Lee Gyu-lee is a business writer at The Korea Times, focusing primarily on IT & telecommunications, the Ministry of Trade, Industry and Energy and KOTRA. Prior to this, she has covered a wide range of cultural news, from film, television and K-pop to lifestyle and fashion.
HD Hyundai Heavy wins $676 mil. deal to supply 1GW generators to US data center
Han Ju-seog, right, senior executive vice president of engine and machinery at HD Hyundai Heavy Industries, and Corban Energy Group CEO Daniel Chung pose after signing a deal to supply large-scale power generation equipment for a U.S. tech giant’s data center in Panama City, Fla., Friday (local time). Courtesy of HD Hyundai Heavy Industries
By Lee Gyu-lee
HD Hyundai Heavy Industries has secured a deal to supply large-scale power generation equipment for a data center operated by a major U.S. tech company.
The company announced on Monday that it has signed a 956 billion won ($675.6 million) contract with Corban Energy Group, a U.S.-based energy infrastructure developer, to supply power generation equipment featuring its 9.6-megawatt HiMSEN engines.
The equipment, with a combined capacity of 1,000 megawatts, will provide power for a data center being built by a U.S. tech giant, whose name HD Hyundai Heavy did not disclose.
The deal marks HD Hyundai Heavy Industries’ largest-ever power generation engine supply contract. In April, the company signed a 627.1 billion won deal with the U.S. energy infrastructure developer Aperion Energy Group to supply power generation equipment for data centers.
The 9.6-megawatt HiMSEN engines are medium-speed engines designed for power generation, with a focus on efficiency and reliability. The engines can operate around the clock while delivering high output and efficiency, making them well suited to data center applications.
“Repeated inquiries from customers about collaboration in the data center power generation engine market show that the technology and reliability of our HiMSEN engines are being recognized,” an HD Hyundai official said.
“We will seek out a wide range of business opportunities to strengthen our position in the power generation equipment market.”
Corban Energy Group is an energy infrastructure and engineering company that supplies gas, liquefied natural gas and power products for data centers and other infrastructure projects, including those involving the U.S. Department of Defense.
The two companies plan to expand their partnership through follow-up projects, building on the engine supply agreement.
The latest deal comes as U.S. data center operators accelerate investment in power infrastructure to meet surging electricity demand from artificial intelligence and cloud computing.
According to the Electric Power Research Institute, data centers’ share of total U.S. electricity consumption could more than triple by 2030.
HD Hyundai is also stepping up efforts across its affiliates to meet growing demand for data center power infrastructure.
HD Korea Shipbuilding & Offshore Engineering, the group’s shipbuilding holding company, is developing core technologies for floating data centers, while HD Hyundai Electric is expanding its power distribution and electrical equipment businesses and HD Hyundai Marine Solution is strengthening its engine maintenance and repair services.