A proposed $22 billion development in Encinal, South Texas, will combine natural gas power generation with a large data center campus. NextEra Energy Resources, Related Companies and Lewis Energy Group are involved in the project, which is designed to supply electricity to the campus while making excess generation available to the Texas electric grid.
Key Takeaways
- Project Star is a proposed $22 billion energy and data center development in Encinal, La Salle County.
- The planned natural gas-fired power plant is designed to generate 6.47 gigawatts of electricity.
- The data center campus is designed for 5 gigawatts of demand.
- Developers expect approximately 8,400 construction jobs and 170 permanent power-plant positions.
- The first phase is expected to become operational in 2029, with full capacity targeted for 2032.
Project Star Plans a $22 Billion Development in Encinal
Texas Project Star is a proposed energy and data center development involving NextEra Energy Resources, Related Companies and Lewis Energy Group in Encinal, La Salle County. The project includes a planned 6.47-gigawatt natural gas-fired power plant and a data center campus designed for 5 gigawatts of electricity demand.
The development is planned as a combined power and digital infrastructure project, with the power plant intended to supply electricity for the data center campus and provide additional generation capacity to the Texas electric grid.
The project’s estimated value is $22 billion. Developers have projected approximately 8,400 construction jobs and 170 permanent power-plant positions connected to the development.
The proposed facility is located in South Texas, where energy production and industrial infrastructure are major parts of the regional economy. The project’s design connects electricity generation with a large-scale computing facility requiring substantial power capacity.
Texas has approved other major energy infrastructure projects as electricity demand from large industrial facilities and data centers has increased. The state’s grid planning efforts have included new approaches for managing large electricity users and generation needs.Â
Natural Gas Power Generation Will Support the Data Center Campus
The planned Texas natural gas power plant would have a designed generating capacity of 6.47 gigawatts, or 6,470 megawatts. The associated data center campus is designed for 5 gigawatts, or 5,000 megawatts, of electricity demand.
The project’s generation capacity is intended to provide a dedicated electricity source for the campus while allowing excess power availability for the Texas grid. Actual electricity output would depend on operating conditions after the facilities are completed.
The combination of a dedicated power facility and a large data center campus follows a development model used for energy-intensive industrial projects that require reliable electricity supply.
Texas has also seen other large-scale power projects proposed to support technology-related electricity demand. A separate Encinal power proposal involving a natural gas facility was reported as targeting AI data centers and semiconductor facilities.Â
Project Star’s planned natural gas generation is a central part of the development because the data center campus requires significant electricity capacity. The proposed power plant and computing facilities are planned as connected parts of the same project.
The project’s grid contribution would depend on the amount of electricity required by the campus and the power plant’s operating schedule once facilities begin operation.
Three Development Partners Are Involved in the Project
NextEra Energy Resources, Related Companies and Lewis Energy Group are identified as the organizations involved in Project Star.
NextEra Energy Resources is participating in the energy infrastructure portion of the project. Related Companies is involved in development activities, while Lewis Energy Group brings a Texas-based energy company connection to the project.
The partnership combines energy generation, development and regional energy expertise within a single proposed project. The organizations have outlined the project as a large-scale development centered on electricity production and data center capacity.
The proposed development also connects with broader Texas energy infrastructure discussions involving new generation capacity, grid reliability and electricity demand from large users.
Project Star’s partners are responsible for advancing the proposed facilities through future development stages. Construction, operation and final capacity milestones remain tied to the project schedule.
Construction and Permanent Employment Projections Outline Local Impact
Developers expect Project Star to create approximately 8,400 construction jobs during the building phase and 170 permanent positions at the power plant after operations begin.
The construction figure represents temporary employment connected to building the energy and data center facilities. The permanent positions refer specifically to ongoing power plant operations.
The project’s employment projections do not establish a separate job total for the data center campus. Future staffing needs for those facilities would depend on the completed design and operating requirements.
For La Salle County, the proposed development represents a large industrial construction project with potential demand for contractors, equipment suppliers and support services. Specific local hiring commitments and contracts have not been announced as part of the project details.
South Texas has attracted other major infrastructure investments tied to energy, manufacturing and technology.Â
The projected workforce figures provide separate measures for the construction phase and long-term power plant operations. They do not represent completed employment numbers because the project remains in the proposed development stage.
Project Timeline Targets Initial Operations in 2029
Project Star’s planned timeline targets first-phase operations in 2029, with full capacity expected in 2032.
The 2029 target refers to the expected start of the initial phase of the project. The later 2032 target represents the planned completion of the full development.
The timeline separates early operations from the final planned capacity of the power generation and data center facilities. Reaching full capacity would require completion of the planned infrastructure.
The development schedule also determines when projected employment and electricity generation would begin. Construction activity would occur before the facilities enter operation.
The proposed timeline provides a framework for the project’s future phases, including construction, facility completion and operation of the planned power plant and data center campus.
Frequently Asked Questions
What is Texas Project Star?
Texas Project Star is a proposed $22 billion development in Encinal, Texas. It combines a natural gas-fired power plant with a data center campus designed for large electricity demand.
Where is Project Star being developed?
Project Star is planned for Encinal in La Salle County, South Texas.
How much electricity is the planned power plant designed to generate?
The planned natural gas power plant is designed to generate 6.47 gigawatts of electricity.
How many jobs is Project Star expected to create?
Developers expect approximately 8,400 construction jobs and 170 permanent power-plant positions.
When is Project Star expected to begin operations?
The first phase is expected to become operational in 2029, with full capacity targeted for 2032.
