Alaska Eyes Gas-Fueled Data Center Boom

The U.S. Geological Survey estimates vast undiscovered natural gas on the North Slope as STAK Energy plans a 3GW data center there.

Updated on Nov. 8, 2026 in Data Centers

Alaska Eyes Gas-Fueled Data Center Boom

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The U.S. Geological Survey estimated up to 96 trillion cubic feet of undiscovered, technically recoverable natural gas across Alaska's North Slope, roughly three times the known reserves there. STAK Energy has announced Project Aaka, a 3GW natural-gas powered data center on the North Slope, backed by a 15-year gas supply deal with ExxonMobil Alaska Production Inc.

Why it matters

Alaska's cold climate, available land, and access to energy resources make it a cheaper alternative to established data center hubs such as Northern Virginia and Texas. The USGS estimate adds to optimism about future expansion if demand for power generation keeps rising.

The USGS estimate of 96 trillion cubic feet of undiscovered gas is roughly three times the known North Slope reserves and equal to about three years of U.S. supply at 2025 consumption rates. Project Aaka's 3GW power capacity and the $55 billion Last Frontier LNG pipeline cost remain early figures, and it is not yet clear how much of the resource will be developed.

The players

U.S. Geological Survey

The USGS is a federal scientific agency that produces assessments of natural resources, including this estimate of North Slope gas.

STAK Energy

STAK Energy is the company behind the proposed 3GW Project Aaka data center on Alaska's North Slope.

ExxonMobil Alaska Production Inc.

ExxonMobil Alaska Production Inc. is the energy producer that agreed to a 15-year gas supply deal for Project Aaka.

Mike Dunleavy

Mike Dunleavy is the Governor of Alaska, who has expressed support for data centers in the state.

Jonathan Kreiss-Tomkins

Jonathan Kreiss-Tomkins is a Democratic candidate who has proposed a temporary ban on new computing data centers in Alaska.

The details

STAK Energy plans to build Project Aaka in an established industrial corridor on the North Slope, drawing on fields that already produce gas. Alaska already houses at least six operational data centers, and Governor Mike Dunleavy supports further expansion, while Democratic candidate Jonathan Kreiss-Tomkins has said he would seek a temporary ban on new computing data centers in the state if elected.

Timeline

  1. October 2026: USGS publishes its first-of-its-kind North Slope gas assessment.

  2. November 8, 2026: Newsweek publishes its article on Alaska's data center hub.

Big Picture

Data center developers have concentrated in Northern Virginia and Texas, and Alaska's North Slope proposal tests whether cold climate and on-site gas can pull new capacity north. The USGS estimate strengthens that case, though the project's scale would depend on how much of the undiscovered gas is ultimately developed.

For Alaska residents, the project could shape future electricity supply and local jobs if it moves forward, but the extraction gives no timeline for either. Any change to household power costs or state tax revenue would depend on developments not yet described in the source.

The takeaway

Alaska's gas resources and cold climate make it a serious contender for data center growth, but the scale of any build-out will depend on how much of the estimated gas is developed in practice. Readers should watch for final project approvals and gas supply commitments.

Further reading

For more on how energy access is reshaping where computing capacity gets built, see Data Centers.

Source note: This article includes information reported by Newsweek.

Live Poll

Should Alaska allow large new data centers to be built in the state?