Oracle Corp. invoked a force‑majeure clause as a precautionary step for its massive Project Jupiter data‑center campus in southern New Mexico. The development, estimated at $165 billion, is designed for a 2.45 gigawatt power capacity and targets a 2028 launch. The facility will rely on solid‑oxide fuel cells supplied by Bloom Energy to generate electricity with minimal water use.
The trigger for the clause is the delayed "Green Chile Project," a 17‑mile natural‑gas pipeline operated by Energy Transfer. The pipeline, required to fuel Bloom Energy’s cells, has encountered repeated right‑of‑way permit denials from the New Mexico State Land Office, pushing its expected completion from August 2026 to February 2027.
Oracle maintains that the overall project timeline remains unchanged, stating that Project Jupiter stays on schedule. KeyBanc analyst Jackson Ader highlighted that Oracle’s cash position is more fragile than those of larger hyperscalers and warned that payment schedules may not align with actual revenue generation.
The market reacted sharply: Oracle shares fell roughly 4%, closing at $144.56, a 3.1% decline. Related equities also slipped, with Blue Owl Capital down about 4% and Bloom Energy dropping around 6%.
Project Jupiter forms part of a broader AI‑infrastructure push dubbed "Stargate," involving partners such as Stack Infrastructure, SoftBank Group and OpenAI. However, the immediate operational hurdle centers on the pipeline and power‑supply challenges.
