The massive deal signed by $Microsoft(MSFT)$ and $Chevron(CVX)$ serves as a proof of concept for GEV. It validates that off-grid, “behind-the-meter” natural gas power plants can directly and reliably fuel massive AI data centers.
The initial phase of this data center and power project (“Project Kilby”) is estimated to cost $7B. Under the 20-year Power Purchase Agreement, $Chevron(CVX)$ will develop an off-grid natural gas power plant in West Texas to supply dedicated electricity to a new $Microsoft(MSFT)$ AI data center campus.
The specialized turbines required for Project Kilby are already factored into $GE Vernova Inc.(GEV)$ 's multiyear backlog, which reached $163B in early 2026 and is expected to climb to $200B by 2027. This landmark deal reinforces $GE Vernova Inc.(GEV)$ 's dominant position over competitors like Mitsubishi, enabling the company to maintain strong pricing power and expand its profit margins.
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