TotalEnergies SE (NYSE:TTE) on Monday announced that the company has signed two long-term Power Purchase Agreements (PPA) to supply 1 GW of solar capacity to Alphabet Inc.’s (NASDAQ:GOOG) Google data centers in Texas.
The agreements will provide 28 TWh of renewable electricity over 15 years, marking the largest renewable PPA ever signed by TotalEnergies in the United States.
The company is trading in the upper third of its 52-week range. Track it now here.
TotalEnergies Sets New Renewable Energy Milestone
The company says that the power will be generated from the Wichita and Mustang Creek solar farms, which are under development in Texas.
The construction is set to begin in the second quarter of 2026.
Marc-Antoine Pignon, Vice President Renewables U.S. for TotalEnergies, expressed enthusiasm about the agreements, stating, “This highlights TotalEnergies’ strategy to deliver tailored renewable energy solutions that support the decarbonization goals of digital players, particularly data centers. Through this PPA, TotalEnergies is also addressing the challenges of land availability and power supply for data centers by enabling large-scale colocation opportunities.”
How This PPA Transforms TotalEnergies’ Strategy
The PPAs complement other agreements secured by Clearway, a renewables company 50% owned by TotalEnergies, which recently locked in 1.2 GW of PPAs to support Google’s data centers across various U.S. markets.
This move aligns with TotalEnergies’ strategy to provide tailored renewable energy solutions, supporting the decarbonization goals of digital players like Google.
As TotalEnergies noted, the company is building a competitive portfolio that combines solar, wind, and storage assets to deliver clean power.
The company aims to reach over 100 TWh of net electricity production by 2030, leveraging its diverse asset portfolio to support customer decarbonization efforts.
What This Means For Texas Job Creation
The development of the Wichita and Mustang Creek solar farms will significantly impact local communities in Texas. According to Totalenergies, the projects will create several hundred construction jobs, providing economic benefits and supporting public services through tax revenues.
Will Conkling, Director of Clean Energy and Power at Google, highlighted the importance of this agreement, saying, “Our agreement with TotalEnergies adds necessary new generation to the local system, boosting the amount of affordable and reliable power supply available to serve the entire region.”
TTE Price Action: TotalEnergies shares were up 0.28% at $74.04 during premarket trading on Monday. The stock is approaching its 52-week high of $75.45, according to Benzinga Pro data.
Photo by Vytautas Kielaitis via Shutterstock
Recent Comments