Blackstone Energy Transition Partners, the energy investment arm of Blackstone, announced its decision to acquire Potomac Energy Center, a 774-megawatt natural gas -fired power plant located in Loudoun County, Virginia.
The move is part of the firm’s growing focus on strengthening the energy infrastructure that supports data center demand and the advancement of artificial intelligence .
About the Potomac Gas Plant
Northern Virginia, known as “data center alley,” accounts for approximately 25% of total data center capacity in the United States. Strategically located near more than 130 data centers , the Potomac facility is positioned to be a key pillar in the growth of this region, characterized by its crucial role in the digital and artificial intelligence ecosystem.
According to Bilal Khan, Senior Managing Director at Blackstone Energy Transition Partners, this acquisition represents the firm’s commitment to energy solutions that drive AI innovation. Khan highlighted that the plant is one of the most efficient gas-fired power generation plants in the region and has the potential to integrate hydrogen fuel blends in the future, contributing to a sustainable energy transition .
Mark Zhu, the firm’s managing director, stressed the importance of supplying reliable power to an area facing growing demand. Meanwhile, Lee Davis, head of Creto Energy (Blackstone’s energy platform in North America) expressed his enthusiasm for Potomac’s track record in delivering reliable, high-quality capacity.
Strategic investment
Blackstone positions itself as the largest investor in data centers globally, consolidating its influence in Northern Virginia and other key regions. The firm’s recent investments include stakes in CoreWeave, a cloud infrastructure provider, and DDN, a leader in data intelligence solutions. This move reinforces its strategy of capitalizing on emerging technology trends.
Although the financial terms of the transaction have not been disclosed, Blackstone was advised by Santander and Jefferies LLC to close the deal. This purchase reaffirms its commitment to the development of essential infrastructure for technological and sustainable progress.
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Source: Blackstone
Photo: shutterstock
