Fit Energy, a developer of energy solutions for data centers, announced on Oct. 6, 2026 that it plans to build a data center campus in Newport Township, Luzerne County, Pa., on previously mined and quarried land, with part of its electricity coming from on-site natural gas fuel cells supplied by FuelCell Energy, POWER reported. Newport Township approved zoning for both the fuel cell power generation use and the data center use in August 2026. Engineering and the remaining permitting work are underway, and construction has not started.
The site covers about 1,386 acres of former mining land, according to the project website Fit Energy maintains for the development. The company describes the project as a multi-year buildout, and POWER reported that construction is expected to take several years.
A Mixed Grid and On-Site Power Supply
The campus would not run on fuel cells alone. The project website says the supply would "combine utility-grid electricity with on-site, non-combustion natural gas fuel cells," and that the fuel cells "will supply a portion of the data center's electricity, helping reduce demand on the regional grid." POWER reported that the fuel cells generate electricity through an "electrochemical process rather than combustion."
FuelCell Energy has disclosed the terms of its equipment deal with the developer. In its fiscal third-quarter 2026 results release, dated Sept. 2, 2026, the company said it signed a capital equipment purchase agreement with Fit Energy USA LP to make and deliver carbonate fuel cell systems totaling up to 380 MW across four potential phases, intended to provide baseload electricity for data centers. An initial 30-MW phase is expected to begin delivery in FuelCell Energy's fiscal fourth quarter of 2026. The three later phases, of 100 MW, 125 MW and 125 MW, proceed only if Fit Energy elects each one at its sole option.
FuelCell Energy counts those three optional phases, 350 MW in all, as a $2.4 billion "Awarded Capacity Backlog" that the release says is not committed backlog and may not convert to revenue. The release also says site identification, permitting, financing and construction remain outstanding for those phases.
Water, Site Design and Local Terms
On cooling, Fit Energy's community statement says the campus uses closed-loop cooling "intended to minimize water consumption." The project site says water use is "limited and carefully controlled, primarily for cooling," that the facility uses on-site water storage, and that water use is "regulated, monitored and capped by permits, with corrective action required if limits are exceeded."
The plan includes setbacks, landscaping and screening to limit views from nearby homes and roads, along with investment in power, natural gas, water and sewer infrastructure, according to POWER. The company expects the project to generate new tax revenue for the township, the school district and Luzerne County, and to create construction work for contractors, skilled trades and suppliers followed by permanent roles in operations, maintenance, security, facility management and technology, POWER reported.
Fit Energy is also working with Newport Township on a community benefits agreement intended to direct additional investment toward community priorities, POWER reported.
"We recognize Fit Energy has made significant commitment to this development," Newport Township Manager Joe Hillan said, according to POWER. Leonoff, Fit Energy's CEO, said: "We're committed to being transparent, answering questions and building a long-term relationship with Newport Township."
Zoning approval allows the two uses on the site. It is separate from land development review, which covers the detailed site plans. Fit Energy says on the project site that it is "finalizing detailed plans for submission to Newport Township for land development review."
FuelCell Energy's Data Center Push
The Fit Energy contract was not FuelCell Energy's only data center deal in its Sept. 2 release. The company also said that, after the quarter ended, it signed a capacity reservation agreement with a major data center operator for a planned 75-MW project in Texas that would use six 12.5-MW FuelCell Energy Block systems. The operator made an upfront reservation payment, which gives it priority access to FuelCell Energy's manufacturing capacity while the parties finalize definitive project agreements; financial terms were not disclosed. CEO Jason Few said in the release that the company "accelerated the commercial execution of our data center strategy" and that demand for electricity "is accelerating, driven by AI, data centers, and the broader electrification of the economy."
What Happens Next
Fit Energy will hold a public open house on Wednesday, Oct. 28, 2026, at 6 p.m. at Greater Nanticoke Area High School, 425 Kosciuszko Street, Nanticoke, according to the project site. The project still needs land development review by Newport Township and its remaining permits before construction can begin. As of Oct. 20, 2026, no date has been published for the township's review, for completion of the community benefits agreement or for the start of construction.
