Nscale, Aker ASA, and OpenAI have announced the launch of Stargate Norway, a large-scale AI data centre project to be located in Kvandal, just outside Narvik in Northern Norway. The facility will be powered entirely by renewable energy – primarily hydropower – and aims to install 100,000 NVIDIA GPUs by the end of 2026.
The project, led by global AI infrastructure provider Nscale in partnership with Aker and OpenAI, is OpenAI’s first European infrastructure project and the first under its “OpenAI for Countries” programme. The initial buildout will provide 230MW of capacity, with potential expansion of an additional 290MW.
Kvandal was selected for its abundant hydropower, low local electricity demand, and limited grid export capacity, all of which contribute to electricity prices well below the European average. The area also benefits from a cold climate and existing industrial infrastructure, making it suitable for energy-intensive operations like AI data processing.
“Announcing Stargate Norway and delivering one of the first European AI Gigafactory to market is a strategic milestone for the region and boosts its role in the global AI landscape,” said Josh Payne, CEO of Nscale. “Sovereign, scalable and sustainable infrastructure is now essential to remain competitive. We’re proud to partner with Aker, drawing on the team’s extensive experience and impressive track record, to deliver a new generation of AI economic and productivity growth in Europe. Together, we are combining OpenAI’s leading models with Nscale’s vertically integrated AI cloud, to provide the sustainable infrastructure necessary to support public benefit, build industrial resilience and enable long-term regional innovation.”
The site will be designed and built by Nscale and owned through a 50/50 joint venture between Nscale and Aker, via wholly owned subsidiaries. The joint venture is pending completion of Aker’s planned merger with Aker Horizons. Both companies have committed approximately US$1 billion to the first 20MW phase, including US$250 million in equity, equally split between the partners.
The facility is expected to have a long-term operational presence in the region and will work with local academic institutions to promote AI research and workforce development in Northern Norway.
“Norway has a proud history of turning clean, renewable energy into industrial value, powering global industries like aluminium and fertiliser,” said Øyvind Eriksen, President & CEO of Aker. “Today, artificial intelligence and advanced data operations represent the next wave of value creation. Northern Norway, with its surplus of clean energy, available capacity, and industrial readiness, is the ideal launchpad for this transformation. With Stargate Norway, we’re creating new jobs, activity, and long-term opportunities in Narvik and the region. For Aker, this is a natural evolution of our industrial platform. As data centres shift from cost centres to value-generating assets, Norway’s energy advantage becomes a catalyst for the next generation of digital industry. We’re proud to help drive this development alongside Nscale, OpenAI, and local stakeholders.”
OpenAI will be an initial offtaker under its “OpenAI for Countries” programme, with an option to scale usage as the facility expands.
“Europe needs more compute to realize the full potential of AI for all Europeans – from developers and researchers to startups and scientists – and we want to help make that happen,” said Sam Altman, CEO of OpenAI. “I’ve always said we’d love to bring Stargate to Europe if the conditions are right, and we think we’ve found that in Narvik with clean, affordable energy, ideal climate, and great partners in Nscale and Aker. Stargate Norway will help provide the compute power to drive the next wave of AI breakthroughs and economic progress for Europe, in Europe.”
The facility will incorporate closed-loop, direct-to-chip liquid cooling for maximum efficiency and plans to recover waste heat for use in nearby low-carbon enterprises.
As customers of OpenAI, Nscale and Aker will gain local access to AI models and services through sovereign infrastructure. Surplus compute capacity is expected to be made available to users across the Nordics, the UK, and Northern Europe.