BLM fast-tracks ‘Green Chile’ pipeline construction review for N.M. data center Project Jupiter

BLM fast-tracks ‘Green Chile’ pipeline construction review for N.M. data center Project Jupiter

News ClipThe Tri-City Record·NM·5/8/2026

The Bureau of Land Management fast-tracked a pipeline permit for the Project Jupiter data center in New Mexico, using emergency powers. However, environmental groups and state regulators are challenging the project due to incomplete applications and a denial of construction rights on state land. The pipeline is crucial for supplying natural gas to the data center's power plants.

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Gov: Bureau of Land Management, BLM Las Cruces district office, U.S. Department of Interior, New Mexico State Land Office, Federal Energy Regulatory Commission, New Mexico State Historic Preservation Office, New Mexico environmental regulators
The Bureau of Land Management (BLM) Las Cruces district office has fast-tracked the "Green Chile Project" pipeline, granting expedited permission for a 16-mile segment on New Mexico public lands. This pipeline, proposed by Dallas-based Energy Transfer's Transwestern Pipeline Company, is intended to supply 400 million cubic feet of natural gas daily from El Paso to power plants for the controversial "Project Jupiter" data center. The BLM utilized emergency permitting powers adopted by the U.S. Department of Interior in 2025, reducing a year-long federal environmental review to just 14 days. However, the project faces significant hurdles. The New Mexico State Land Office previously denied rights for construction on state trust land. Additionally, the project still requires approval from the Federal Energy Regulatory Commission (FERC), which is reviewing an application filed by Transwestern in January. Several New Mexico environmental groups, along with FERC staff, filed formal challenges against the project in April, citing an incomplete application and requiring Transwestern to submit a missing review from the New Mexico State Historic Preservation Office within 30 days. Transwestern and Project Jupiter customer Oracle Corporation have urged FERC to extend this 30-day deadline, emphasizing the urgency to complete pipeline construction by August. Attorneys representing opposing groups like the Sierra Club and the Center for Biological Diversity contend that FERC has no procedure for such an extension, necessitating a lengthier review process. Furthermore, New Mexico environmental regulators have yet to approve Project Jupiter's updated power generation plans, which now include fuel cells in addition to gas pipelines, adding further uncertainty to the project's necessity.