It’s been a banner year for oil and gas companies, with record profits buoyed by soaring oil prices. But now, they’re turning their eyes to an unlikely new frontier: powering data centers.

Demand for natural gas is expected to rise sharply as tech giants build massive power plants behind the meter – potentially increasing US production by 36% by mid-2030s, according to BloombergNEF.

Two American oil and gas companies, Williams and Chevron, are expanding their infrastructure to serve data centers, even as executives claim they’re operating “well below permitted limits” on emissions.

The climate implications are stark: five of the seven data-center-connected gas-fired power plants could emit up to 21 million tons of greenhouse gases per year – that’s roughly equivalent to Guatemala’s annual emissions.

While Williams and Chevron see a profitable future in powering tech titans, environmentalists warn it's a lifeline for an industry that should be phased out.