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SLB and Liberty Energy join forces to power data centres with gas

Oilfield services giants SLB and Liberty Energy have formed a joint venture to build natural gas-fired power plants for data centres. The deal responds to surging electricity demand from AI and cloud computing, with implications for UK energy markets and investor portfolios.

  • SLB and Liberty Energy announce a joint venture to develop gas-powered data centre infrastructure.
  • The partnership targets the growing energy needs of AI, machine learning, and cloud computing.
  • UK investors with exposure to energy or tech stocks may see sector shifts as demand for reliable power rises.

SLB, the world’s largest oilfield services company, and Liberty Energy have unveiled a strategic alliance to build natural gas-fired power plants dedicated to data centres. The joint venture, announced on 16 July 2026, aims to address the soaring electricity requirements of artificial intelligence, cloud computing, and other digital infrastructure.

The deal underscores a broader trend in which traditional energy companies pivot to meet the power demands of the technology sector. Data centres already consume around 1-2% of global electricity, and that share is expected to climb sharply as AI workloads expand. By pairing gas generation directly with data centres, the venture seeks to bypass grid constraints and deliver reliable, on-site power.

For UK investors, the announcement adds a fresh dimension to the energy and technology investment landscape. The FTSE 100 closed at 8,412.63 on 16 July, down 0.3% on the day, with energy stocks mixed. Shares in BP and Shell edged lower amid broader oil price weakness, while renewable energy firms such as SSE and National Grid saw modest gains on the back of heightened interest in power infrastructure. Analysts at Investec noted that the tie-up highlights the growing value of flexible gas generation in a world racing to electrify everything.

“This is a clear signal that the energy transition is not a straight line,” said Dr. Helena Grant, energy analyst at London-based consultancy Aurora Energy Research. “Gas will play a critical role in backing up intermittent renewables and powering the digital economy for years to come. For UK pension funds with holdings in energy infrastructure, that means reassessing the timeline for fossil fuel exit strategies.”

The UK government has committed to a decarbonised power grid by 2035, but the rapid expansion of data centres — including major investments by Amazon, Microsoft, and Google in British sites — is putting pressure on grid capacity. The SLB-Liberty venture is not directly tied to the UK, but it sets a precedent for similar gas-to-data-centre models that could be replicated in Britain if grid connections remain slow.

Shares in SLB rose 1.8% on the New York Stock Exchange following the news, while Liberty Energy gained 2.3%. The venture is expected to begin initial projects in the United States, with a timeline for further expansion to be determined based on customer demand and regulatory approvals.

Why this matters: UK energy policy and grid planning may be influenced by this US-led model, as data centre power demand grows. Investors in energy and technology stocks should watch for similar partnerships emerging in Europe.

What this means for you: What this means for you: If you hold shares in UK energy companies or have a pension invested in the FTSE 100, the growing link between gas generation and data centres could affect the value of your holdings as markets reassess the role of fossil fuels in a digital economy.

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