Finance
Drax plans to turn coal-era infrastructure into data centre by 2027
Published by Global Banking and Finance Review
Posted on December 11, 2025
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on December 11, 2025
Dec 11 (Reuters) - Britain's Drax said on Thursday it could repurpose existing infrastructure and grid links at its Yorkshire power station to run a data centre as soon as 2027, using resources once dedicated to coal.
"Drax is preparing a planning application to support the potential option for a first phase data centre of about 100 megawatts on land identified at Drax Power Station," it said in a statement.
The company also said it expects to report full-year 2025 core profit around the top end of the market estimates, as the UK's power generation demand grows.
Analysts expect Drax to report a core profit of between 892 million pounds and 909 million pounds ($1.19 billion and $1.21 billion) for 2025, according to a company-compiled consensus.
($1 = 0.7482 pounds)
(Reporting by Raechel Thankam Job in Bengaluru; Editing by Nivedita Bhattacharjee and Rashmi Aich)
A data center is a facility used to house computer systems and associated components, such as telecommunications and storage systems. It is crucial for managing data and supporting IT operations.
Core profit refers to the profit generated from a company's primary business operations, excluding any income derived from non-operational activities or one-time events.
Power generation is the process of producing electricity from various energy sources, including fossil fuels, nuclear, and renewable energy sources like wind and solar.
Market capitalization is the total market value of a company's outstanding shares of stock, calculated by multiplying the share price by the total number of shares.
A planning application is a formal request submitted to a local authority for permission to carry out development or changes to land or buildings.
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