Natural Gas Services's 15min chart shows KDJ Golden Cross, Bullish Marubozu

The 15-minute chart for Natural Gas Services recently exhibited a KDJ Golden Cross and Bullish Marubozu pattern on October 6, 2023 at 3:00 PM. This indicates a shift in the momentum of the stock price towards an upward trend, with a potential for further gains. The presence of buyers in control of the market suggests that bullish momentum is likely to persist.

Pembina Pipeline Corporation (PBA) is set to finalize a significant deal to build a large AI data center northeast of Edmonton for Meta Platforms (META), according to recent reports. This project marks a pivotal step for Alberta as it aims to become a major data hub for the world's top AI companies. The deal involves the use of Alberta's abundant natural gas as a clean and reliable energy source to power these energy-intensive facilities.

The collaboration between Pembina and Meta is being facilitated by Calgary-based energy firm Kineticor, which specializes in power generation facilities, and Beacon AI, another Calgary-based data center company. Kineticor will supply natural gas-fired electricity to the Meta data center project, while Beacon AI has provided crucial expertise in data center development. While contractual details remain under negotiation, regulatory announcements could be imminent, signaling a significant milestone in Alberta's AI infrastructure ambitions.

The data center will be located in Alberta's Industrial Heartland, a strategically vital cluster of oil refineries, petrochemical plants, and clean technology operations near Fort Saskatchewan. This region boasts world-class industrial infrastructure and is a hub for advanced carbon capture and storage (CCS) technologies. The proximity of CCS facilities offers Meta and other tech giants the opportunity to significantly reduce the carbon footprint of their AI workloads.

As hyperscale tech companies strive to enhance AI capabilities, their data centers require vast quantities of electricity. While some companies, like Microsoft, have opted for nuclear power, the limited availability and extended build times for nuclear infrastructure have led many to consider natural gas as a practical interim solution. Pembina and Kineticor's collaboration embodies this approach by delivering scalable natural gas power optimized for AI data centers.

Earlier this year, PBA and Kineticor jointly announced the development of the Greenlight Electricity Center (GLEC) — a 1,800-megawatt natural gas power station within the Industrial Heartland. Designed for phased construction in 450-megawatt increments, GLEC is engineered with future-ready carbon capture capabilities. Scheduled for commercial operation by 2029, the facility is intended to either supply power directly to colocated data centers or bolster the broader Alberta grid, supporting multiple AI infrastructure projects across the province.

Pembina reportedly would supply natural gas via its Alliance pipeline — an extensive 3,800-kilometer network linking northern British Columbia and Alberta to Chicago. The company is actively exploring pipeline expansion to increase capacity by 350 million cubic feet per day, reinforcing Alberta's role as a critical energy supplier for AI data centers.

Alberta's government has aggressively courted Silicon Valley tech firms, leveraging the province's extensive natural gas infrastructure and cutting-edge CCS technologies to attract major data center investments. The Meta project, enabled by Pembina and its partners, embodies this strategy and highlights Alberta's commitment to building a sustainable, high-capacity AI ecosystem that balances economic growth with environmental responsibility.

Meta's decision to develop a new AI data center in Alberta aligns with its aggressive expansion plans, which include a 5,000-megawatt data center in Louisiana and a separate 1,000-megawatt facility in Ohio. These developments reflect Meta's relentless pursuit of compute capacity to support increasingly sophisticated AI applications. By situating a major facility in Alberta's Industrial Heartland, Meta gains access to a resource-rich environment capable of meeting the enormous power requirements of AI, with the added advantage of proximity to advanced carbon mitigation technologies.

The imminent deal between Pembina and Meta, facilitated by Kineticor and Beacon AI, represents a transformative chapter for Alberta's oil-energy and technology sectors. The integration of scalable natural gas power through the Greenlight Electricity Center, combined with Alberta's leadership in carbon capture technology, sets a new standard for sustainable AI infrastructure development. Pembina's ability to deliver substantial natural gas volumes via its Alliance pipeline, coupled with strategic partnerships, will accelerate Alberta's emergence as a global AI hub and redefine how energy resources can be leveraged responsibly to fuel next-generation technologies.