American Electric Power (AEP) has outlined plans to invest around $4bn in a 702MW fuel cell power project near Cheyenne, Wyoming, US, backed by a 20-year power purchase agreement with Google.
The project is part of AEP’s broader strategy to address the rising demand from large-scale customers.
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Google will buy power from Cheyenne Fuel Cell, a project entity in which AEP holds a controlling stake of approximately 92%.
Funds advised by Basalt Infrastructure Partners will own the remaining interest, around 8%.
Construction is set to begin in 2026, with full operations targeted for the end of 2028.
The planned facility will use fuel cell technology developed by Bloom Energy.
This technology generates electricity from natural gas without combustion, aiming to provide reliable, on-demand power for large customers such as Google.
AEP chairman, president and CEO Bill Fehrman said: “As power demand continues to grow, AEP is bringing together new technologies and strong partnerships to deliver reliable, innovative energy solutions quickly and at scale.
“This project demonstrates how we are creating new opportunities to meet evolving energy needs for customers both within and beyond our traditional service territory.”
The project includes plans to incorporate carbon capture technology, aiming to deliver reliable, near-zero-emissions power.
In addition to the agreement with AEP, Google previously reached deals with Black Hills, which became effective on 30 September 2026.
In a related development last month, the Public Utilities Commission of Ohio received a grant from the US Department of Energy (DoE) to support AEP infrastructure upgrades.
The funding totals approximately $216m and is intended to enhance transmission capacity and efficiency.
Among the supported projects are upgrades to three sections of the 345kV Kammer–Muskingum transmission corridor, alongside enhancements to the Beatty–Cole system to increase power flows and accommodate future capacity.
The DoE has awarded $107.95m through its SPARK programme, with AEP matching this sum.
The improvements are designed to use advanced, higher-capacity conductors and other technology upgrades within Ohio’s transmission infrastructure.
In May 2026, AEP contracted Worley for engineering, detailed design and procurement support for stages 3–4 of the 450MW Northeastern U5/6 Simple Cycle Gas Turbine project in Oklahoma, US.
