AG backs Project Jupiter permit challenges

AG backs Project Jupiter permit challenges

News ClipAlbuquerque Journal·Santa Teresa, Doña Ana County, NM·9/3/2026

The New Mexico Department of Justice, led by Attorney General Raúl Torrez, has filed responses in court supporting challenges to water and air permits for Project Jupiter, a data center project in Santa Teresa. Torrez argues that state agencies, the Office of the State Engineer and the New Mexico Environment Department, cut corners and neglected public welfare in granting permits for the Oracle and OpenAI facility. Environmental groups allege that due process was violated, particularly regarding an emergency well authorization and an air quality permit for the 2.45-gigawatt, methane-powered fuel cell system.

environmentallegalgovernmentwaterelectricity
OracleOpenAI
Gov: New Mexico Department of Justice, New Mexico Attorney General, Office of the State Engineer, New Mexico Environment Department, Governor Michelle Lujan Grisham, U.S. Representative Melanie Stansbury

New Mexico Attorney General Raúl Torrez has intervened in two emergency petitions before the state Supreme Court, backing challenges to water and air permits issued for Project Jupiter, a large-scale data center project by Oracle and OpenAI in Santa Teresa, New Mexico. The state's Department of Justice alleges that the Office of the State Engineer (OSE) and the New Mexico Environment Department (NMED) bypassed due process and public welfare considerations to fast-track permits for the 1,400-acre development.

Torrez specifically argued that the OSE exceeded its authority by granting an emergency authorization for a water well used during construction, failing to assess the impact on public welfare or water conservation, despite the application coming from Santa Teresa Capital, which holds an existing water right. Critics, including Colin Cox of the Center for Biological Diversity, contend the OSE's actions were a blatant error in handing over "precious fresh water" to Project Jupiter. The well has already pumped over 100 million gallons of groundwater, sparking concern amid an ongoing lack of public hearings on over 30 protests.

The Attorney General also supported a challenge by New Energy Economy against the NMED's handling of an air quality permit for Yucca Growth Infrastructure, essential for the project's 2.45-gigawatt methane-powered fuel cell system built by Bloom Energy. This system is projected to emit over 10 million tons of greenhouse gases annually. New Energy Economy, led by Mariel Nanasi, asserted that a compressed prehearing schedule, altered following a meeting between Governor Michelle Lujan Grisham and Oracle representatives, denied the public a meaningful opportunity for review and testimony. Both the OSE and NMED have defended their procedures, with NMED arguing against judicial intervention in its permitting process.