Alaska Natural Gas Reserves Could Transform State Into Major AI Data Center Hub

“Nearly everyone on the STAK Energy team was born in Alaska or has lived here for many years.

As Alaskans, we want to see both projects succeed as they both benefit the state’s economy,” Kay Zinngrabe told Newsweek.

Alaska could transform into a major data center hub following a new assessment of natural gas resources in the region that appear large enough to power advanced computing and artificial intelligence sites, Newsweek reported on November 8, 2026.

The state offers a cold climate, available land, and access to energy resources, positioning it as a cheaper alternative to crowded markets like Northern Virginia and Texas. At least six operational data centers currently operate in Alaska, alongside several newly announced projects.

A report issued last month by the U.S. Geological Survey estimated that undiscovered, technically recoverable natural gas resources on Alaska’s North Slope could reach up to 96 trillion cubic feet.

This volume represents roughly three times the amount of known gas reserves in the region, according to Alicia Lindauer, USGS Energy Resources Program coordinator. Lindauer told Newsweek that the estimate equals about three years of supply for the United States at the 2025 rate of consumption.

STAK Energy is developing Project Aaka, a proposed 3-gigawatt natural-gas-powered data center set to become the largest in Alaska.

The facility will be located in an industrial corridor on the North Slope and recently secured a 15-year supply deal with ExxonMobil Alaska Production Inc. Kay Zinngrabe stated that the site will initially draw on existing producing fields, noting that the USGS estimate change adds further optimism for future expansion if power demand continues to rise, as reported by Newsweek.

North Slope gas is also targeted for domestic and international markets via a $55 billion LNG pipeline designed to transport gas to Anchorage and beyond. While STAK Energy’s data center will draw on the same regional supply as the pipeline, Zinngrabe dismissed concerns about competition, emphasizing that both projects can succeed together.

Abundant gas supplies may not guarantee a smooth path for the industry, as upcoming midterm election results could reshape the sector. Current Governor Mike Dunleavy supports data centers, but two of the four replacement candidates have criticized artificial intelligence.

Democratic candidate Jonathan Kreiss-Tomkins stated he would seek a temporary ban on new computing data centers if elected. Republican candidate Bernadette Wilson said she would oppose hyperscale data centers that consume local resources and impact the land, according to Newsweek.

Burgum stated that Alaska’s natural gas reserves can supply affordable, secure energy to Americans and South Pacific allies for generations, helping to strengthen American energy dominance and create jobs.

The new federal reserve estimate follows previous evaluations that placed known reserves at roughly one-third of the newly calculated undiscovered potential.