Oracle's Project Jupiter Faces Power Supply Hurdles Despite On-Track Status
Oracle's massive data center project near Santa Teresa, New Mexico, remains on track despite concerns over power supply issues. The company has sent a force majeure notice to the developer, Stack Infrastructure, citing potential delays in meeting contractual obligations. According to Bloomberg, Oracle could delay some rent payments for up to three years if the data center's power supply is not ready on time.
The project's power generation system faces several hurdles, including an unresolved air permit for a 2.45-gigawatt fuel-cell power plant and a new natural gas pipeline. A public hearing on the permit was set to begin this month but was put on hold due to lawsuits filed by opponents of the project.
Transwestern Pipeline, a subsidiary of Energy Transfer, has pushed back its expected in-service date for the Green Chile pipeline from last month to February. The company is working with federal regulators and other stakeholders to overcome state denials of their permit requests.