Shares of TeraWulf Inc. (WULF) climbed Monday after Kentucky regulators gave the green light to a major power agreement for the company's Justified Data Campus. The Kentucky Public Service Commission approved up to 482 megawatts of electric service for the site in Hancock County, with the Aug. 21 order allowing Big Rivers Electric Corp. and Kenergy Corp. to implement the deal.

Here's the interesting part: TeraWulf isn't just plugging in and hoping for the best. Under the agreement, the company will pay the market, transmission, and delivery costs tied to its power use. It will also fund customer-specific infrastructure and provide substantial credit support. The commission said the deal protects existing utility customers and that the rates are fair, without giving TeraWulf an unreasonable advantage. The agreement also includes extra demand charges and customer fees, which will provide additional revenue to Big Rivers and Kenergy.

What makes this project particularly neat is the location. TeraWulf is developing the campus at the former Century Aluminum Hawesville facility. When that aluminum smelter closed, it left behind about 482 megawatts of available transmission capacity. Reusing that infrastructure could help TeraWulf bring the data center online more efficiently. The campus will support artificial intelligence and high-performance computing workloads.

This isn't a small undertaking. TeraWulf expects to invest about $4 billion to $4.5 billion in site development and its initial data halls. That estimate excludes spending by customers on computing equipment and related infrastructure. The commission also cited the project's expected employment, investment, and tax benefits. TeraWulf said the development could offer a model for expanding digital infrastructure while protecting utility customers.

Now, let's talk about the stock's technical picture, because it's a bit of a mixed bag. TeraWulf's broader trend remains weak. The stock traded 6.8% below its 20-day simple moving average, 23.4% below its 50-day average, and 25.9% below its 100-day average. It also remained 11.1% below the 200-day moving average. The 20-day average sitting below the 50-day average signals continued bearish pressure.

But there's a glimmer of hope. The moving average convergence divergence (MACD) indicator was above its signal line, and the histogram was positive. That suggests sellers may be losing control. Traders are watching resistance near $17.50, which is close to the 200-day simple moving average of $17.75 and the 200-day exponential moving average of $17.64. Support sits near $14.50.

Over the past year, TeraWulf shares have gained 76.48%. However, the stock remains well below its 52-week high of $29.84. At the time of publication on Monday, TeraWulf shares were up 1.69% at $15.90.

So, what's the takeaway? TeraWulf is making real progress on a massive project, and the regulatory approval removes a significant hurdle. The technicals are still shaky, but the momentum indicators hint that the worst might be over. For now, it's a story of long-term potential meeting short-term caution.