The United States Department of Commerce and the Government of the Republic of Korea have announced a strategic investment in Project Star, a USD 22.3 billion energy infrastructure campus to be built in Encinal, Texas.

A Joint U.S.-Korean Strategic Investment

The project, which carries 6.47 gigawatts (GW) of natural gas generation capacity, is being jointly developed by Related Companies and NextEra Energy Resources, in partnership with Lewis Energy Group.

The announcement was made as part of the implementation of the Trade Deal between Korea and the United States, which was announced on July 30, 2025, and the Strategic Investment MOU signed on November 14 of that year.

Those efforts aim to enhance cooperation between the two countries in strategic industrial sectors such as energy and artificial intelligence. Under the structure of the joint trade agreement, the energy campus will be owned jointly by the Republic of Korea and the United States, while being built and operated by the Related and NextEra Energy Resources joint venture team.

The team is also expected to leverage the technological capabilities and supply chain strengths of Korean companies as part of the project to enhance stable and efficient implementation.

Powering a 5 GW Data Center Campus and the Grid

Project Star will create 6.47 GW of natural gas generation to directly support an adjacent 5 GW digital infrastructure campus that Related Digital is privately funding on an adjacent site. In addition to serving that new demand, the project will deliver excess power generation back to the grid, helping support reliability and affordability.

The companies state that the project is fully consistent with Texas Governor Greg Abbott's directive that data centers bring their own generation to the ERCOT system, strengthening local infrastructure and improving service reliability for utility customers. The natural gas powering the campus will be supplied from Texas.

NextEra Energy Resources and Related Companies plan to develop, build, and operate the natural gas-powered generation in Encinal, with Lewis Energy Group bringing associated infrastructure, including gas. Lewis Energy Group is providing the land, produced water, and natural gas supply for the project.

Job Creation and Local Economic Benefits

The investment is expected to create thousands of high-paying, skilled construction jobs over multiple years, including an estimated 8,400 jobs during peak construction activity.

Once operational, the power campus is expected to support approximately 170 permanent jobs, with the adjacent data center campus also creating hundreds of good-paying permanent jobs.

According to the announcement, the multi-billion-dollar investment and construction of Project Star will also create opportunities for local contractors, suppliers, small businesses, and service providers in Southeast Texas.

Rod Lewis, founder and CEO of Lewis Energy Group, said the project will bring much-needed jobs to South Texas, add new power generation available to the state, and ensure that natural gas produced in the South Texas region provides direct economic benefits to local communities.

Lewis, whose family has a long history of ranching in La Salle and Webb Counties, said the company looks forward to working with La Salle County, the State of Texas, and the federal government on the project.

Leadership Perspectives on the Project

Jeff T. Blau, Chairman of Related Digital and CEO of Related Companies, described the project as historic and said it would advance the nation's energy independence, power American innovation, and strengthen not just the Texas economy but relations between the United States and Korea.

Blau said Related Digital was founded on a commitment to responsible infrastructure development and expressed confidence that the project would meet the high bar Governor Abbott has set for data center development.

He cited the company's approach of bringing its own power, protecting ratepayers, contributing excess power to the grid, protecting Texas water, and creating new economic benefits for Encinal, La Salle County, and the state.

Blau also expressed gratitude for the leadership of the Trump Administration and Secretary Lutnick and said Related looks forward to delivering the project as a model for responsible economic investment and infrastructure development in the United States.

John Ketchum, chairman and CEO of NextEra Energy, said Project Star demonstrates how energy infrastructure and economic growth can advance together. By bringing new generation online to serve new demand, he said, the project helps strengthen reliability, support investment and jobs, and protect electricity customers. Ketchum added that NextEra looks forward to working with the Administration, the State of Texas, Related Digital and Lewis Energy Group to responsibly develop the project.

The Companies Behind Project Star

The project builds on the Texas histories of the three participating companies. Related Digital, headquartered in Dallas, is an affiliate of Related Companies, which has long owned, operated, and invested in multi-family housing, commercial office, and retail across Texas. Lewis Energy Group has a multi-decade history as an economic growth engine and employer in La Salle County.

NextEra Energy has invested over USD 20 billion in Texas and operates more than 9 GW of generation in the state, and will build and operate the gas plant. NextEra Energy is the largest publicly traded power company in the world.

A Model for Data Center Development in Texas

The announcement positions Project Star as an example of the approach Governor Abbott has advocated for large-scale digital infrastructure in Texas: data centers that bring their own generation rather than drawing on the existing grid, while contributing surplus power back to the ERCOT system.

With 6.47 GW of new natural gas generation, a 5 GW adjacent data center campus, and joint Korean-American ownership under the trade agreement framework, the Encinal project represents one of the largest single energy infrastructure investments announced under the bilateral strategic investment structure, and the parties say they intend it to serve as a model for responsible infrastructure development going forward.

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