Avax One Technology Ltd. executed a Letter of Intent (with a definitive agreement to be negotiated and entered into within 30 days) with BlueFlare Energy Solutions Inc. for the development of powered land capable of supporting a 10 MW AI/HPC Edge Compute facility. The initiative addresses the power bottleneck which is a foundational constraint for AI/HPC Edge computing capacity by presenting a scalable and replicable micro grid model in 10 MW increments. Under the definitive agreement (to be executed within 30 days from this Letter of Intent), BlueFlare will serve as development manager and owner?s representative to identify, engineer, permit, procure, and construct approximately 10 MW of total power capacity on a site located within a 50-mile radius of Calgary, Alberta.
The project prioritizes brownfield sites featuring existing natural gas-fired generation assets to accelerate timelines and reduce permitting risks. The powered land will be designed to achieve Uptime Institute Tier 3 certification, incorporating concurrent maintainability, redundant power distribution paths, and a multi-source architecture. Primary power will come from natural gas generation, supplemented by AESO grid interconnection (where viable), Battery Energy Storage Systems (BESS) for ride-through and frequency regulation, and diesel backup for final-tier redundancy.
By utilizing flared natural gas as the primary power source, AVAX One?s ability to rely on a fixed source of power, rather than being subject to price fluctuations and grid curtailments during peak usage, which are common occurrences with grid power-based systems. In addition, the modular microgrid design creates a replicable and scalable blueprint for future deployments in Alberta and potentially in other areas throughout North America. Key Project Highlights: Total Site Power Capacity: Minimum 10 MW; Mission-Critical Power: Minimum 7 MW; Target Delivery: Powered land ready for end-client deployment in First Quarter 2027; Primary Power Source: Natural gas-fired generation (brownfield priority); Resilience Features: BESS + diesel backup to support Tier 3 requirements; Location: Within 50 miles of Calgary, Alberta, leveraging Alberta?s abundant natural gas infrastructure and AESO grid access. The total anticipated project cost is approximately $30 million to $35 million, with payments tied to milestone deliverables including site selection, feasibility, permitting, design, procurement, construction, and final commissioning.
Once completed, the powered land is expected to be contracted to a qualified Edge Compute client under a long-term infrastructure agreement, generating recurring revenue while supporting high-value AI and high-performance computing workloads.
