Executive Summary

Hut 8 announced a second 352 MW IT lease at its 1 GW Beacon Point AI data center campus, fully commercializing the site and bringing total campus-level base-term contract value to $19.6 billion. The 15-year lease doubles the existing high-investment-grade tenant’s contracted capacity to 704 MW. Across Hut 8’s entire AI data center portfolio, contracted IT capacity now totals 949 MW, supported by 1,330 MW of utility capacity, with aggregate base-term contract value reaching $26.6 billion.

The Numbers

  • New lease: 352 MW IT capacity, 15-year term
  • Total Beacon Point contracted capacity: 704 MW (fully commercialized)
  • Campus-level base-term contract value: $19.6 billion
  • Portfolio-wide contracted IT capacity: 949 MW
  • Portfolio-wide utility capacity: 1,330 MW
  • Total portfolio base-term contract value: $26.6 billion

Assuming the $19.6 billion is spread over 15 years across 704 MW, that implies roughly $1.86 billion annually at the campus level, or approximately $2,640 per kW per year — consistent with premium AI data center pricing in tight power markets.

So What?

This deal validates the thesis that long-duration, investment-grade offtake is the foundation of bankable AI infrastructure. Hut 8 isn’t speculating — they’re locking in 15-year revenue streams before steel goes in the ground. That’s the playbook lenders and equity investors want to see.

For power developers: the message is clear. If you can secure utility capacity and deliver dispatchable generation at scale, there are multi-billion-dollar contracts waiting. The 1,330 MW of utility capacity supporting 949 MW of IT load suggests Hut 8 has built in redundancy and headroom — critical for uptime guarantees in AI workloads.

For investors: Hut 8’s $26.6 billion in contracted revenue provides a clear cash flow profile to underwrite. The 15-year tenor also locks in pricing, which is a hedge against future power cost inflation but could be a liability if power costs fall (unlikely in the current environment).

The takeaway: the race is on to lock utility capacity and secure dispatchable generation. Hut 8 is playing offense, and the hyperscalers are willing to commit billions for guaranteed power delivery. If you’re sitting on generation assets or utility interconnection rights near load centers, now is the time to move.

Source: PR Newswire, July 20, 2026