural gas sourced from the Marcellus Shale region.
HCR President and CEO William Wexler said the development would both honor Pennsylvania’s legacy of energy production and position the state to meet future energy challenges. He emphasized the urgency of transitioning to reliable energy infrastructure to match the nation’s surging power demands, particularly as industries expand AI and data processing capabilities.
Construction is expected to begin later this year, with the first phases of power generation projected by 2027. Project leaders cite favorable timelines barring unforeseen regulatory, labor, or weather challenges.
PJM, the nation’s largest grid operator, recently reported that over 20 percent of the Mid-Atlantic’s grid system could retire by the decade’s end, underscoring the region’s urgent need for new energy production. The Homer City Energy Campus is positioned to help fill that gap.
In addition to energy supply, the redevelopment is projected to bring substantial job creation and long-term economic benefits. The project will generate 10,000 construction jobs and create 1,000 permanent positions once fully operational.
Senator Joe Pittman (R-Indiana) hailed the project as “historic and exciting,” noting that Homer City has played a significant role in powering the state and nation. He described the transformation as a milestone for local communities long impacted by shifting energy policies.
Executives from Kiewit praised the rapid progress toward breaking ground, affirming their commitment to safety, quality, and collaborative development as the project advances.
