Oracle must keep paying Project Jupiter investors even if the site has no power

Oracle has to keep paying the investors behind Project Jupiter even if the data centre campus in New Mexico never receives electricity, the Financial Times reported. Under the agreements that finance the project, the company must continue covering debt costs and cannot terminate the lease.

The force majeure notice Oracle sent on September 24 to Blue Owl Capital's Stack Infrastructure unit does not change that position, according to the report. The filing was triggered by complications with the power infrastructure planned for the site, but the payment obligation stays in place.

Where the money comes from

Blue Owl Capital holds about $3 billion in equity in Project Jupiter, and roughly $18 billion in bank loans finances the rest of the build. Both Oracle and Blue Owl have said the notice does not alter financial commitments or project timelines.

The result is that the debt stays with Oracle either way: the company must service payments whether or not the campus generates revenue, and it cannot walk away from the lease.

A campus designed for 2.45 gigawatts

Project Jupiter covers roughly 1,400 acres in southern New Mexico and is designed to deliver about 2.45 gigawatts of power capacity once fully operational. It is part of Oracle's wider commitment of more than $300 billion to AI infrastructure.

Why the 2028 start is uncertain

Operations were meant to begin in 2028. The force majeure filing signals that the target is now in question, mainly because of complications around natural gas pipeline access needed to fuel Bloom Energy fuel cells at the site. The project has also faced rejected permits and legal challenges over environmental concerns, along with local opposition. Oracle shares fell about 4-5% after the notice became public.