Stock Markets July 6, 2026 08:09 AM

TeraWulf Gains After Long-Term Anthropic Lease and Sale of Abernathy Stake

20-year Anthropic commitment and divestiture of Abernathy JV stake lift shares as company readies a large AI campus in Kentucky

By Leila Farooq
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TeraWulf shares jumped 20% after the company announced a 20-year lease with AI firm Anthropic for a purpose-built campus in Hawesville, Kentucky, projected to generate roughly $19 billion of contracted revenue over the initial term. The move coincided with the sale of TeraWulf’s 50.1% stake in the Abernathy Joint Venture to an investor group led by Fluidstack, monetizing about $450 million invested at a premium.

TeraWulf Gains After Long-Term Anthropic Lease and Sale of Abernathy Stake
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Key Points

  • TeraWulf signed a 20-year lease with Anthropic for a purpose-built AI campus in Hawesville, Kentucky, expected to support about 401 MW of critical IT load.
  • The Anthropic lease is projected to generate approximately $19 billion of contracted revenue over the initial term and is backed by an investment-grade credit.
  • TeraWulf agreed to sell its 50.1% interest in the Abernathy Joint Venture to an investor group led by Fluidstack, monetizing roughly $450 million of invested capital at a premium; Fluidstack will continue to lead the Abernathy project.

TeraWulf Inc. shares climbed 20% on Monday following two major corporate actions: a long-term lease agreement with Anthropic for a purpose-built AI infrastructure campus in Hawesville, Kentucky, and the sale of the company's majority interest in the Abernathy Joint Venture to an investor group led by Fluidstack.

Under the lease, Anthropic will occupy a campus developed at TeraWulf’s Justified Data site. The 20-year agreement is expected to generate approximately $19 billion of contracted revenue over the initial term and will be supported by an investment-grade credit, the company said. The Hawesville campus is planned to deliver about 401 MW of critical IT load when fully built and will be constructed in multiple phases.

TeraWulf expects initial capacity at the campus to be placed into service in the second half of 2027, with the site ramping to full capacity by early 2028. The company described the facility as purpose-built to serve AI infrastructure requirements and noted the multi-phase approach to development.

In a separate transaction, TeraWulf reached a definitive agreement to sell its 50.1% ownership interest in the Abernathy Joint Venture to an investor group led by Fluidstack. That divestiture monetizes TeraWulf’s approximately $450 million investment in the Abernathy project at a premium to the capital originally deployed. The Abernathy Joint Venture was formed in 2025 to develop a 168 MW critical IT load AI data center campus in Abernathy, Texas. After the sale closes, Fluidstack will continue to lead that project.

Commenting on both moves, Paul Prager, Chairman and Chief Executive Officer of TeraWulf, said the Anthropic lease validates the company’s strategy and creates a long-duration revenue stream with one of the world’s leading AI companies. He also said that selling the Abernathy ownership interest crystallizes the value generated by that investment and produces capital that can be redeployed into infrastructure platforms where TeraWulf retains direct ownership, customer relationships, and operational control.

The announcements together outline a shift in capital allocation for TeraWulf: establishing a sizable contracted revenue stream tied to a multi-phase, high-power AI campus while monetizing a previously held majority interest in a separate AI data center development. The company provided projected timelines, revenue expectations, and the identity of the buyer for the Abernathy stake in its disclosures.


Context and implications

The Anthropic lease and the Abernathy divestiture represent a pair of strategic transactions that affect TeraWulf’s portfolio of AI-focused infrastructure assets. The Anthropic commitment attaches a long-duration revenue profile to the Hawesville campus, while the Abernathy sale converts a majority JV holding into liquid capital to be redeployed under direct ownership and control.

Risks

  • Construction and commissioning timelines - initial capacity is expected in the second half of 2027 with full campus capacity by early 2028, introducing execution and schedule risk for the Hawesville project.
  • Reliance on phased development - the Hawesville campus will be developed in multiple phases, which may affect timing of revenue recognition and capacity delivery.
  • Redeployment execution - proceeds from the Abernathy sale are intended for redeployment into platforms where TeraWulf retains direct ownership and control; successful redeployment depends on the company’s ability to identify and execute suitable opportunities.

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