SoftBank to spend an eye-popping $33B to build huge US gas power plant

SB Energy plans largest US power plant

SoftBank subsidiary SB Energy is planning to build a 9.2 gigawatt natural gas-fired power plant on the Ohio-Kentucky border. If constructed, it would be the largest power plant in the United States.

The facility would be capable of powering roughly 7.5 million homes. The project's estimated cost is $33 billion, a figure that far exceeds recent, expensive natural gas plant builds.

Unclear purpose and funding for the project

It is not yet known who will pay for the plant, though utility customers often bear the cost of new generation. SB Energy also did not specify if the plant would supply the general grid or dedicated data centers.

The company is a partner with OpenAI in the "Stargate" project. The two firms are already building a proof-of-concept data center at a former General Motors plant in Lordstown, Ohio.

Construction would take years with major emissions

Building a facility of this scale would likely take a decade, exacerbated by ongoing shortages of natural gas turbines. Upon completion, its annual operations would have a significant climate impact.

Based on public energy metrics, the plant could emit approximately 15 million metric tons of carbon dioxide each year. That climate impact grows larger when accounting for methane leaks from the natural gas supply chain.

The rising cost of new gas power

The projected $33 billion price tag highlights how expensive new natural gas infrastructure has become. For comparison, recent major projects show a sharp cost increase:

• The CPV Shay Energy Center in Pennsylvania (1.2 GW): ~$1 billion
• The Guernsey Power Station in Ohio (1.9 GW): ~$1.5 billion
• The SB Energy plant proposal (9.2 GW): $33 billion

This trend suggests skyrocketing costs for materials, labor, and financing for large-scale energy projects.