The unique demands and power density ofAI factories require new approaches to cooling and power delivery
In sum, what to know:
Purpose-built AI cooling deployed – BASX developed a custom, zero-water chiller system for Applied Digital’s Polaris Forge 1 data center in North Dakota, optimized for cold climates and liquid-cooled GPUs.
Three-mode cooling design – The system operates in full free, partial free or full mechanical modes, adjusting dynamically to ambient temperatures without compromising performance.
No water, high efficiency – Designed for AI workloads up to 30x denser than traditional data centers, the BASX solution cuts water use entirely and boosts cooling efficiency for sustainable operations.
BASX, a subsidiary of AAON and a specialist in customized cooling solutions for mission-critical environments, has partnered with Applied Digital to deliver thermal systems for an advanced AI data center campus.
The collaboration centers on Applied Digital’s Polaris Forge 1 facility in Ellendale, North Dakota, built to support high-density workloads and liquid-cooled Nvidia GPUs.
The Polaris Forge 1 deployment features a three-mode cooling system designed to operate without consuming water:
-Full free cooling, which uses only pumps and fans to reject the IT heat load;
-Partial free cooling, which relies on ambient air as much as possible and uses mechanical cooling only when needed;
-Full mechanical cooling, which provides full direct expansion (DX) capacity during peak external temperatures.
The firm noted that this flexible configuration allows the AI data center to optimize energy efficiency year-round without relying on water-based cooling, a growing priority in regions with water-use concerns.
Todd Gale, chief development officer at Applied Digital, said: “We presented a challenge to BASX to develop a highly efficient chiller to leverage North Dakota’s climate conditions and the demands presented by liquid-cooled servers.”
BASX co-founder and AAON CEO Matt Tobolski, added: “From the onset, this was about more than delivering standard HVAC (…) Applied Digital brought us a clear challenge, and we responded with a system engineered from the ground up to meet it.”
BASX explained that the unique demands of AI factories like Polaris Forge 1—supporting 15 to 30 times the power density of traditional data centers—require new approaches to cooling and power delivery. According to Applied Digital, conventional systems cannot scale to meet the extreme thermal loads of today’s AI workloads, particularly those using direct-to-chip liquid cooling.
As AI adoption accelerates, demand for high-efficiency cooling solutions continues to grow, said BASX, adding that higher return fluid temperatures enabled by direct-to-chip cooling allow more heat to be rejected directly to ambient air, even in warmer conditions. This system demonstrates a scalable approach to thermal management — designed for operators who prioritize innovation, efficiency, and long-term sustainability, the firm added.
Last month, Applied Digital entered into two approximately 15-year lease agreements with AI hyperscaler CoreWeave. Under the lease agreements, Applied Digital will deliver 250 megawatts of critical IT load to host CoreWeave’s AI and high-performance computing (HPC) infrastructure at its Ellendale data center campus.
CoreWeave also retains the option to access an additional 150 MW of critical IT load at Ellendale.
Applied Digital said it expects the first 100 MW data center for CoreWeave to be ready for service in the fourth quarter of 2025. The second building, which is expected to house a 150 MW data center, is currently under construction and is expected to be ready for service by mid-2026.
Applied Digital’s Ellendale campus is designed to host 400 MW of critical IT load. Ellendale has over 1 gigawatts of power capacity currently under various stages of load study, allowing the campus to expand its power capacity to support additional AI and HPC data center infrastructure development.
