Core Scientific said it will fully convert its bitcoin mining site in Pecos, Texas, into a high-density AI colocation data center. The project is designed for a total power capacity of 1.5GW, with roughly 1GW available for lease to AI compute customers. The move puts the company on a new track, away from being defined mainly as a bitcoin miner and toward operating AI infrastructure at scale.
First phase reallocates 300MW from mining operations
As the opening step, about 300MW of existing mining capacity at the Pecos site will be reassigned to data center operations. The company expects that portion to enter service in early 2027. That change would shift power and site resources that once supported bitcoin mining into facilities built for dense AI workloads, making Pecos the anchor of Core Scientific’s transition plan.
More than $4 billion assembled for a four-state buildout
To support the expansion, Core Scientific has acquired more than 200 acres of land in Pecos and lined up funding through two financing channels. These include $3.3 billion in secured notes and a previously obtained $1 billion credit facility from Morgan Stanley, bringing total financing to over $4 billion. The capital is not limited to Texas. The company also plans data center construction in Georgia, North Carolina, and Oklahoma, spreading its buildout across four states.
Mining infrastructure is being repurposed for AI demand
The development adds to a wider pattern of bitcoin miners redirecting existing infrastructure toward AI workloads. Mining sites already come with large-scale power access, cooling systems, and remote locations, all of which fit the needs of high-density AI training clusters. The source material also notes that cloud rental prices have risen by more than 32% during a period of GPU shortages. In that setting, mining facilities with ready power capacity can command renewed interest, and Core Scientific’s planned 1.5GW footprint in Pecos stands out for that reason.