Debt for Oracle’s Project Jupiter data center in New Mexico has entered stressed territory.
Investors are quoting the $18 billion in loans at 89 to 91 cents on the dollar.
The facility is central to Oracle’s agreement to provide AI computing capacity for OpenAI.
Local and political opposition has delayed the project by at least seven months.
New Mexico officials denied a permit for a critical natural gas pipeline required for the site.
Banks are struggling to sell the debt to wider investors due to these delays and Oracle’s credit profile.