KALINA Secures 1.7 GW Alberta Footprint to Power AI Data Centres
KALINA Power has significantly expanded its land holdings in Alberta, boosting its potential Power-CCS capacity to 1.7 GW to meet surging demand for data centre power solutions with carbon capture.
- Land position increased by 157% to 785 acres across five sites
- Portfolio supports deployment of up to 1,700 MW of gas-fired Power-CCS plants
- New sites in Crossfield and Clairmont secured with options to purchase
- Sites designed to co-locate large-scale data centres with carbon capture power plants
- Company exploring near-term sales leveraging strong market valuations
Strategic Expansion in Alberta
KALINA Power Limited (ASX: KPO) has announced a substantial expansion of its land portfolio in Alberta, Canada, increasing its secured acreage by 157% from 305 to 785 acres. This move strengthens KALINA Distributed Power's (KDP) position in one of the world's most sought-after regions for data centre development, particularly those requiring reliable, low-carbon power.
The newly secured sites in the Crossfield and Clairmont areas come with options to purchase extending through 2027 and 2028, respectively. These locations add significant capacity potential, with Crossfield alone capable of hosting at least three 170 MW Power-CCS plants, and Clairmont supporting one such plant. Together with existing sites at Alsike, Myers, and Gilby, KDP now controls five projects with an aggregated potential capacity of approximately 1,700 MW (1.7 GW).
Power-CCS and Data Centre Synergies
KALINA’s Power-CCS technology integrates natural gas-fired combined cycle power plants with carbon capture and sequestration, aligning with growing environmental expectations for data centre power supply. The company’s approach allows co-location of data centres directly alongside power generation facilities, optimizing energy efficiency and reducing carbon footprints.
At three of its sites, Alsike, Myers, and Crossfield, KDP has filed for special electrical interconnection designations that facilitate both power generation and data centre load requirements. This dual designation enables onsite data centres to be powered directly by KDP’s plants while also allowing surplus electricity to be sold back to Alberta’s power grid. The Gilby and Clairmont sites have generation-only designations, enabling power sales through virtual power purchase agreements to offsite data centres.
Market Validation and Potential Monetisation
Recent transactions in Alberta’s data centre power market provide a valuable benchmark for KALINA’s portfolio valuation. Comparable sites with carbon capture capabilities have recently sold for C$21.7 million to C$27 million, with power capacities ranging from 101 MW to 130 MW and potential for significant scale-up.
Consulting firm TwelveSix, specializing in data centre site acquisitions, has advised that KDP’s projects could be valued between C$100,000 and C$300,000 per MW, reflecting their advanced development stage and strategic location. KALINA is actively exploring near-term sales opportunities for its Saddle Hills project and other Power-CCS sites outside its current Crusoe framework agreement, aiming to crystallize value and fund further development.
Environmental and Regulatory Progress
Environmental desktop and biophysical studies completed at several sites have not revealed any adverse issues, clearing a critical hurdle for project advancement. Further studies at Crossfield and Clairmont are planned for 2025, underpinning KALINA’s commitment to responsible development in line with Alberta’s regulatory framework.
Executive Chairman Ross MacLachlan highlighted the company’s early mover advantage in securing prime sites tailored for large-scale data centres powered by clean gas-fired plants with carbon capture. He emphasized Alberta’s emergence as a 'go-to' jurisdiction for data centre operators seeking sustainable power solutions.
Looking Ahead
KALINA’s expanded footprint and strategic positioning in Alberta place it at the forefront of a growing market segment where data centre operators increasingly demand low-carbon, reliable power. The company’s ability to leverage recent market valuations and pursue selective asset sales could accelerate its development timeline and enhance shareholder value.
Bottom Line?
KALINA’s Alberta land expansion cements its role as a key supplier of clean power for data centres, with monetisation prospects on the horizon.
Questions in the middle?
- What timelines does KALINA envisage for exercising its land purchase options and commencing construction?
- How will evolving Alberta regulations on carbon capture and power generation impact project economics?
- What partnerships or off-take agreements might KALINA secure to underpin its Power-CCS plants and data centre customers?
