Babcock & Wilcox (B&W) has chosen Siemens Energy to supply steam turbine generator sets for a power project supporting a data centre run by US-based Applied Digital.
The partnership enables B&W to secure turbine equipment for its plan to deliver 1GW of power to the facility by the end of 2028.
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The companies have agreed on a limited notice to proceed, with the comprehensive contract expected in the first quarter of 2026 (Q1 2026).
Earlier, B&W signed a limited notice to proceed with Applied Digital for the development and installation of four natural gas-fired power plants.
Each plant will have a capacity of 300MW and will include boilers and associated steam turbines.
Plans also include an ongoing contract for parts and services to support the facility after commercial operations commence.
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By GlobalDataB&W chairman and CEO Kenneth Young said: “This arrangement brings together two companies with long histories of innovation and leadership in the power generation industry.
“Leveraging Siemens Energy’s advanced turbine technology alongside B&W’s proven boiler systems positions us to meet critical schedule milestones and deliver reliable power by the end of 2028.”
To meet project timelines, the facilities will use gas-fired boilers that generate steam to drive the turbines, providing dispatchable power output.
B&W has implemented similar boiler solutions at various utility and industrial sites globally. The company aims to apply this experience to deliver energy infrastructure for AI and other data centres.
Siemens Energy steam turbine and generators senior vice-president Tobias Panse said: “By pairing our steam turbine systems with B&W’s established boiler technology, we can deliver a straightforward, cohesive setup for large‑scale power, a configuration well-suited to the continuous demand profile of modern AI facilities.”
In October 2025, Xcel Energy purchased ten large gas turbines and related generation equipment from Siemens Energy for two planned power plants in its south-west service territory. The two facilities are expected to add 2.08GW of dispatchable generation capacity, providing flexible, on-demand power during peak periods and changing market conditions.
