Oracle invokes force majeure clause for New Mexico AI data center

The notice, first reported by Bloomberg, targets developer Blue Owl Capital. Although such legal maneuvers often signal an intent to withdraw, Oracle maintains it is not seeking to exit the project. Instead, the filing creates a contingency for the 2.45-gigawatt campus, which relies heavily on a complex energy delivery chain. Oracle spokesperson confirmed the company remains fully committed to the site, while Blue Owl asserted that the notice does not alter existing financial commitments for the multi-year initiative.

Project Jupiter faces significant logistical hurdles, primarily centered on securing a reliable power source. The facility is designed to operate on Bloom Energy fuel cells, but the required gas supply remains in limbo. An Energy Transfer pipeline meant to feed the site has slipped nearly six months to February 2027 following repeated regulatory permit denials. Furthermore, the state environment department is currently weighing an air-quality permit for the fuel cell system, with a decision expected by November 23.

As a flagship site of the Stargate initiative—backed by Oracle, OpenAI, and SoftBank—the campus has become a lightning rod for local opposition. Environmental groups and residents have mobilized against the project, turning it into a political focal point ahead of midterm elections. Oracle has launched a public outreach campaign in New Mexico to mitigate local friction, even as it maneuvers to protect itself from the mounting risks of the site’s infrastructure timeline.