WILLACY COUNTY, Texas - Soluna Holdings, Inc., the green data center company developing a $50 million data center for AI and Bitcoin mining in Willacy County known as Project Kati 1, has announced a new line of credit.
It can now draw down $100 million from Generate Capital, a leading infrastructure investment firm.
John Belizaire, CEO of Soluna, said an initial $12.6 million draw will fund refinancing and construction of active data center projects, with additional capital support for Soluna’s one gigawatt and expanding pipeline.
“We believe this deal with Generate primes Soluna for scale,” Belizaire said. “We’re not just growing our current projects, we’re building new ones wherever wasted renewable energy can be converted into valuable high performance computing.
Belizaire said the deal with Generate reflects a different kind of infrastructure financing, one focused on capital efficiency, modular growth, and disciplined execution.
“We’ve known the Generate team for quite some time before partnering; they understand our business, our team, and our industry well, making them so much more than just investors. We see them as strategic partners going forward,” Belizaire said.
Generate was represented by Vinson & Elkins LLP. Norton Rose Fulbright LLP, O’Melveny & Myers LLP, and Lowenstein Sandler LLP represented Soluna.
Project Kati is Soluna’s largest renewable computing site yet. “One hundred and sixty six MW of clean, high-performance computing is on its way to Willacy County,” the company said. “It will deliver 83 MW of clean Bitcoin hosting capacity by early 2026, with Galaxy as the first customer. It will expand to 166 MW in two phases, supporting both Bitcoin hosting and AI/HPC workloads. And it will bring jobs, investment, and long-term economic benefits to Willacy County.”
Soluna is a digital infrastructure company that builds modular data centers that transform curtailed or underutilized renewable energy into compute power for energy-intensive, batchable applications such as Bitcoin mining and AI. By colocating with clean energy producers, Soluna supports a cleaner grid while delivering cost-effective, sustainable infrastructure to enterprises.
Generate has invested over $2.4 billion across sustainable infrastructure credit since inception, making the partnership with Soluna a natural fit. Generate’s institutional experience and capabilities as an asset owner and operator enable it to deliver differentiated value, enabling the partnership to go beyond dollars invested to strategic collaboration.
"Soluna's vision for turning underutilized renewable energy into scalable computing power aligns with our belief in infrastructure that solves real-world challenges," said Ryan Miller, principal at Generate Capital. "We're excited to support their growth through a flexible credit solution and continue our leadership at the nexus of digital and energy infrastructure.”
Belizaire said the new financing package from Generate follows over $30 million in funding raised earlier in 2025 from Galaxy Digital, Spring Lane Capital, and a recent public offering. He said the new agreement adds further momentum to Soluna’s execution roadmap, as the recent addition of 150 MW Projects Gladys and 100 MW Fei pushes the company past one gigawatt of renewable computing capacity.
Belizaire said this milestone builds on the recent 48 MW expansion underway at Project Dorothy 2 and the start of construction of Project Kati 1. He said Soluna intends to expand its computing offerings beyond Bitcoin mining to include AI workloads, reflecting the growing demand for green computing across various industries.
"Soluna's vision for turning underutilized renewable energy into scalable computing power aligns with our belief in infrastructure that solves real-world challenges," said Ryan Miller, principal at Generate Capital. "We're excited to support their growth through a flexible credit solution and continue our leadership at the nexus of digital and energy infrastructure.”
Belizaire said recent expansions of partnerships with Blockware, Compass Mining, Galaxy Digital, and other Hyperscale miners further underscore the company’s growing traction and operational maturity.
Among the highlights of the scalable financing, he said, are:
About Soluna Holdings, Inc. (Nasdaq: SLNH)
Soluna is on a mission to make renewable energy a global superpower, using computing as a catalyst. The company designs, develops, and operates digital infrastructure that transforms surplus renewable energy into global computing resources. Soluna’s pioneering data centers are strategically co-located with wind, solar, or hydroelectric power plants to support high-performance computing applications, including Bitcoin Mining, Generative AI, and other compute-intensive applications. Soluna’s proprietary software MaestroOS(™) helps energize a greener grid while delivering cost-effective and sustainable computing solutions and superior returns.
About Generate Capital
Generate is a specialized, multi-strategy investment platform that builds, owns, and operates critical infrastructure. The firm finances and delivers affordable, resilient solutions that provide essential resources to customers and communities, while supporting the nation’s growing demand for power. Since 2014, Generate has invested in and operated assets across six key sectors: power, mobility, waste, green digital, water, agriculture, and industrial decarbonization. With more than $14 billion raised since inception, the firm’s portfolio includes over 2,000 assets and more than 50 partnerships with leading technology providers and developers.
