Wednesday, June 4, 2025

Ellendale, North Dakota -- CoreWeave -- June 4, 2025

Locator: 48686COREWEAVE.
Locator: 48686ELLENDALE.

Updates

June 8, 2025: this story was posted on the web June 3, 2025 but provides a nice overview. Link here.

Original Post 

Ellendale pops up on my "x" feed every day. When it pops up that much, I know someone is marketing it.

Two readers have now asked me about CoreWeave.

My "not-ready-for-prime-time" response:

Two links: 
  • Two pipelines competing for natural gas pipeline, Bakken to Ellendale:
  • Ellendale, near Fargo. Huge story. But not much reporting on it. Link here:
To the reader today: you're the second reader to ask about CoreWeave. I've followed Ellendale as best I can but not much being posted in media. Kevin O'Leary on Shark Tank is very, very aware of Ellendale. Another story. But Ellendale would be a huge, huge story for North Dakota.

I have not written about CoreWeave because my site is turning into a tech site -- I just can't cover everything. LOL. More interested in the science, not so much in the investing.

From ChatGPT today:

CoreWeave has entered into a significant partnership with Applied Digital to expand its AI and high-performance computing (HPC) infrastructure at the Ellendale data center campus in North Dakota. This collaboration involves two 15-year lease agreements, totaling 250 megawatts (MW) of critical IT load, with an option for an additional 150 MW, potentially bringing the total to 400 MW. 

Key Details of the Ellendale Expansion

  • Phased Deployment: The first 100 MW facility is slated to become operational in the fourth quarter of 2025, followed by a 150 MW facility in mid-2026. If CoreWeave exercises its option for the additional 150 MW, that facility could be available by 2027. 

  • Financial Implications: Over the 15-year term, Applied Digital anticipates generating approximately $7 billion in total revenue from these leases. 

  • Infrastructure Capacity: The Ellendale campus is designed to host up to 400 MW of critical IT load, with over 1 gigawatt (GW) of power capacity under review, positioning it as a scalable hub for AI and HPC workloads. 

Strategic Significance

This partnership underscores CoreWeave’s commitment to scaling its AI infrastructure to meet the growing demand for AI and HPC services. The Ellendale campus, originally developed for cryptocurrency mining, is being repurposed to support next-generation workloads, reflecting a broader industry shift towards AI-focused data center infrastructure. 

Applied Digital’s CEO, Wes Cummins, highlighted the strategic importance of this deal, stating that the leases solidify the company’s position as a provider of infrastructure critical to the next generation of AI and HPC. 

This expansion is part of CoreWeave’s broader growth strategy, which includes partnerships with major AI players and investments in data center infrastructure across the United States and Europe. The company’s rapid scaling efforts are supported by significant financial backing, including investments from Nvidia and Macquarie, with $900 million already allocated to the Ellendale site.
My thoughts: this story is huge for North Dakota. It's huge for Fargo. It's huge on so many levels. But for investors, it is but a tiny blip. But there are some Easter eggs / nuggets of gold in these stories reporting on CoreWeave, Ellendale, AI in North Dakota.

I have a great video of Kevin O'Leary talking about the wealth of North Dakota, specifically oil, natural gas, AI, and Norwegian. It's typical Kevin O'Leary. He would sell you the Brooklyn Bridge if it had not already been sold.  I did not find the video worth posting (because I was very aware / vaguely aware of everything he said), but maybe other readers will. Having said that, Kevin O'Leary is becoming the #1 influencer of Nort h Dakota AI / tech.