Cipher Mining Inc. (NASDAQ:CIFR) shares surged 15% on Monday after the company revealed a landmark $5.5 billion, 15-year lease agreement with Amazon Web Services (NASDAQ:AMZN) to supply turnkey space and power capacity tailored for AI workloads.
Under the agreement, Cipher will deliver 300 megawatts of capacity in 2026, featuring both air and liquid cooling systems. The rollout will occur in two phases, beginning in July 2026 and completing by the fourth quarter of 2026, with lease payments set to start in August 2026.
Alongside the AWS partnership, Cipher announced the creation of a new joint entity to develop a 1-gigawatt AI-focused site in West Texas, named “Colchis.” Cipher will provide most of the project’s financing, securing roughly 95% equity ownership in the venture.
The company also pointed to its existing 10-year AI hosting agreement with Fluidstack and Google, noting that — together with the AWS deal — its AI hosting contracts now represent approximately $8.5 billion in total lease payments.
For the third quarter of 2025, Cipher reported a net loss of $3 million, or $0.01 per share, alongside adjusted earnings of $41 million, or $0.10 per diluted share.
Cipher has also completed a $1.3 billion convertible note offering and maintains a pipeline of 3.2 gigawatts in site capacity, positioning the company as a major player in meeting surging demand for large-scale AI infrastructure and computing power.