CIFR Stock Surges On $5.5 Billion, 15-Year Lease Agreement With AWS

• Cipher Mining said that it has also formed a joint entity to develop a 1-gigawatt site, named “Colchis”, in West Texas.
• The company said that, as per the AWS agreement, it will deliver 300 megawatts of capacity in 2026, including both air and liquid cooling to the racks.
• The capacity will be delivered in two phases, with the first phase expected to begin in July 2026 and the second phase to be completed in the fourth quarter of 2026, with rent commencing in August 2026.

Cipher Mining (CIFR) announced a nearly $5.5 billion lease agreement of 15 years with Amazon Web Services to provide turnkey space and power for artificial intelligence (AI) workloads, sending its stock up nearly 20% in premarket trading.

The company said that it will deliver 300 megawatts of capacity in 2026 as per the agreement, including both air and liquid cooling to the racks. The capacity will be delivered in two phases and is expected to begin in July 2026.

It is expected to be completed in the fourth quarter of 2026, with rent commencing in August 2026, Cipher Mining stated. The company added that its AI hosting contracts represent about $8.5 billion in lease payments.

Retail sentiment on Cipher Mining improved to ‘bearish’ territory from ‘extremely bearish’ compared to a day ago, with message volumes at ‘low’ levels, according to data from Stocktwits.

Joint Venture “Colchis”

Separately, the company said that it has formed a joint entity to develop a 1-gigawatt site, named “Colchis”, in West Texas. Under the terms of the agreement, Cipher Mining is expected to provide the majority of the financing, which would result in the company holding about 95% equity ownership.

Cipher Mining said that the Colchis site includes a fully executed 1-GW Direct Connect Agreement with American Electric Power (AEP), under which AEP will construct the necessary dual interconnection facility for a targeted energization in 2028.

The company noted that construction of the interconnection facility will proceed in parallel with the Electric Reliability Council of Texas’ final review and approval.

Cipher Mining’s Q3 Results

The company’s third-quarter revenue came in at $71.71 million, compared with Wall Street estimates of $76.52 million, according to data from Fiscal AI. Cipher Mining’s quarterly adjusted earnings per share came in at $0.10, compared with expectations of $0.11.

Shares of Cipher Mining have gained over 300% this year. 

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