Major Data Center Development Planned for Montana
Sabey Data Centers, a prominent US-based data center developer, has acquired a substantial 600-acre parcel in Butte, Montana, according to reports from multiple sources. The land purchase, valued at approximately $1.2 million, is located within the Montana Connections business park at the intersection of German Gulch Road and Rick Jones Way, positioning the company for significant expansion in the region.
The sale agreement timeline has been extended, with the Butte-Silver Bow Council approving a new closing deadline of February 11, 2026, providing additional time to finalize the transaction. This development represents a substantial infrastructure investment for the area and aligns with broader Montana economic development initiatives.
Power Agreements and Energy Infrastructure
To support the planned data center operations, Sabey has entered into a non-binding Letter of Intent with utility provider NorthWestern Energy for an initial 50MW of power capacity beginning in 2027. The agreement includes provisions to potentially expand to 250MW or more by 2029, indicating the scale of Sabey’s long-term vision for the Montana market.
NorthWestern Energy’s regulated business division will serve the data center facility, drawing from the company’s diversified energy portfolio that includes hydroelectric, wind, coal, gas, and solar sources. Notably, approximately 35 percent of NorthWestern’s capacity in Montana derives from hydroelectric power, which could provide relatively sustainable energy for the new data center operations.
Evidence Points to Second Secret Facility
While Sabey has publicly announced intentions to build one data center in Butte, Montana, mounting evidence suggests the company is planning additional facilities in the state. According to reports from The Missoulian, documents and statements indicate a second location may already be in development.
During an October conference call, Rob Corbin, Sabey’s senior vice president for energy development, stated: “We’re looking to move to Montana for a couple of locations there.” Additionally, company documents referencing the Montana plans have repeatedly used the plural term “data centers,” further supporting the possibility of multiple facilities.
Utility Documents Hint at Confidential Expansion
NorthWestern Energy has provided additional clues about potential expansion through regulatory filings with the Montana Public Service Commission. The utility included two separate non-disclosure agreements with Sabey in a Motion for a Protective Order, suggesting multiple projects are under consideration.
A NorthWestern Energy spokesperson declined to comment specifically on the topic, stating: “It is not appropriate for NorthWestern Energy to comment on this topic. The narrow scope of requests for protective orders to the Montana Public Service Commission includes proprietary and confidential information.”
Despite the official silence, utility executives have hinted at a second facility during public appearances. At a Missoula economic conference in February, NorthWestern executive Mike Cashell referenced “an unnamed facility” as a “second opportunity,” suggesting potential government involvement, as evidence points to secret second location plans by the data center company.
Company Profile and National Presence
Sabey Data Centers operates as a joint venture between Sabey Corporation and National Real Estate Advisors, with an extensive portfolio of data center facilities across the United States. The company currently has sites in operation or development in multiple markets including Quincy, Seattle, and East Wenatchee, Washington; New York City; Austin, Texas; Umatilla, Oregon; and Ashburn, Virginia.
The Montana expansion represents Sabey’s continued strategic growth amid increasing demand for data center capacity nationwide. As Washington company secures land and power for the Butte data center, industry observers are watching how this development will impact regional technology infrastructure and economic development.
The data center industry continues to evolve with industry developments focusing on sustainability and energy efficiency. Meanwhile, recent technology advancements and related innovations in computing infrastructure are driving new market trends as companies like Sabey expand their footprints. These developments coincide with broader technology sector growth across multiple markets.
This article aggregates information from publicly available sources. All trademarks and copyrights belong to their respective owners.
Note: Featured image is for illustrative purposes only and does not represent any specific product, service, or entity mentioned in this article.
