Alpha Compute Corp (ALP) shares rose 4.91% to $0.2029 after the company announced a major energy and data center development agreement in Pennsylvania. The stock briefly climbed to about $0.28 during an afternoon spike before giving back part of that gain later in Tuesday trading. The proposed project begins with 200 MW of computing capacity and could expand to 1 GW after approvals. The plan comes as data center developers increasingly seek dedicated power sources to address grid capacity constraints and lengthy interconnection queues across major U.S. electricity markets.

Alpha Compute Secures $55 Million Pennsylvania Property Option

Alpha Compute signed a binding term sheet for mineral, surface, and pore-space assets in northern Pennsylvania through its management subsidiary. The agreement gives the subsidiary an exclusive option to acquire the property at a base purchase price of $55 million. A $3 million deposit would follow a definitive purchase agreement and would count toward the remaining cash payment due at closing.

The property includes about 1,800 mineral acres with unleased Marcellus gas rights across the formations covered by the acquisition. The Marcellus Shale, which underlies much of Pennsylvania and surrounding Appalachian states, is one of the most prolific natural gas producing regions in the United States. Alpha Compute would also gain surface and pore-space assets, while existing Utica and deeper formation leasehold rights would remain excluded. The company described the site as a greenfield project, meaning no power generation or data center capacity is operating there today.

Alpha Compute said it plans to bring the initial 200 MW of power and data center capacity into commercial operation if development proceeds. The company could increase capacity toward 1 GW, subject to financing, permits, diligence, interconnection rights, and final development agreements. Alpha Compute also plans to use special purpose vehicles and joint ventures to fund property development without relying on equity issuance. Among the steps that would need to follow before construction begins are the signing of a definitive purchase agreement, payment of the $3 million deposit, and completion of county and state regulatory reviews.

Pennsylvania Data Center Plan Targets Lower Power Costs

The proposed design combines on-site Marcellus gas production with behind-the-meter generation for the high-performance computing campus in Pennsylvania. Behind-the-meter generation allows facilities to produce electricity on-site without drawing from the regional grid, which can reduce transmission costs and avoid grid interconnection delays. A third-party property review estimated all-in electricity costs at about $0.0585 per kilowatt-hour for 200 MW over ten years. Alpha Compute said that estimate is below PJM commercial and industrial rates of roughly $0.08 to $0.10 per kilowatt-hour. PJM Interconnection operates the wholesale electricity market and transmission grid serving roughly 65 million people across Pennsylvania and twelve other states and the District of Columbia.

The development plan calls for 12 Marcellus wells with average lateral lengths of about 13,000 feet across two proposed drilling pads. Nearby high-pressure gas pipelines could provide additional fuel and help support expansion beyond the project's initial planned capacity. A 115 kV transmission line and nearby substations could also provide optional grid access after the required agreements and regulatory approvals.

Alpha Compute identified 80 contiguous acres on a flat plateau that could support the first phase of development. The company said it plans to use closed-loop cooling, lighting controls, sound limits, stream buffers, environmental reviews, and a funded decommissioning program. County planning, environmental, water, emergency, and state approvals are still required before construction can begin or the project can reach operation.