Kevin O’Leary-backed Utah data center project seeks new water right
Murray Hollow L.C. has submitted a new application to transfer 11 acre-feet of water annually for the Kevin O’Leary-backed Stratos data center project in Box Elder County, Utah. This follows a larger application from Bar H Ranch that was pulled due to thousands of protests. The new application is also drawing opposition from residents and a state senator concerned about Utah's drought and the Great Salt Lake.
Murray Hollow L.C. has filed a change application with the Utah Division of Water Rights to transfer approximately 11 acre-feet of water per year to the Stratos data center project in Box Elder County's Hansel Valley. The water, historically used for domestic and livestock purposes, is sought for industrial use, specifically for a 7.5-gigawatt natural gas power plant and its associated data center's closed-loop cooling system.
This new, smaller request follows an earlier application from Bar H Ranch for 1,900 acre-feet, which was withdrawn after attracting nearly 4,000 protests. Bar H Ranch has indicated plans to refile its request later. The current Murray Hollow application, though smaller, has already received around 30 protest letters, with the official protest period just beginning. Opponents, including Utah Sen. Nate Blouin (D-Millcreek), cite severe concerns about Utah's ongoing drought and the dwindling Great Salt Lake, which they argue impacts air quality and public health.
Kevin O’Leary, a celebrity investor backing the Stratos project, has previously dismissed opponents as paid actors. State lawmakers recently passed House Bill 60, a new policy that restricts the state engineer from considering protest concerns related to issues handled by other state agencies, such as air quality and wildlife, when deciding on water rights applications. The state engineer's office also confirmed that decisions are not based on the sheer quantity of protests received.