CoreWeave Inc. is expanding a major data center in Texas, United States, in a move expected to double the city’s electricity consumption.

This project in Denton, underscores the intensifying pressure artificial intelligence operations are placing on the U.S. power infrastructure.

The site, being developed by Core Scientific Inc., will be used by OpenAI, according to Bloomberg.

CoreWeave recently announced a $9 billion acquisition of Core Scientific to gain direct control over its AI-focused data center operations.

Local authorities are working to mitigate the energy burden.

According to a late 2024 city presentation and internal communications, officials have been weighing how to address the project’s impact on Denton’s grid.

The general manager of Denton Municipal Electric, Antonio Puente, said the city is requiring the data center operator to cover additional costs associated with the higher power usage, while also investing in new grid infrastructure to accommodate the demand surge.

“To serve the entire load from Core Scientific, we do have some transmission challenges,” Puente said. “We will have to make some additional transmission investments.”

Denton, located roughly 50 miles northwest of Dallas, has seen its population nearly double over the past 25 years to about 166,000 residents—further complicating the city’s energy management as AI workloads grow.