Keel plans to consolidate power and land for a new Sherbrooke campus
Keel Infrastructure, the successor issuer to Bitfarms, has moved a step closer to establishing a large-scale data centre in Sherbrooke after receiving local municipal approval to transfer and operate 96 megawatts of existing electrical capacity from three current Bitcoin‑mining sites into a single campus. The company disclosed the development in its latest quarterly filing and accompanying investor materials.
The firm says the intent is to change the authorised use of that capacity from Bitcoin mining to high‑performance computing (HPC) and artificial intelligence workloads. That municipal approval, granted on July 15, covers Keel entering into an agreement with Hydro‑Sherbrooke to consolidate and operate the power allocation. The conversion of use still requires review and approval by Quebec’s Ministry of Economy, Innovation and Energy.
Keel has said it is shifting its broader business strategy from Bitcoin mining toward digital infrastructure designed for HPC and AI workloads.
The company has also signed an agreement to purchase land described in its filing as roughly “100 miles east of Montreal.” The acquisition remains conditional on site inspections, feasibility analysis and additional municipal approvals; Keel expects the transaction to close in the first quarter of 2027 if conditions are met. The firm did not disclose the purchase price in the documents reviewed.
Timeline and capacity details
Investor presentation slides filed in August add detail to the proposed schedule. Keel lists Sherbrooke as a 96‑MW project that will be supplied by Hydro‑Sherbrooke and indicates the power is secured. The presentation identifies 2027 as the year the company expects to take the project to market and 2028 as the earliest ready‑for‑service date.
| Item | Detail |
|---|---|
| Capacity | 96 MW |
| Planned use | High‑performance computing (HPC) and AI |
| Origin of power | Consolidation from three existing Bitcoin‑mining sites |
| Municipal approval | Granted July 15 for transfer and change of use (provincial review pending) |
| Land | Agreement to purchase property ~100 miles east of Montreal (closing expected Q1 2027) |
| Targeted service date | 2028 (earliest) |
Local context and potential implications
For Sherbrooke, the proposal raises immediate questions about local economic benefits, land use and electricity allocation. Keel’s plan to repurpose existing capacity rather than request new supply means the project would not increase Hydro‑Sherbrooke’s overall demand footprint, but it concentrates a sizeable chunk of capacity — 96 MW — into a single site.
Possible local effects include:
- Commercial and municipal revenue from a large digital infrastructure facility, subject to tax and permit arrangements;
- Employment during construction and operations depending on the eventual tenant mix and service model;
- Infrastructure and planning considerations for the chosen site, including access, cooling and grid connections;
- Provincial regulatory review by the Ministry of Economy, Innovation and Energy that could shape the final approved use and conditions.
Keel’s broader repositioning away from cryptocurrency mining toward digital infrastructure for HPC and AI mirrors a shift some industry observers have noted as compute‑demand diversifies. The company’s materials emphasise the project is part of a strategy to serve AI‑intensive workloads.
At this stage, several steps remain: completion of the land purchase conditions, provincial approvals for the change of use, and the detailed feasibility studies and site inspections Keel has flagged. If all conditions progress on schedule, the firm’s investor presentation projects a market launch in 2027 and an earliest service readiness in 2028.
Local officials and Hydro‑Sherbrooke have not released additional public comments beyond the municipal approval referenced in Keel’s filing. Residents and stakeholders seeking more details on municipal permits and the property location should consult city planning notices and Hydro‑Sherbrooke disclosures as the process advances.
