Brookfield estimates Drax Group’s planned AI data center at its North Yorkshire power station could involve more than £20 billion, including chips, for a project designed to exceed one gigawatt.
Reuters reported the estimate as $26.8 billion. Drax said Tuesday it signed an agreement with Brookfield and Radiant to develop a strategic partnership.
The first phase is designed for as much as 100 megawatts, with commercial operations targeted for the first quarter of 2028. It is expected to draw electricity from the grid. Drax says its estate has access to four gigawatts of grid power and 2.6 gigawatts of dispatchable generation.
Drax’s Phase 2 ambition is to develop options for an additional 500 MW between 2028 and 2031, subject to consents. The announcement also leaves room for further development after 2031.
Drax says it may request permission to supply up to 500 megawatts of power from the station during its existing biomass Contract for Difference agreement. That would require agreement with the U.K. government and the Low Carbon Contracts Company. Drax says consumer value, energy security and sustainability would factor into the assessment.
Progression of Phase 1 depends on planning, regulatory and network approvals, an acceptable tenant, commercial agreements and each partner’s final investment decision. Drax had begun preparing a planning application for a roughly 100-megawatt center before the partnership was announced, according to its Sept. 17 trading update, as EconoTimes noted in an earlier report on the partnership.
Drax says the project could protect hundreds of jobs, while Brookfield says it could create direct and indirect jobs around Yorkshire. The partners also expect to establish a voluntary community benefits fund in consultation with nearby communities.
Drax expects public consultation to begin in November 2026, the next stated step in planning.
