Overwatch Capital and Idemitsu Kosan Co. Ltd. announced a strategic partnership to support the development of next-generation, energy-resilient AI data centers across ten U.S. states. The collaboration includes an investment by Idemitsu into Overwatch Capital and the launch of Idemitsu's nationwide natural gas supply operations in the United States.
Through the partnership, Idemitsu will supply natural gas to on-site power generation systems capable of providing up to 1 gigawatt (GW) of natural gas to support the next generation of AI driven data centers. The partnership will ensure firm, long-term natural gas supply for tenants across Ohio, Texas, Illinois, Utah, Colorado, Arizona, Georgia, Nevada, South Carolina, and Pennsylvania, powering high-density AI compute through both grid-connected and private-grid models. The partnership combines Overwatch's SIDE Platform with Idemitsu's strategic entry into U.S. natural gas supply and its broader expertise in global energy solutions.
Together, the companies will accelerate the deployment of parallel data center builds to meet unprecedented demand from hyperscalers, GPU-cloud providers, and institutional investors seeking purpose-built, energy-resilient platforms for AI compute at scale. Overwatch's SIDE Platform integrates on-site natural-gas generation, battery storage, advanced cooling, and proprietary energy management systems to create hyper-scalable sites designed for maximum uptime, efficiency, and sustainability. Each facility supports next-generation GPU clusters, liquid-cooling systems, and ultra-high rack power densities.
As part of this partnership, Idemitsu will Supply natural gas to Overwatch's on-site generation systems and explore additional energy services for data centers, such as immersion cooling technologies, diesel supply for backup systems, and potential deployment of battery energy storage solutions. These initiatives leverage Idemitsu Group's decades of expertise in energy, materials, and industrial operations across Japan and international markets. Overwatch Capital's SIDE Platform can now provide tenants the following: Mission-critical resiliency: Multi-layered backup and microgrid independence ensure maximum uptime for AI clusters.
Data security: Dedicated, high-integrity environments engineered for enterprise- and cloud-scale operations. Sustainable performance: Natural-gas generation paired with BESS reduces carbon intensity, while advanced energy technologies support efficient generator operations. Comprehensive energy solutions: Integration of low-emission molecules, fuel cells, immersion cooling, diesel backup supply, and other energy services supported by Idemitsu's global capabilities.
Rapid expansion: Idemitsu's investment and U.S. energy operations enable simultaneous multi-market deployment across ten target states. Grid flexibility: Dual private-grid and grid-supplied energy models reduce interconnection risk and accelerate site delivery. Advisory and Financing: Marathon Capital served as exclusive financial advisor to Overwatch in the formation of this partnership.
As Overwatch's SIDE Platform finalizes tenant relationships across its national portfolio, Marathon Capital will lead the structuring and capitalization of both corporate and project-level financing, positioning the platform as a bankable, energy-backed solution for institutional investors and hyperscale tenants alike. Overwatch anticipates starting two projects in 2026, Resilience Dallas-Fort Worth and Resilience Columbus (Ohio).
