French utility Engie signs deal to sell power to US data center company

PARIS, May 13 (Reuters) - French utility Engie ENGIE.PA said on Tuesday it had signed a deal to supply up to 300 megawatts of wind power to U.S. data center company Cipher Mining Inc, the first deal of its kind for the utility that creates a connection on the same site.

The so-called power purchase agreement allows the co-located data center to use electricity during periods of excess generation, while enhancing grid stability and reliability, the utility said.

Placing the data center on the same site as the wind turbine helps the power-intensive data centre industry avoid any grid-related issues, an Engie spokesperson said.

"This contract with Cipher confirms that signals from customers regarding renewables remain encouraging in the U.S.," the spokesperson said.

Engie has around 7 gigawatts of renewable assets constructed in the United States, with most located in Texas.