sa国际传媒官网网页入口

The technology giant behind an enormous data center under construction in southern New Mexico announced this week it would contribute to assessing and capping abandoned oil and natural gas wells in the state.

Oracle, which is developing the data center known as Project Jupiter in Santa Teresa to build computing capacity for OpenAI, will work with the Well Done Foundation, a Montana-based nonprofit that has plugged more than 117 wells in several states since its founding in 2019. It has worked in New Mexico鈥檚 Permian and San Juan basins. 

Oracle said it would pay for the assessment of 10 鈥渙rphaned鈥� wells, or wells that are inactive and left unsealed, abandoned by their operators as they deteriorate, potentially emitting methane and other gases into the air; and for plugging and surface restoration of the top two polluting wells.

Additionally, Oracle said it would support two local scholarships to train specialists for projects undertaken by the Well Done Foundation.

The estimated total grant was not disclosed publicly.

The data center project has been controversial since the concept became public last year, with questions over the project鈥檚 transparency and its environmental costs to air quality and groundwater stirring opposition and lawsuits. The builders have committed to making payments to local schools and community projects, including local water infrastructure, as part of a $165 billion industrial revenue bond agreement with Do帽a Ana County.

鈥淥racle is committed to making a real difference in the communities where we operate,鈥� Oracle鈥檚 global head of social impact, Colleen Cassity, stated in a news release. 鈥淏y partnering with WDF, we are addressing environmental risks, empowering local communities, and providing a healthier, more sustainable future for New Mexicans. This initiative reflects Oracle鈥檚 broader dedication to social responsibility and our deep respect for the people and natural resources of New Mexico.鈥�

鈥淎s we started to talk with the Oracle team about impact-driven contributions, it became clear that they were interested in being able to have their fingerprints on some really meaningful projects,鈥� Well Done founder Curtis Shuck said in an interview.

Shuck had worked in the oil industry most of his life, starting in 1982 on the north slope of Alaska, yet he said he had not seen 鈥� or smelled 鈥� uncapped abandoned wells up close until a 2019 visit to the Kevin-Sunburst Oilfield in Bozeman, Montana. By then he was involved in economic development and supply chain logistics. In his early career, he said he had worked in younger oil fields and had witnessed general compliance with environmental regulations. What he saw in Bozeman made him change course.

鈥淢y initial reaction wasn't as much about 鈥極h my God, the world is ending,鈥� because of all the gas escaping and the mess at the surface. It was really this embarrassment as an industry professional,鈥� he said.

The foundation鈥檚 website states the average cost of plugging an orphan well 鈥� filling the whole cavity with concrete to seal it and prevent leaking 鈥� is approximately $65,000, but Shuck said actual project costs vary widely based on location and depth of the well. The foundation also undertakes to restore damaged land at the sites.

A presented last summer estimated the cost of plugging wells in New Mexico at $43.85 per foot in 2024. Capital & Main, a California-based online publication,  that New Mexico鈥檚 Oil Conservation Division was paying contractors as much as $165,000 to plug wells abandoned by their operators in 2025.

Those costs are presumably rising under the same economic conditions that have driven up the costs of fuel, transportation, supplies and construction materials.

New Mexico, the second-largest producer of crude oil in the United States, has an estimated 60,000 oil and gas wells. While the OCD reports that most wells are properly remediated, the state could be left with up to $1.6 billion in costs.

Time is also critical. Emissions from the country鈥檚 orphaned wells are comparable to that of 2 million gas-powered automobiles annually, by federal estimates, and in rare cases methane leaks lead to explosions. But reclaiming those sites could take a decade or longer, the OCD reported.

鈥淚t鈥檚 all hands on deck,鈥� Shuck said of the scale and urgency of the challenge. 鈥淭hese creative collaborations that we bring to the table are a really important model for tackling this problem going forward.鈥�

Algernon 顿鈥橝尘尘补蝉蝉补 is the Journal鈥檚 southern New Mexico correspondent. He can be reached at adammassa@abqjournal.com.