Fermi Inc. (Nasdaq:FRMI)(LSE:FRMI), doing business as Fermi America, entered into a credit support agreement with AMD on October 13, 2026, backing the lease for the initial phase of its Project Matador energy and AI development in Carson County, Texas.

The agreement supports a phase one lease of 222 megawatts (MW) of gross power capacity, matching Fermi's first customer lease announced on August 10, 2026.

The company characterized the arrangement as a key milestone in its path toward securing project financing.

Expansion Framework Reaches Beyond the Initial Lease

Alongside the credit support agreement, the two companies signed a separate document establishing a partnership and framework for future expansion of up to 650 MW of gross power capacity.

Fermi Chief Executive Officer Lee McIntire said the strategic partnership sets out the structure for the second and third phases of the project.

He pointed to the company's existing assets, stating that Fermi has the land, the permits, the water, the power equipment, and the fiber network that provide distinct performance advantages.

McIntire added that the company's focus is on building out its planned campus with top-tier partners such as AMD.

AMD Points to Surging Infrastructure Demand

For AMD, Mathew Hein, Senior Vice President and Chief Strategy Officer of Corporate Development, framed the deal against the broader market backdrop, saying the pace of AI innovation is generating unprecedented demand for compute and the large-scale data center infrastructure that supports it.

Hein described the collaboration with Fermi as an important step in expanding the infrastructure capacity needed to bring next-generation AI solutions to market.

He said the two companies are enabling customers to deploy AMD-powered AI infrastructure at scale, supporting AMD's continued data center momentum.

Project Matador's Scale and Design

Project Matador is being developed by Fermi America in the Texas Panhandle as one of the world's largest advanced energy and AI ecosystems.

The land for the site is secured or held under long-term lease, and more than USD 1.5 billion has been invested in the buildout to date.

The company designed the project to supply large-scale, reliable power on a timeline that meets customer demand, delivering that power behind the meter over a private grid built and operated on site.

Subject to entering into binding customer agreements, the project is expected to ramp to approximately 17 GW, with capital deployment matched to commercial commitments.

The planned behind-the-meter campus is expected to combine what Fermi describes as the nation's biggest combined-cycle natural gas project with one of the largest clean, new nuclear power complexes in America, along with utility grid power, solar power, and battery energy storage.

This mix is intended to serve hyperscale AI and advanced computing workloads.

Risk Disclosures Accompany the Announcement

The announcement includes forward-looking statements made under the Private Securities Litigation Reform Act of 1995, with the company cautioning that actual results could differ materially from those expressed or implied.

Among the risks cited are the satisfaction of conditions to AMD's obligations under the agreement and to the closing of the TensorWave lease, as well as Fermi's ability to obtain project financing on acceptable terms or at all.

Construction, equipment, supply chain, and permitting risks are also noted, among others described in Fermi's filings with the Securities and Exchange Commission.

The company stated it undertakes no obligation to update forward-looking statements except as required by law.