# Oracle Issues Force Majeure for New Mexico AI Data Center

Oracle has issued a force majeure notice for Project Jupiter, a key AI data center under the Stargate initiative in New Mexico, citing delays in natural gas pipeline construction and pending air-quality permits as critical challenges. This notice allows Oracle to delay payments if the project misses its 2028 operational target due to these infrastructure and regulatory hurdles. The situation underscores the complexities of large-scale AI infrastructure procurement, particularly regarding energy supply and environmental compliance.

- Procurement professionals should anticipate potential schedule shifts and contract adjustments related to infrastructure dependencies in AI data center projects.
- Contractors and developers involved in energy and environmental permitting may see increased demand as agencies and vendors navigate these challenges.
- This development highlights the importance of integrating utility infrastructure timelines and regulatory approvals into procurement risk assessments for AI and data center projects.
- Organizations planning similar AI infrastructure should evaluate contingency provisions and force majeure clauses to mitigate risks from external infrastructure delays.

**Jurisdictions:** sled
**Industries:** Information Technology
**Topics:** Physical Infrastructure
**Published:** September 25, 2026

### Government Entities
- New Mexico Authorities

### Vendors
- Oracle (prime contractor)
- Blue Owl Capital (developer)
- Energy Transfer (pipeline developer)

### Sources
- [Oracle Issues Force Majeure Notice Over New Mexico Stargate Data Center — Konsulteer](https://www.konsulteer.com/article/oracle-issues-force-majeure-notice-over-new-mexico-stargate-data-center) - konsulteer.com