Radiant Ridge Energy has entered into a Letter of Intent with an Alberta-based upstream producer to develop an integrated natural gas supply and on-site power generation project in Northern Alberta. Radiant Ridge says it will deploy a 40 MW behind-the-meter generation facility with dedicated gas supply in the Northern Development Area, targeting electricity demand from data centers and other high-performance computing applications.
Under the proposed arrangement, the upstream partner will be responsible for natural gas development and delivery, while Radiant Ridge will build and operate the power plant. Radiant Ridge characterizes the structure as upstream-to-midstream integration and describes its role as a “digital midstream” provider that converts natural gas directly into electricity for computing loads.
Radiant Ridge reports the facility will require approximately 10,000 GJ per day of natural gas to generate 40 MW of electricity. It says initial operations are planned for a three-year period, with potential to extend operations through additional well development. The company also says the development plan is intended to provide reliable, long-term power generation backed by proven gas reserves.
The project site is expected to use existing discovery wells plus additional development wells to maintain consistent fuel supply across the operating period. Radiant Ridge also reports that independent engineering analysis has confirmed substantial production potential to support the facility’s gas requirements. The parties say they plan to finalize a Gas Sales Agreement to govern the long-term commercial relationship.
Source: Radiant Ridge Energy
