DNR gives preliminary approval to 50-year North Slope data center lease; comment deadline is Thursday

A 50-year state land lease for a North Slope data center campus is open for public comment through Thursday, July 17. Only those who submit written comments by 4:30 p.m. Alaska Daylight Time that day are eligible to appeal the final decision.

Alaska's Division of Oil and Gas issued the preliminary decision under AS 38.05.070 to offer STAK Energy Corporation a lease on 715.4 acres of state land about 26 miles south of Deadhorse, adjacent to the Dalton Highway.

The proposed campus would sit roughly one mile west of the Dalton Highway at Milepost 390. It would be used for construction, operation, and maintenance of a commercial natural gas-powered energy facility, including modular high-performance computing units, on-site natural gas power generation, and fiber optic communication links. The Division extended the comment period because of significant public interest.

Concerns raised during the process include greenhouse gas emissions and the absence of a firm gas supply contract. Sparrow Mahoney, a STAK Energy representative, explained the North Slope location at a May 2026 stranded energy forum: "We're doing it there because building it in Prudhoe would mean asking all of you and Alaska to give up its existing industrial base."

The Division's Final Finding and Decision will follow the close of the comment period. Commenters who submit written comments will receive a copy of that decision along with an explanation of the appeal process. Written comments on the lease application must reach the Division of Oil and Gas Permitting Section by 4:30 p.m. Alaska Daylight Time on Thursday, July 17, by mail at 550 West 7th Avenue, Suite 1100, Anchorage, AK 99501, or by email at [email protected].