PPL's Trading Volume Surges 196.54% Ranking 101st in Market Activity

On July 15, 2025, PPL's trading volume reached 8.70 billion, marking a 196.54% increase from the previous day, ranking 101st in the day's stock market activity. PPL's stock price rose by 1.70%, marking the second consecutive day of gains, with a total increase of 3.15% over the past two days.

PPL Corporation and Blackstone Infrastructure have formed a joint venture to construct natural gas power stations, focusing on powering data centers through long-term energy services agreements (ESAs). This initiative aims to address the forecasted capacity shortages in the PJM Interconnection starting from 2026-27. Within PPL Electric Utilities' service territory, there is significant interest in data center projects, with over 60 GW of potential projects and 13 GW in advanced planning. PPL estimates a 6 GW generation shortfall in the next 5-6 years, representing approximately $15 billion in investment needs.

The joint venture, with PPL holding a 51% stake and Blackstone holding 49%, will leverage existing gas pipeline infrastructure, reducing both costs and operational risks. The venture will develop front-of-the-meter generation positioned above the Marcellus and Utica shale basins in Pennsylvania, ensuring a reliable fuel supply with minimal transportation costs. This strategic positioning allows PPL to capitalize on the growing data center market while mitigating traditional merchant power risks.

The business model of using long-term ESAs with hyperscalers provides regulated-like risk profiles, shielding the venture from merchant energy and capacity price volatility. These contracts create predictable revenue streams, essentially generating utility-like returns from non-utility assets. The venture has already secured multiple land parcels and engaged with gas pipeline companies and turbine manufacturers, laying the groundwork for securing ESAs with hyperscalers.

While no ESAs have been signed yet, the pressing need for dispatchable generation in PJM creates strong market pull. This partnership addresses the critical power supply bottleneck hampering data center growth in the Northeast, offering a solution that bypasses lengthy interconnection queues and provides certainty for data center operators. The timing is strategic, aligning with PJM's projected 2026-27 capacity shortages and the need for AI-focused data centers to come online.