Oracle has issued a force majeure notice to the developer behind Project Jupiter, a major Stargate data center facility in New Mexico. This legal move, reported by Bloomberg on September 24, 2026, allows Oracle to delay contractual payments if the campus fails to launch by its scheduled 2028 deadline. Importantly, Oracle is not attempting to withdraw as the primary tenant of the data center, which is designed to support large-scale AI and cloud computing demands.

The facility faces ongoing challenges related to its energy infrastructure, a key factor in its timeline. Project Jupiter plans to produce 2.45 gigawatts of power using gas-powered fuel cells supplied by Bloom Energy. However, setbacks include regulatory delays for a critical gas pipeline, originally planned by Energy Transfer, which has been pushed back to early 2027 after permit denials and rerouting. Additionally, an air-quality permit for the fuel cell system powering the center remains under review, with a decision expected by November 23.

Project Jupiter stands as a flagship project within Oracle’s Stargate initiative, which was announced alongside OpenAI and SoftBank during Donald Trump’s second presidential term. While it is aimed at bolstering AI infrastructure, the project has drawn opposition from local residents and environmentalists, fueling political tensions ahead of upcoming elections in New Mexico. Oracle has responded with outreach efforts to address and mitigate local criticism.

Both Oracle and Blue Owl Capital, whose unit is involved in the project, emphasize ongoing commitment despite the force majeure notice. Oracle communicated confidence in maintaining the planned schedule, while Blue Owl stated that the notice does not alter their financial backing for this long-term endeavor. The notice highlights the complexities of meeting infrastructure needs amid growing national scrutiny on AI data center construction and energy supply logistics.