Lotus Infrastructure Partners is expecting to sign a power purchase agreement with a hyperscale data center for capacity from the largest plant for sale within a multi-gigawatt natural gas portfolio.

Lotus and the sell-side advisor in the sale process, Lazard, have told potential bidders that ongoing talks could lead to a PPA with a data center at the Fairless Energy Center, a 1,250 MW combined cycle facility in Fairless Hills, Pennsylvania, according to three sources familiar with the matter.

Indicative bids in the sale process were due in early February, with final bids due later this month, the sources said.

One of the sources noted that it was not clear if any buyer would increase its bid due to the hyperscale PPA.

NorthPoint Development, the developer of the Keystone Trade Center project at the former US Steel site in Falls Township, Pennsylvania, recently said it would replace plans for distribution facilities with data centers – a plan that was recently approved by the township’s board of supervisors.

On its website, NorthPoint highlights that the Fairless Energy Center could service up to 600 MW at 230 kV. “A purchase agreement between the data center user and Fairless Energy would need to be negotiated but would be at a significant discount to market energy rates,” the case study says.

Lotus declined to comment. Lazard and NorthPoint did not respond to emails seeking comment.

In addition to Fairless, the assets for sale include Manchester Street Station (510 MW), and Garrison Energy Center (325 MW) – combined cycle facilities located in Providence, Rhode Island, and Dover, Delaware, respectively. West Lorain Power (545 MW), a simple cycle facility located in Lorain, Ohio, is also part of the portfolio.

Additionally, understood to be part of the sale process is the Northeast Natural Gas portfolio, comprised of two combined cycle gas facilities in New York (collective 211 MW) and a simple cycle facility in Pennsylvania.