Australia Eyes $40 Billion AI Data Center Powered by Fracked Gas
Australia is considering building a massive AI data center powered by natural gas in a remote area near Darwin. The proposed development, estimated to cost $40 billion Australian dollars ($28 billion USD), would be one of the largest hyperscale computing campuses in the world.
The center could require up to 2 GW of electricity, exceeding the region's current peak demand and sparking concerns about gas dependence and power consumption. The project's developer, Beetaloo Energy, plans to extract gas from the Beetaloo Basin through hydraulic fracturing (fracking) and transport it to the site via a new pipeline.
While the company promises that the data center would feed excess electricity into Darwin's grid, potentially lowering prices for households, critics are raising alarms about the project's environmental impact and reliance on fossil fuels. Environmental groups have called for a moratorium on data center projects in the territory, citing concerns about energy demand and gas extraction.
The proposed development is still in its early stages, with Beetaloo Energy seeking investment and government approvals before construction can begin. The company estimates that the project could create hundreds of jobs and attract significant investment, but many questions remain unanswered, including how much renewable energy would be incorporated into the data center's operations.