Q1 business case·Executive summary·Investment memorandum·Confidential · 2026

Q1 in one page: 800 MW of sovereign compute, starting now.

The investment case in brief — the thesis, the ask, the returns, the risks and the decision. Built to Queensland Treasury's BCDF and assured against the Gateway Review Process. Read the SBC → PBC → DBC for the full five-case evidence.

The thesis

Sovereign AI requires firmed, in-region power and heat rejection — not silicon; silicon is buyable. Australia's regulated workloads run on foreign-owned compute under widening legal exposure, and demand is structurally short while frontier labs rent ~US$26B/yr of third-party compute. Q1 energises a behind-the-meter GPU pilot on a Queensland-government energy precinct with firm power, a battery, a cooling reservoir and a 1.2 GW connection already in place — then scales on the same connection.

~A$116MStage-1 raise (all-equity worst case)

~$50M / ~$41Mrevenue / EBITDA, stabilised

~2.4 yrsimple payback · ~27% pre-tax IRR

800 MWprogram envelope (pilot = ~2 MW)

The ask & use of funds

A ~A$116M Stage-1 commitment — natural shape: a smaller equity first close (~$55M) to close CleanCo / Powerlink terms and long-lead items, then GPU vendor finance (~$61M) against the resaleable asset. GPUs ~69% of capital; fit-out ~16%; connection + working capital + team ~7%; contingency ~9%.

Why it wins — the moat

AU ownership at the entity level — no foreign legal nexus; CLOUD Act / FISA 702 / EO 12333 do not reach.
Own demand and supply — the AloomU switch aggregates tenant traffic into one buy; the cluster is the floor under every vendor negotiation.
Cryptographic attestation as the product — every workload emits a signed proof rooted at AloomU's own root key.
Firmed sovereign megawatts — the cheapest in the country, with an auditable renewable path; electricity <3% of revenue.

Commercial traction

QGOV runs production workloads on AloomU today (QChat, QGCS); QWork is the named offtake channel, integration live; Logan City Council live; UQ / QUT in conversation. Offtake structured as tenancies over firmed-MW blocks, QWork as Tenancy 01. The independence-proof milestone: a non-QGOV regulated Customer #2 within 12 months of pilot operation.

Top risks & mitigation

Risk	Mitigation
Offtake not yet contracted	Anchor tenancy is a Gate-3 condition precedent — capital does not commit without it
GPU price & supply	Supply agreement with delivery teeth; ~69% of capital is a resaleable asset
Utilisation ramp	Gate-built staircase — Phase-1 capital not committed until pilot utilisation proves

Full quantified register + heat-map in the DBC.

Assurance & the decision

The business case is structured to QT's BCDF and mapped to the Gateway gates. The strategic need (Gate 0) and preferred option (Gate 1) are addressed; the detailed five-case (Gate 2) is live; the investment decision (Gate 3) opens on a green conditions-precedent register, under independent model-audit and engineer review. Readiness detail: Assurance & readiness.

Decision sought: indicative commitment to the Stage-1 round, subject to the conditions precedent and confirmatory due diligence. See the CP register →

Talk to us about the round → Detailed Business Case Pitch deck (PDF)