Oracle Builds Massive AI Data Center Without Using Local Water

Oracle Builds Massive AI Data Center Without Using Local Water

Ondřej Barták
Ondřej Barták
Entrepreneur and Programmer
29. 1. 2026
3 minutes reading
Oracle Builds Massive AI Data Center Without Using Local Water

Oracle has officially confirmed that it will be the tenant of a large-scale data center in Doña Ana County, New Mexico. The project, code-named Jupiter, includes the construction of four data center buildings on a 567-hectare site. The complex will also include microgrid facilities, natural gas power plants, a battery energy storage facility, and a desalination plant.

The project is being developed by Stack and BorderPlex Digital Assets, with a planned total investment of up to $165 billion (approximately CZK 3.8 trillion). Oracle will use the campus for the AI infrastructure of its customer OpenAI.

Oracle announced a significant increase in the projected number of jobs. While initial estimates anticipated 750 permanent jobs and 2,500 jobs during construction, the new forecasts are much more optimistic. Approximately 4,000 jobs will be created during construction, followed by up to 1,500 permanent positions directly on-site or within the county after completion. Oracle plans to work with vocational schools, community colleges, universities, and workforce development organizations to prepare residents for careers in technology.

Massive investment in the local community

According to a study by the New Mexico Economic Development Department, the project's economic impact will be substantial. During construction, it is expected to boost the Doña Ana County economy by approximately $384 million (about CZK 8.8 billion) annually. Once operational, the data center will generate an estimated $113 million (approximately CZK 2.6 billion) in direct economic output annually. The state and county will receive more than $600 million (about CZK 13.8 billion) in gross receipts taxes. In addition, Oracle will provide Doña Ana County with $320 million (roughly CZK 7.4 billion) in direct payments to improve schools, infrastructure, and local services. An additional $50 million (approximately CZK 1.1 billion) will go toward repairing, building, and upgrading the county's water systems. The company will also invest more than $6.9 million (about CZK 159 million) in additional community projects, including a fund for education and local workforce development and $1.5 million (approximately CZK 34.5 million) for the Boys and Girls Club of Las Cruces.

Sustainable resources

Oracle emphasizes that the data center will use a closed-loop, non-evaporative cooling system that will not draw water from the local water system. The water tanks will need to be filled only once. Once all four buildings are completed, daily operational water consumption will come primarily from kitchens, restrooms, and break rooms and will be comparable to that of a typical office building.

The data center will use its own dedicated microgrid operating independently of the public grid, ensuring that there will be no impact on local utility ratepayers. Oracle will pay the campus's energy costs, including financing new transmission lines, battery storage, and a dedicated substation. The microgrid will be powered by gas turbines equipped with state-of-the-art emissions control systems and continuous emissions monitoring. The installed pollution controls will exceed the stringent new U.S. EPA standards issued in January 2026 by 50% or more.

Local residents oppose the project

The project faces criticism from local groups. The Empowerment Congress of Doña Ana County, a nonprofit organization, and two residents have filed a lawsuit against the county commission. They argue that the project does not provide sufficient information and that the commission's decision to approve financing mechanisms and tax incentives was marred by procedural and regulatory irregularities. In early January 2026, BorderPlex launched a program to secure up to 500 MW of renewable energy by 2028 for its New Mexico data center portfolio, increasing to 1 GW by 2032.

Source: bloomberg.com

Category:AI
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