Williams to Invest $3.1 Billion in Power Projects, Boosts 2025 Capital Spending

Williams Companies plans $3.1 billion investment in two power projects and raises 2025 capex guidance by $875 million, reflecting rising U.S. power demand and infrastructure needs.

(Reuters) — U.S. pipeline operator Williams Companies said on Oct. 1 it plans to invest about $3.1 billion in two projects to supply power to data centers.

The move takes the total capital committed to such 'power innovation' projects to about $5 billion, the company said in a filing.

Power consumption is expected to hit record highs in 2025 and 2026, driven by a surge in demand from data centers used for artificial intelligence technologies, according to the U.S. Energy Information Administration (EIA). This rising demand is prompting utilities to add billions to capital plans to upgrade the grid and related infrastructure.

Williams on Oct. 1 said it would raise its 2025 capital spending plan by $875 million to between $3.45 billion and $3.75 billion.

The Tulsa, Oklohoma-based company did not disclose the locations of the two projects in the filing. It expects the transaction to close in the first half of 2027.