American Electric Power plans to invest approximately $4 billion to build a 702-megawatt fuel cell generation facility near Cheyenne, Wyoming, under a 20-year power purchase agreement with Google2. Construction is planned to start in 2026, with the facility expected to be fully operational by the end of 2028.
The project, housed under Cheyenne Fuel Cell, LLC, is approximately 92% owned and controlled by AEP, with nearly 8% held by funds advised by Basalt Infrastructure Partners, LLP. Google will acquire power from the entity under the long-term PPA1.
The facility will use advanced fuel cell technology developed by Bloom, which AEP said can be deployed rapidly and provide reliable, on-demand power for large-load customers. AEP described the project as supporting Google's growing energy needs in the greater Cheyenne area.
"As power demand continues to grow, AEP is bringing together new technologies and strong partnerships to deliver reliable, innovative energy solutions quickly and at scale," said Bill Fehrman, AEP chairman, president and chief executive officer. Fehrman called the project a demonstration of how AEP is creating opportunities to serve customers "both within and beyond our traditional service territory".
ANALYSIS The 20-year term and $4 billion capital commitment reflect the duration and scale of infrastructure that large-load AI and cloud computing operations now require, pushing utilities into non-traditional generation technologies and geographies outside their legacy service areas.
The deal also extends AEP's role beyond regulated utility service into merchant-style project development, with a minority co-investor in Basalt Infrastructure Partners sharing the capital structure.
The announcement was reported on October 14, 2026.