Soluna Holdings has signed its fourth capacity expansion agreement with Blockware, adding 3.3 megawatts to the Dorothy 1B project in West Texas. The new deal lifts Blockware’s total deployed capacity across Soluna-operated sites to more than 17 MW, while also making Blockware the first signed customer at Dorothy 1B.
A new milestone for the Dorothy campus
Dorothy 1B is a 25 MW data center project located near the Briscoe wind farm in West Texas. According to Soluna, deployment for the latest expansion began in March 2026. The agreement continues a pattern of incremental growth between the two companies. In February 2026, Soluna had already added 6 MW for Blockware at its Dorothy 1A site, also in West Texas. The company said each new expansion has built on prior agreements rather than replacing existing capacity.
The latest announcement underscores how Soluna is positioning its West Texas operations as a multi-site campus connected to the same renewable energy source. That model is central to the company’s strategy as it develops green data centers for computationally intensive applications such as bitcoin mining and artificial intelligence workloads.
Direct renewable power as a competitive advantage
At the center of the strategy is Soluna’s so-called behind-the-meter approach. Under this setup, renewable electricity can be routed directly from generation assets to data center loads, reducing dependence on the broader power grid. Soluna said it acquired the Briscoe wind farm in a $53 million transaction, giving it direct control over power generation for the Dorothy project campus.
The Briscoe asset has a capacity of 150 MW, and Soluna has framed the acquisition as a step toward deeper vertical integration. Rather than relying solely on third-party power arrangements, the company is seeking tighter alignment between electricity supply and digital infrastructure demand. In practical terms, that means wind-generated electricity can be delivered more directly to bitcoin mining and AI computing operations housed at nearby data center sites.
This structure is attracting growing interest across the mining sector, where operators continue to search for lower-cost and more stable energy access. Behind-the-meter models tied to wind and solar facilities have become especially relevant for miners looking to improve operating economics while reducing exposure to grid constraints and price volatility.
Partnership expands for a fourth time
Soluna Chief Executive Officer John Belizaire said the company was excited to expand its partnership with Blockware for the fourth time and bring the customer to a new site. He added that, even as Soluna scales, its focus remains on providing reliable infrastructure backed by renewable energy for both AI and bitcoin mining.
Blockware CEO Mason Jappa said his company’s growth has tracked with Soluna’s ability to bring new sites online. In his view, Soluna’s pace of development has allowed Blockware to deepen the relationship and scale alongside its hosting partner. That comment reflects a broader trend in the mining industry, where infrastructure providers often prefer long-term relationships with operators that can steadily expand capacity across multiple locations.
Blockware operates as a bitcoin mining infrastructure provider and works with miners seeking dependable hosted capacity. Since the partnership began, it has expanded its footprint through multiple agreements across Soluna’s facilities. The new Dorothy 1B deployment adds another layer to that relationship and gives Blockware an early position at a newly developing site.
What comes next for Soluna
Alongside the Dorothy 1B update, Soluna said it also plans to continue development of Dorothy 3 at the Briscoe site. The company did not provide a specific timeline, but said further details would be released as development progresses. That suggests Soluna is still in expansion mode as it builds out a broader renewable-powered computing campus in West Texas.
Soluna, which trades on Nasdaq under the ticker SLNH, is based in Albany, New York. The company develops green data centers designed for energy-intensive computing applications. By coupling those facilities with renewable generation assets, Soluna is attempting to differentiate itself in a market where access to power is often the defining constraint on growth.
The stock also drew attention following the announcement. On the Tuesday referenced in the report, shares of Soluna were up about 3.2% around 10:24 a.m. Eastern time. Over the prior five trading sessions, the stock had gained more than 29%, and over the last 30 trading days, it had risen 100%. At the time of reporting, SLNH was trading at approximately $1.43 per share.
While the announcement itself focuses on one customer expansion, it also highlights a wider shift in the digital asset infrastructure market. Mining companies are increasingly seeking direct access to low-cost renewable power, not only to reduce electricity expenses but also to improve predictability in operations. For developers like Soluna, that trend creates an opportunity to pair power assets with data center capacity in a more integrated way.
The Dorothy campus may therefore serve as more than a single project site. It represents a test case for whether renewable-powered, behind-the-meter infrastructure can support scalable computing demand across both bitcoin mining and AI. With Blockware now established as the first customer at Dorothy 1B and total deployment surpassing 17 MW, Soluna has added another tangible marker to that strategy.