TeraWulf signs 20-year lease with Anthropic, expects $19B in contracted revenue

TeraWulf just inked a 20-year lease agreement with Anthropic that the company expects to generate roughly $19 billion in contracted revenue. The deal covers the Justified Data AI infrastructure campus in Hawesville, Kentucky, and marks perhaps the most dramatic single-contract validation of a Bitcoin miner’s pivot to artificial intelligence.

The stock reacted accordingly. Shares of TeraWulf (NASDAQ: WULF) surged between 14% and 20% following the announcement.

What the deal actually looks like

The lease covers approximately 401 megawatts of capacity at TeraWulf’s Kentucky campus. First power delivery is scheduled for the second half of 2027. The infrastructure will then ramp up in phases, with full capacity expected by early 2028.

Spread across 20 years, the $19 billion figure works out to roughly $950 million annually in contracted revenue.

The bigger strategic picture

TeraWulf didn’t stop at the Anthropic announcement. The company simultaneously confirmed the sale of its 50.1% stake in the Abernathy Joint Venture, a 168 MW AI data center project in Texas, to a group led by Fluidstack. The sale realized a premium on TeraWulf’s $450 million investment in the project.

CEO Paul Prager has framed this as a deliberate strategy to retain operational control while building long-term customer relationships.

During Q1 2026, TeraWulf’s lease revenues from high-performance computing initiatives actually surpassed its Bitcoin mining revenue.

Why crypto investors should pay attention

Core Scientific signed a deal with CoreWeave worth up to $8.7 billion over 12 years in 2024. TeraWulf’s Anthropic contract more than doubles that figure in revenue terms while extending the commitment to two full decades.

What investors should watch next is execution risk. Building out 401 MW of AI-grade infrastructure on schedule is no small feat, and the gap between signing a lease and delivering first power in H2 2027 leaves room for delays, supply chain issues, and cost overruns.

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