AI data center company Cipher Digital has agreed deals with Fluidstack and an unnamed AI lab to lease space at the firm's Barber Lake data center campus in Colorado City, Texas, for the next 20 years.

The agreements, announced on September 25, amend AI cloud provider Fluidstack’s existing lease and secure a binding commitment from an unnamed AI lab to enter into a separate ten-year lease once Fluidstack’s term ends.

Cipher expects the additional commitment to generate around $5.2bn, raising total contracted revenue at Barber Lake from $3.8bn to more than $9bn, according to the announcement. The second lease will have substantially similar economic terms to Fluidstack’s agreement.

The company expects to deliver individual data halls between Q4 2026 and Q1 2027, with rent starting as each hall is handed over. Cipher attributed the revised schedule to design changes and evolving tenant requirements.

The amendment also sets out a cost-sharing arrangement. Cipher will absorb the first $359.3m of costs above the original budget. The tenant will reimburse half of further overruns through additional rent over the combined 20-year period, calculated to provide Cipher with a contracted return.

“Extending Barber Lake’s contracted life from 10 to 20 years and adding approximately $5.2 billion of contracted revenue reflects the enduring value of the infrastructure we're building,” said Tyler Page, Cipher Digital CEO.

Cipher’s original deal with Fluidstack in September 2025 covered 168MW of critical IT load. An expansion announced that November added 39MW, bringing the combined critical IT load to 207MW. Cipher said the expanded agreement covered the entire 300MW of capacity at Barber Lake.

Earlier disclosures targeted delivery of the initial 168MW phase by September 2026, followed by the additional 39MW phase by January 2027.