Newly public Delaware Basin surface owner LandBridge said last week development of data centers will be an important part of the company’s future. The Houston-based company, which owns about 220,000 surface acres in Texas and New Mexico in the core of the Delaware Basin, manages its land and resources to support and encourage oil and natural gas production and other industrial development. David Capobianco, chairman, told Hart Energy that digital infrastructure will be developed in west Texas.
The need for data centers and the fuel such as natural gas to power them is “imminent,” Capobianco said June 27. “We’re going to need to focus on places with low-cost fuel,” such as Permian Basin, he said. “It’s pretty attractive, and you have an incredible regulatory environment.”
LandBridge was formed in 2021 by Five Point Energy, which has a partnership with a developer with a goal of building a 1-gigawatt data center on LandBridge property. Capobianco said construction could begin within two years by an operator to be announced “in the next few months.” He said this in-basin use of natural gas “will massively change the economics of the Permian.”