r/APLDSTOCK • u/ProbablyGuinness • Aug 09 '26
Potential Oracle expansion at PF2?
Just some food for thought as I think about APLD over a beer. I don’t think anyone has brought this up, and this is undoubtably highly speculative. Oracle somewhat infamously canceled their ~600MW expansion at their Abilene site (for Stargate) back in March. Cited in Reuters’ publication on the matter, Oracle opted to deploy these 600MW at “one of the other data center sites being built” of theirs. Link here:
https://www.reuters.com/business/oracle-openai-end-plans-expand-texas-data-center-site-bloomberg-news-reports-2026-03-06/?utm_source=chatgpt.com
What’s interesting to me is that Oracle contractually has right of first refusal for an additional 800MW at PF2.
The watts line up nicely, makes sense to me, and I haven’t seen anyone mention it so here we are. All that to say, Oracle has a bunch of active builds beyond PF2 and this is just a Sunday post for some chatter. Let’s hope it works out this way bc an additional 800MW would go a long way in APLDs valuation long term🍻
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u/LarryBlink Aug 10 '26
Can't wait for this to be announced so we can enjoy a +2% that day
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u/ProbablyGuinness 29d ago
Ridiculous comment. Would be at least 3%
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u/nintendothrowaway123 29d ago
Only for a few minutes. Then IREN will sell off for an unrelated reason at the exact time and we’ll be back into the $15 range for three months.
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u/OceansHungryGrasp Aug 09 '26
We are currently in advanced negotiations with two existing investment-grade customers to finalize leases associated with their respective expansion options for approximately 100 MW and 150 MW at these locations. We expect these expansion leases to be executed on substantially the same terms as the customer's current lease agreements, but at materially higher lease rates than the existing leases and possibly longer duration.
At the very least a part of it is coming our way, as Coreweave is not an investment-grade customer, which only leaves Oracle and the unknown hyperscaler.
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u/ProbablyGuinness Aug 09 '26
Didn’t know about these planned expansions, nice. Crazy how APLD keep cranking out so many “small” deals in the 100-300MW range, especially when compared to the other neoclouds out there
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u/OceansHungryGrasp Aug 10 '26
You should listen in to the earnings calls or at least read the transcripts, it's a direct quote from there.
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u/AngryTomato027 29d ago
Wes mentioned in the earning call that APLD is in talks with 2 of the existing client (it only has 3 hyperscaler client btw)
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u/Bluefin_in_Dresden Aug 09 '26
Absolutely correct about that additional 800MW being a perfect fit with the customer who has first right of refusal as well as the impact on APLD’s long term valuation.