German energy company RWE is close to signing two data center development deals.

The news was revealed in the company’s Q2 earnings call, with CEO Markus Krebber declining to elaborate further.

“We are further advancing the development of data center sites,” he said. “Two sites are nearing agreement over the next month.”

Krebber said that exact details would be revealed upon the agreements’ signing, but indicated that the deals would likely be the first of many.

“We now see the need to build what I like to call operational data centers in Europe, not to train the models, but which you need to have close to your customers to solve the latency problems,” he said. “They are coming, and big time. It’s just a question of time. So we do one step after another, we don’t want to rush into it.”

“We own ​30 sites with good electricity infrastructure. That is a ​real asset. They are ​suitable not only for new ‌gas-fired ⁠power plants or batteries, but also for data centers,” he added.

Krebber also indicated that there were more Power Purchase Agreements (PPAs) in the pipeline with data center offtakers. “I see the demand coming, especially from the tech companies. The moment they decide to build a data center, they typically procure green power for it,” he said.

On general power demand, Krebber said that demand is growing in both Europe and the US, with demand from data centers a major factor.

To meet the rising demand, the company said that it plans total net investments of €42 billion ($48.4bn) from 2026 to 2031 across renewables, flexible generation and regulated grid infrastructure. It also said that it expects to bring online more than 3GW of gas generation capacity in the US by 2035, and has already secured up to 10GW of capacity there.

RWE also said that it had selected two of its former nuclear sites in Gundremmingen and Biblis as fusion energy hubs by the German Federal Ministry, one for magnetic, one for laser fusion technology.

RWE has a long-standing relationship with the data center market. It has signed PPAs with all the major hyperscalers, including Meta, AWS, and Google.

It has also tapped AWS to provide it with cloud and AI services.