Oracle Reportedly Cited ‘Force Majeure’ To Delay Payments For a Data Center. Its Stocks If Falling.

Oracle shares are plunging on Thursday following a report claiming it cited "force majeure" to protect itself from higher expenses in the construction of a data center in New Mexico, according to a new report. The company's stock fell almost 5.5% at 9:46 a.m. ET.

Bloomberg detailed that Oracle sent the project's developer the notice. While it claims the building of "Project Jupiter" is going according to schedule, the company is seeking to avoid higher expenses if it doesn't come online in 2028 as currently projected.

"Project Jupiter remains on our planned schedule," a company spokesperson told CNBC. "We are fully committed to New Mexico and confident in our path forward." Blue Owl Capital, which is developing the project, said the notice "does not change the financial commitments to this multi-year project."

The project has been hit by regulatory setbacks as opposition to data centers grows in the U.S. Projects worth $68 billion have been disrupted in the country in the second quarter of the year, according to a new document.

Research group Data Center Watch released a report claiming that, overall, 45 projects worth $68 billion were blocked or delayed.

"Communities nationwide imposed data center development moratoriums, often preemptively before developers expressed interest or filed permit applications," the group added. It told Bloomberg that about 30 statehouses have introduced rules related to the matter.

In this context, the House last week passed a bill seeking to shield consumers from some costs associated with the proliferation of data center across the country.

The Ratepayer Protection Act got 417 votes in favor and only 3 against. It requires state utility regulators to consider rules so that those building data centers cover some of the costs of new power generation.

It also determines that, before any upgrade to the grid is made, "an electric utility shall require the large-load customer provide to the electric utility financial assurances or contributions to cover the cost of such upgrade."

However, the bill is stalled in the Senate. Republican Sen. Jon Husted, sponsor of the Ratepayer Protection Act, requested unanimous consent for the bill in the Senate Committee on Energy and Natural Resources to vote it without a roll call.

Texas has also announced a halt to all permits being sought by data centers until an audit is completed to ensure the reliability of the state's energy grid.

Gov. Greg Abbott said the Electric Reliability Council of Texas (ERCOT) is assessing how many data centers plan to connect to the state's energy grid. Also, the Public Utility Commission of Texas (PUCT) is examining the potential impact of data centers on the state's water supply.

"Simply put, Texans must come first," Abbott said. "Data centers must pay their own way, protect our grid and water, and complete the ERCOT and TWDB audits. Until they do, (regulators) will issue no permits sought by data center projects."