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TeraWulf Expands AI Infrastructure with Kentucky Acquisition, Bank of America Issues Buy Rating
On May 26, TeraWulf Inc. (NASDAQ:WULF) announced the purchase of the Muskie Data Campus, a development site in Kentucky that will expand the company’s hyperscale digital infrastructure portfolio for high‑performance computing (HPC) and artificial intelligence (AI) workloads. The site, located in the EastPark Industrial Park in Grayson, Kentucky, was acquired from Industrial Equity Partners. The acquisition is part of TeraWulf’s strategy to build power‑advantaged campuses that can support large‑scale AI and HPC operations. The company projects that the campus will provide more than 1 GW of digital infrastructure capacity, with 500 MW of power expected to become available in the second half of 2028 and the remaining capacity scheduled for the second half of 2030. The company also said it will work with regional human‑development and educational organizations to support the local economy.
TeraWulf, founded in 2021 and listed on Nasdaq, operates bitcoin‑mining facilities in New York and Pennsylvania. The company emphasizes sustainability, reporting that its data centers use 90 % zero‑carbon energy for mining. In addition to mining, TeraWulf has expanded into HPC, building data‑center infrastructure that can handle the computational demands of AI training and inference.
The company’s chairman and chief executive officer, Paul Prager, said the Muskie acquisition “strengthens the company’s strategy of acquiring power‑advantaged, hyperscale campuses, which are pivotal for managing advanced HPC operations.” He added that the campus will be purpose‑built around utility‑scale infrastructure, including dedicated transmission investments and long‑term power delivery planning designed specifically to support hyperscale AI workloads.
Short sellers have identified TeraWulf as one of the 10 worst AI stocks trading below $30. The company’s share price has fluctuated in recent months, with a 21 % pre‑market rise reported on June 5 and a 5 % decline following a $500 million capital raise for AI data‑center expansion. In mid‑June, Bank of America Securities began coverage of the stock, assigning a Buy rating and a target price of $34, implying roughly 20 % upside from the current level.
TeraWulf’s expansion into Kentucky follows a broader trend of AI‑focused data‑center development across the United States. The Muskie Data Campus is expected to become one of Eastern Kentucky’s largest economic development projects, with potential benefits for local employment and infrastructure. The company’s focus on power‑efficient, high‑capacity sites aligns with industry demands for large‑scale AI and HPC facilities that can operate sustainably.
At present, TeraWulf is in the process of securing the necessary power and transmission infrastructure to support the projected 1 GW capacity. The company has not yet announced specific timelines for construction or commissioning beyond the 2028–2030 power‑availability milestones. Investors and analysts will be watching the company’s progress on the Muskie project, its ability to integrate AI workloads, and the impact of its sustainability claims on future earnings. The Bank of America rating and the short‑seller assessment suggest that market sentiment remains divided, with some investors optimistic about the company’s infrastructure strategy and others cautious about its valuation and execution risk.
TeraWulf, founded in 2021 and listed on Nasdaq, operates bitcoin‑mining facilities in New York and Pennsylvania. The company emphasizes sustainability, reporting that its data centers use 90 % zero‑carbon energy for mining. In addition to mining, TeraWulf has expanded into HPC, building data‑center infrastructure that can handle the computational demands of AI training and inference.
The company’s chairman and chief executive officer, Paul Prager, said the Muskie acquisition “strengthens the company’s strategy of acquiring power‑advantaged, hyperscale campuses, which are pivotal for managing advanced HPC operations.” He added that the campus will be purpose‑built around utility‑scale infrastructure, including dedicated transmission investments and long‑term power delivery planning designed specifically to support hyperscale AI workloads.
Short sellers have identified TeraWulf as one of the 10 worst AI stocks trading below $30. The company’s share price has fluctuated in recent months, with a 21 % pre‑market rise reported on June 5 and a 5 % decline following a $500 million capital raise for AI data‑center expansion. In mid‑June, Bank of America Securities began coverage of the stock, assigning a Buy rating and a target price of $34, implying roughly 20 % upside from the current level.
TeraWulf’s expansion into Kentucky follows a broader trend of AI‑focused data‑center development across the United States. The Muskie Data Campus is expected to become one of Eastern Kentucky’s largest economic development projects, with potential benefits for local employment and infrastructure. The company’s focus on power‑efficient, high‑capacity sites aligns with industry demands for large‑scale AI and HPC facilities that can operate sustainably.
At present, TeraWulf is in the process of securing the necessary power and transmission infrastructure to support the projected 1 GW capacity. The company has not yet announced specific timelines for construction or commissioning beyond the 2028–2030 power‑availability milestones. Investors and analysts will be watching the company’s progress on the Muskie project, its ability to integrate AI workloads, and the impact of its sustainability claims on future earnings. The Bank of America rating and the short‑seller assessment suggest that market sentiment remains divided, with some investors optimistic about the company’s infrastructure strategy and others cautious about its valuation and execution risk.
