(The Center Square) – Gov. Jeff Landry and Louisiana Economic Development officials announced Tuesday that Applied Digital will build a $3.6 billion artificial intelligence data center campus in Rapides Parish, a project state leaders say will bring hundreds of jobs and expand Louisiana’s role in the growing industry.

The project, known as Delta Forge 1, will be developed near Boyce and is designed for large-scale AI training and computing operations. Applied Digital said the campus initially will include two facilities with a combined 300 megawatts of critical IT load spread across about 300 acres.

“When you think about areas like Central and North Louisiana who have lived in abject poverty because of missed economic opportunities, while we’ve watched our southern neighbors enjoy economic opportunity, it just took some will, some perseverance, and some teamwork,” said Landry. “And we’re going to deliver for them, and we’re delivering it for them today.”

Officials said total project investment tied to the developments is expected to be $7.2 billion, including the company’s direct investment and projected spending from a hyperscale tenant to design, build and equip the campus.

Applied Digital said the development is expected to create 418 jobs, including 218 direct positions and 200 indirect jobs. The combined annual payroll is projected at $32.67 million. The project also is expected to employ about 1,500 construction workers at peak construction.

Land development began in January and initial operations are expected to begin in mid-2027 as construction progresses in phases through 2028.

According to the project’s website, the new data center is expected to generate hundreds of millions of dollars in tax revenue for local governments and agencies over the life of the agreement. According to project materials, Rapides Parish government is projected to receive $77 million, while the Rapides Parish School System is expected to receive about $7.6 million annually and more than $206 million cumulatively over 27 years. The Rapides Parish Sheriff’s Office is projected to receive about $3.3 million annually and more than $88 million over the same period.

The company and utility officials also sought to address concerns about the project’s potential impact on water usage, electric reliability and residential utility bills.

Applied Digital said its cooling system uses a closed-loop water system that does not require regular water consumption for cooling equipment. Company materials compared the system to a vehicle radiator, saying water use at the facility largely would be limited to bathrooms, kitchens, cleaning and irrigation.

Cleco, which will provide electricity to the site, said the project will pay the full cost of the power infrastructure needed to serve the campus. Company materials said large customers such as data centers can help spread fixed utility costs across a broader customer base and may reduce cost pressures on existing customers over time.

Project documents also stated that infrastructure upgrades tied to the data center are expected to improve grid resiliency and reliability. Cleco said it is part of the Midcontinent Independent System Operator, a regional transmission organization focused on long-term grid reliability and stability.

Applied Digital said the facility is intended to operate as a long-term asset with no plans for decommissioning. The company said the current development footprint covers about 300 acres of a 672-acre site secured in Rapides Parish, with future uses for the remaining acreage not yet confirmed.

The company also said it plans continued community engagement through town halls and local events as development moves forward.