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Oracle issues force majeure notice for New Mexico Stargate data center

Oracle has sent a force majeure notice to the developer of Project Jupiter, a Stargate data center campus in New Mexico, according to reports from Bloomberg. A force majeure clause is a contractual provision that excuses a party from its obligations when extraordinary events beyond its control occur.

Sources indicate that Oracle is not attempting to exit its role as the campus's main tenant. Instead, the notice serves to allow the company to delay payments if the facility fails to meet its scheduled target to come online in 2028.

The notice follows several setbacks at the site, primarily related to energy supply. The 2.45-gigawatt campus is designed to run on gas-powered fuel cells from Bloom Energy, but an Energy Transfer pipeline intended to deliver gas to the site has been delayed until February 1, 2027, following regulatory permit denials. Additionally, an air-quality permit for the fuel cell system remains pending, with a state decision expected by November 23.

Oracle stated to CNBC that it does not expect a delay and remains "fully committed to New Mexico," asserting that Project Jupiter is still on schedule. Blue Owl Capital, the unit that received the notice, stated that the action does not change its financial commitments to the multi-year project.

Project Jupiter is a flagship site of Stargate, an AI infrastructure initiative announced by Oracle, OpenAI, and SoftBank. The project has faced local opposition from residents and environmental groups, turning the campus into a political focal point in the state.

Sources

  1. Oracle sends force majeure notice on its New Mexico Stargate data center (TechCrunch AI, 2026-09-24)