Crusoe Energy, the Denver firm that loudly rolled out plans for a gigawatt-scale AI campus just south of Cheyenne, is no longer in charge of building that massive data center. The shift pulls Crusoe out as lead developer on the site, even as the energy partners behind the project insist the real engine of the deal, a multibillion-dollar power build, is still moving ahead.
How the change surfaced
The shakeup first came to light through the Denver Business Journal, which reported that Crusoe is no longer leading development of the 1.8-gigawatt Project Jade. According to that reporting, a local energy partner is still pursuing a roughly $7 billion investment to provide dedicated power to the Cheyenne-area campus, prompting utilities and power developers to confirm who is now responsible for the energy buildout.
Utility says project remains on track
In a June 10 update, Black Hills Corp. said Crusoe “is no longer the development partner” on the project. The utility was equally clear that the 1.8-gigawatt effort “has not been paused” and is still aiming to begin service in early 2028. Black Hills said it has executed substation agreements and that the prospective customer has already put up more than $200 million in refundable contributions to lock in long-lead generation equipment.
Tallgrass to build Cheyenne Power Hub
Tallgrass, which is developing the neighboring BFC Power project and the Cheyenne Power Hub, has started moving hardware into the pipeline. The company says Phase 1 turbine allocations are now in motion for the power complex that will feed the campus. In its latest announcement, Tallgrass named the Cheyenne Power Hub as the delivery site for Mitsubishi M501JAC turbines and described the hub as designed to ease stress on the regional grid by delivering dedicated on-site power to the data center.
Why Crusoe withdrew
Investing.com, citing Bloomberg, reported that Crusoe was effectively “pushed aside” after talks with potential tenants, including Alphabet’s Google, bogged down over cost and timing. According to that account, at least one hyperscale customer questioned the schedule and budget under Crusoe’s watch. Publicly, the companies involved have preferred to describe the change as a contractual pause or an internal reshuffling of development roles rather than a full-on breakup.
Crusoe’s statement and its pipeline
Crusoe, for its part, has said work in Wyoming was paused “at the request of our customer” and has tried to steer attention toward its broader AI data center ambitions. The company points to nearly 4.9 gigawatts of contracted AI infrastructure in other markets and notes that several projects have also been temporarily put on hold. Data Center Dynamics published Crusoe’s statement and laid out the company’s pipeline and recent pauses elsewhere.
Local approval and community concerns remain
Laramie County signed off on the site plan for the Jade campus in January, clearing the way for what could become one of the largest data centers in the country if everything stays on schedule. At the same time, neighbors and environmental advocates have not stopped raising red flags over water use, emissions, and the plan to lean on new gas turbines that might eventually be paired with carbon capture and later renewable additions. Wyoming Public Media, carrying reporting from Inside Climate News, detailed the county approvals and the concerns that surfaced during public hearings.
Despite the developer drama, industry watchers point out that Tallgrass’ turbine allocations and the utility-side equipment contracts suggest the power infrastructure is already sliding into procurement and early construction, which could limit near-term fallout from Crusoe’s exit. POWER reports that the broader build includes about 2.7 gigawatts of new natural-gas-fired generation tied to the Cheyenne Power Hub and that the total energy infrastructure price tag is projected to exceed $7 billion…