National Grid Ventures (NGV), the commercial arm of National Grid plc (NYSE: NGG), has agreed to invest $1.75 billion for a 35% stake in Joulent LLC, a U.S. energy company focused on large-load power infrastructure for data centers and other power-intensive industries.

The investment will fund development of Joulent's foundational project, known as Project Kilby, a 2.67 gigawatt co-located power facility in West Texas being developed in a 50/50 partnership with Chevron Corporation. The facility will supply dedicated electricity to a Microsoft-operated data center under a 20-year power purchase agreement, with first power delivery targeted by 2028. Secured equipment includes GE Vernova turbines and reserved EPC capacity.

Joulent's power solutions include co-located gas generation, battery storage, renewables integration, and grid connections. The company also holds a multi-gigawatt pipeline of future projects.

National Grid Chief Executive Zoë Yujnovich described the investment as "a disciplined, partner-led investment in contracted critical infrastructure," adding that it extends National Grid's focus on "long-duration infrastructure with predictable cash flows and attractive risk-adjusted returns."

The $1.75 billion investment is separate from National Grid's existing five-year capital program of at least £70 billion (approximately $90 billion) through 2031, and will be funded through the group's balance sheet. A final investment decision is expected in 2026.

National Grid said the partnership is also expected to support its broader data center connection program, through which it expects to connect more than 10 gigawatts of demand across the U.K. and U.S. over the next five years.