
Hundreds of Utahns file to block Kevin O’Leary’s proposed massive data center campus over water concerns
News ClipCache Valley Daily·Box Elder County, UT·5/8/2026
Hundreds of Utahns have filed protests with the Utah Division of Water Rights to block the proposed Stratos data center campus in Box Elder County, backed by Kevin O'Leary and developed by West GenCo. Concerns primarily revolve around the project's potential impact on already strained water supplies, particularly the Great Salt Lake, and its substantial energy demands. The project's developers, however, claim the facility will use water efficiently and generate its own power.
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Gov: Box Elder County Commission, Utah Division of Water Rights, Military Installation Development Authority, Gov. Spencer Cox, Utah Legislature, Environmental Protection Agency, State Engineer
A proposed massive data center campus, the Stratos project in Box Elder County, Utah, is facing significant backlash from nearly 400 Utahns who have filed protests with the Utah Division of Water Rights. Backed by celebrity investor Kevin O’Leary and developed by West GenCo, the project has ignited widespread concerns over its potential to deplete water supplies and strain energy resources.
Protestors, including Monika Norwid of Salt Lake City and Stephanie Higginbotham from Provo, argue that the data center's water demands could devastate the Great Salt Lake, contradicting state and federal efforts to restore it. The developers plan to purchase 3,000 acre-feet of on-site water rights and potentially 10,000 acre-feet near Snowville, with an initial application to transfer 1,900 acre-feet from the Bar H Ranch for irrigation to the data center's cooling and a natural gas power station. Austin Pritchett, co-founder of West GenCo, and Hilary Venable, MIDA project area director for Falcon Hill, contend the facility will use "closed-loop cooling systems," minimizing water consumption to that of a large office campus. However, the water rights application indicates significant use for a natural gas station and server cooling. Gov. Spencer Cox has previously downplayed data centers as major water users, but protestors remain unconvinced, citing studies on other large data centers.
Beyond water, the project's massive energy requirements are a key concern. The first phase alone is projected to need 3 gigawatts of power, almost matching Utah's current statewide average, eventually reaching 9 gigawatts at full build-out. Developers plan to generate power on-site using natural gas from the Ruby Pipeline, leveraging a new state policy (SB 132) that allows large energy users to build private generating stations. Climate scientist Logan Mitchell of Utah Clean Energy expressed doubts, warning of increased natural gas prices, greenhouse gas emissions, and the risk of stranded assets due to climate change, despite the project falling outside a nonattainment zone.
This widespread opposition comes as state lawmakers passed HB 60, which limits the Utah Division of Water Rights' ability to consider environmental and wildlife concerns in water right applications, further complicating the public's efforts to block the project.