May Editorial

I want to update you on the most significant new project in our service area, the Applied Digital AI Factory, called Polaris Forge 2, being built near Harwood, North Dakota. This project represents a major investment in our region and delivers tangible, long-term benefits to our cooperative and members.

As many of you know, Applied Digital is building a next-generation computing campus designed to power artificial intelligence and other high-demand digital technologies. The first phase of this facility will be about 280 megawatts (MW). To put this in perspective, a large hospital with similar physical space has a peak demand of 4.5 MW.

Tech giant Oracle has signed a 15-year lease with Applied Digital Corporation for the Harwood AI data center campus. Applied Digital will maintain control of the building infrastructure, while Oracle will control the IT staff and hardware.

This project began construction in early September 2025 and is projected to come online in December 2026 to early 2027.
Now, what does that mean for Cass County Electric and for our members?

First, it means strong load growth and financial stability. Large industrial loads like this help spread our fixed costs over more kilowatt hours. That supports long-term stability for all member-owners. It strengthens our cooperative’s financial foundation and helps us continue delivering reliable, affordable power. A portion of the excess revenues, called margins, will be used to fund our resource transition fund.

Second, this project brings significant economic benefits to our communities. We’re looking at 200-250 permanent jobs, plus 600–800 construction and contractor positions. It increases local spending, supports area businesses, and contributes to the tax base. It’s the kind of development that helps our region grow in a sustainable, forward-looking way.

Third, we are working closely with Applied Digital, Minnkota Power Cooperative, and North Dakota leaders to ensure this large new load is integrated safely and responsibly. Energization will be phased, and the necessary infrastructure upgrades will be cost-recovered through project revenues—not through member rate increases. This means the infrastructure costs, including system upgrades, will be fully paid for by Applied Digital, not our legacy members. It is also important to note that the AI factory will have 192 3516E Caterpillar generators for emergency backup and grid resiliency.

Finally, this project positions Cass County as a leader in the fast growing digital infrastructure economy. North Dakota has been working hard to attract high tech industries, and this facility is a clear sign that those efforts are paying off. We’re proud that our cooperative is playing a key role in supporting that progress.
In short, the Applied Digital AI Factory is a win for our cooperative, our communities, and our member-owners. It reflects our cooperative values of innovation, integrity, and commitment to our communities.

Thank you for your continued trust and support. I look forward to keeping you updated as this project moves forward.