Cipher Mining (CIFR) announced a new 10-year HPC hosting agreement with Fluidstack that adds 56 MW of additional capacity at its Barber Lake site in Texas. The deal secures around $830 million in contracted revenue over the initial term and extends Fluidstack’s lease to the 300 MW available at the site.
With two optional five-year extensions, the value of the deal could increase to approximately $2.0 billion for this expansion and approximately $9.0 billion across the broader partnership.
Cipher will deliver 39 MW of additional critical IT load, supported by 56 MW of gross capacity. Google increased its support for Fluidstack’s lease obligations by $333 million, bringing its total support to $1.73 billion. Cipher plans to finance construction through project-related debt and about $118 million in additional equity contributions.
The company expects strong financial performance from the Barber Lake site, forecasting a net operating income margin of 85 to 90% and project costs of $9 to $10 million per MW. Cipher says the expansion strengthens its position in high-performance computing and supports its growing 3.2 GW development pipeline.
Cipher Mining shares are already up more than 10% following strong results and outlook from artificial intelligence leader Nvidia on Wednesday night. This latest news has raised those gains to 13%.
