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Power Solutions on Industrial Properties for Data Center Development
We partner with heavy industrial facilities to host data centers and develop, finance, and operate on-site power generation
Kanin Approach
Kanin Energy is a trusted energy developer and partner to many large industrial companies. We aim to be an integrator between heavy industrials and data center developers, finding opportunities to host data centers and develop and operate on-site power generation to enable faster speed to deployment.
Kanin will do:
1. Site Identification
Identify, vet, and prepare industrial sites for data center development
2. Developer Matching
Match sites with data center developers whose criteria align with site specifications (geography, acres, grid access, water)
3. Power Asset Development & Operations
Designing, developing, and operating on-site power assets and microgrids to meet data center reliability needs:
- Gas-fired power generation (gas turbines, reciprocating engines, fuel cells)
- Waste heat to power (WHP)
- Battery energy storage systems (BESS)
- Other low-carbon solutions (CCUS, renewable natural gas, etc.)
4. Equipment Procurement
Procuring power generation equipment from OEMs
5. Grid Management
Working with utilities to manage grid connection and explore pathways to increase grid power to site
6. Capital Deployment
Sourcing and deploying capital for projects
7. Regulatory Compliance
Managing permitting and regulation of power assets
8. Incentive Realization
Realizing tax credits and other incentives
- Benefits for Industrials
- Identify, vet, and prepare industrial sites for data center development
- Exposure and diversification into data center market
- Potential power cost savings where possible to overbuild for on-site industrial load
- Benefits for Data Center Developers
- Speed to power with grid-enabled and on-site power assets able to be operational within 2-3 years
- Access to permitted industrial lands and other assets and resources in prime locations for development
- One all-in power provider for full portfolio of solutions
- Differentiated expertise in building low-carbon to meet sustainability goals
- The Data Center Market
Amidst a booming AI industry, demand for data centers is growing rapidly. This will inevitably require an increasing supply of firm power. In 2024, The Department of Energy found that in 2023, data centers consumed 167 TWh of electricity, but by 2028, could consume as much as 580 TWh, 200% growth in demand in just 5 years.
In the face of this massive opportunity, data center developers are very eager to find reliable, low-cost, low-emissions power and land that can be developed quickly. However, at the scales that data center customers are interested, resources become increasingly challenging to find. Data center developers are looking for alternative pathways to deploy compute quickly and reliably.
- Industrial Reutilization
The United States is speckled with operating, idle, mothballed, and decommissioned industrial sites spanning the cement, iron & steel, chemicals, oil & gas, and many other industries. These sites, whatever their operating status, are full of valuable resources and assets that often are underutilized.
Many of these sites offer a brownfield alternative to data center development. Often within 100 miles of a major metropolitan area, often already zoned for industrial use, with many existing permits, these sites may have:
Land Resources
Hundreds of acres of developable land
Grid Capacity
Existing and underutilized grid capacity
Power Generation
Existing and underutilized on-site power generation assets
Storage Infrastructure
For water, fuels, and more
Natural Gas Access
Pipeline access and capacity
Water Resources & Fiber
Water resources and fiber connectivity
In addition to the valuable assets and resources available, there is a social and environmental benefit to this approach. Rather than clearing land to build greenfield, a developer would be reusing existing industrial land and assets to minimize its environmental footprint. And in places where plants have closed, this is an opportunity to bring jobs and economic stimulus to revitalize industrial communities.
- Case Study
Kanin Energy is active in development on power generation for a newbuild data center in West Texas. We have teamed up with a leading data center developer and NVIDIA cloud partner to build a 500+ MW AI data center in Odessa, TX. The data center will be powered by a mix of on-site and grid power. We are partnering with a local chemical company to leverage their underutilized land for the project.