US natural-gas infrastructure giant Williams (NYSE: WMB) has signed a $5.34 billion agreement led by Blackstone Credit & Insurance, in partnership with Apollo and insurance vehicles managed by KKR, to bankroll its first five behind-the-meter Power Innovation projects — Socrates, Apollo, Aquila, Socrates the Younger and Neo — aimed squarely at the AI data-center buildout.
How The 51/49 Structure Works
Under the terms disclosed on July 13, Blackstone and its partners commit $5.34 billion — about $4.4 billion representing 49% of expected total growth capex, plus roughly $0.9 billion of additional consideration to Williams — for a 49% noncontrolling equity interest across the five projects. Williams keeps 51% ownership and full commercial and operational control, with a buyout right between years 7 and 14 valued at Blackstone's outstanding investment balance. Distributions align with the 51/49 split, and any distributions above Blackstone's targeted return reduce its investment balance, essentially a promote structure that lets Williams keep upside on the assets.
2.6 GW Announced, 6+ GW Backlog
Williams says the five projects are part of a Power Innovation portfolio that already tops 2.6 GW announced, sitting inside a backlog of more than 6 GW. "Williams is a leader in meeting the country's rapidly growing power demands, including providing critical hard assets to serve the AI infrastructure buildout," said Robert Horn, Global Head of Infrastructure & Asset-Based Credit at Blackstone. President and CEO Chad Zamarin said the JV enhances returns on the current portfolio while freeing Williams to redeploy capital into new high-return projects.
Behind-The-Meter Becomes The AI Power Play
Behind-the-meter projects supply electricity directly to large customers instead of routing through the public grid, letting hyperscalers dodge years-long interconnection queues. The deal drops days after Meta unveiled its 5 GW Hyperion AI data campus in Louisiana and continues a pattern of private-credit giants — EDF's Sizewell B extension is the UK counterpart — piling into the hard assets that AI now depends on. Citi advised Williams; Morgan Stanley advised Blackstone. Williams reiterated 2026 Adjusted EBITDA in the upper half of its $8.05–$8.35 billion range.
Reporting based on Williams, Business Wire and Blackstone press coverage.