Caterpillar is set to deploy a broad range of power generation technologies as part of this initiative, drawing on its portfolio that includes natural gas and diesel generators, gas turbines, switchgear, control systems, and engineering design services.
Caterpillar Inc. (CAT) and Hunt Energy Company announced a long-term strategic collaboration agreement on Thursday, with the first project expected to launch in Texas, marking the beginning of a multi-year initiative to deliver up to 1GW of power generation capacity for data centers across North America.
The companies said this collaboration is to meet the demanding “always-on” needs for data centers.
Retail sentiment on Caterpillar dipped to ‘neutral’ from ‘bullish’ territory a day ago, with message volumes at ‘normal’ levels, according to data from Stocktwits. Shares of Caterpillar were down marginally before the bell.
Caterpillar is set to deploy a broad range of power generation technologies as part of this initiative, drawing on its portfolio that includes natural gas and diesel generators, gas turbines, switchgear, control systems, and engineering design services. The company will also oversee system monitoring and maintenance, aiming to support continuous power delivery, with or without a connection to the power grid.
Meanwhile, Hunt Energy will bring its background in infrastructure development, project financing, and operational execution for data center and distributed energy resource projects. The company said it has also been active in the battery energy storage sector, having installed more than 310 megawatts of BESS capacity over the past four years.
Hunt Energy is a private and family-owned business that was founded in 1934 and operates across four continents. Hunt has built and managed a wide range of infrastructure, including upstream oil and gas facilities, pipelines, refineries, LNG terminals, high-voltage transmission systems, and other complex assets.
Through its affiliate, Hunt Energy Network, the company currently operates 310 MW of distributed energy assets in Texas, with plans to expand beyond 1 GW.
Caterpillar stock has gained nearly 16% this year and jumped 23% in the last 12 months.
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