Bloomberg says Oracle sent Project Jupiter’s developer a force-majeure notice over a delayed gas pipeline, seeking to defer rent if its New Mexico AI campus misses its 2028 deadline. The developer must agree the event qualifies; Oracle says the project remains on schedule.
Oracle would still owe certain fees and other payments even if the developer accepts the force-majeure claim. The $18 billion in Project Jupiter financing was in “stressed” territory; the Financial Times reported loans had fallen to around 89–91 cents on the dollar as of last Friday. A recent Albuquerque Journal poll found 65% opposed to data center construction in New Mexico, and the state land office blocked both gas-supply plans.
Oracle Cloud Infrastructure sales rose 121% to $7.4 billion last quarter, and remaining performance obligations reached $664 billion. Free cash flow was negative by $5.4 billion. Oracle had $125 billion in long-term debt, excluding the Jupiter project financing and $288 billion in data-center lease commitments that had not yet started.
