Executive Opportunity
Frontier Arbitrage—trading Texas speed for Montana's 0.9% Class 17 tax rate and 97% carbon-free hydro power.
Property Tax
0.9%
Carbon-Free
97%
Power Availability by City
Current Usage vs Available Capacity (MW)
Development Phase Progression
Revenue & Returns by Phase (100 MW Total)
Frontier Arbitrage Strategy
GlacierScale represents a "Frontier Arbitrage" strategy. While San Antonio offers a safe, mature ecosystem, Kalispell offers a radical reduction in long-term Operational Expenditures (OpEx) through thermodynamic and fiscal advantages, provided the developer can navigate significant barrier-to-entry risks.
The "Green Electron" Arbitrage
Unlike Texas, where "green" often means buying offsets (RECs) for a gas-heavy grid, Kalispell offers direct access to ~97% carbon-free power via Flathead Electric Cooperative (FEC) and the Bonneville Power Administration (BPA) hydro system. No need to purchase additional RECs to claim carbon neutrality.
The "Thermal" Arbitrage
Relocating from ASHRAE Climate Zone 2A (San Antonio) to Zone 6B (Kalispell) eliminates mechanical cooling requirements for ~98% of the year, reducing total facility energy overhead by 15-20%. This translates to a target PUE of 1.10-1.15.
The "Fiscal" Arbitrage
Montana's lack of statewide sales tax (0%) vs. Texas's ~8.25% creates immediate CapEx savings on server refreshes (every 3-5 years), which often exceeds the value of property tax incentives over the project lifecycle. Property tax is fixed at 0.9% under Class 17 classification.
Critical Friction
This is not a speed-to-market play. You are trading the speed of Texas for the margin of Montana. The primary constraints are the "Seismic Tax" (Category D structural hardening requiring 10-15% construction premium) and the "Hydrological Lock" (water rights adjudication in the Legislative Aquifer Monitoring Area).
Project Positioning
GlacierScale is positioned as a boutique, high-efficiency AI training campus rather than a gigawatt-scale facility. The Flathead Valley is constrained by BPA transmission capacity into the Buckley substation, making this a precision play for maximum OpEx efficiency.