AGP Executive Report

Data Center Buildout: Oracle is considering trucking natural gas to New Mexico’s $165 billion Project Jupiter as pipeline delays threaten its schedule. A construction report says megaprojects are lifting activity even as residential building slows. Local Business: Albuquerque’s Avenue Academy moved into a larger Hoffmantown site, adding nail and makeup programs and room for about 60 more students a year. Oil and Gas: Permian producers, including those in southeastern New Mexico, are reporting more organized oil theft as prices rise. Near the Pecos, separate reporting describes widespread produced-water hauling and suspected illegal dumping, raising contamination concerns. Outdoor Economy: Attorney General Raúl Torrez says the outfitter hunting-license set-aside is unconstitutional, putting a system tied to a multimillion-dollar industry under scrutiny. Fuel Costs: New Mexico diesel averaged $6.09 a gallon for the week ending Oct. 3, while midgrade gasoline averaged $4.84.

Energy: Oil theft is hitting the Permian, including southeastern New Mexico. Nearly half of firms focused on the basin told the Dallas Fed their operations were affected, as rising oil prices draw more organized thieves. Workforce: Hobbs construction and engineering teacher Erik Chavarria won a $75,000 national prize, with $50,000 going to his school program — the first New Mexico recipient in the award’s decade-long history. Tourism: Balloon Fiesta crowds filled all three Sunport parking areas, a sign of heavy travel demand around Albuquerque’s signature event. Technology Investment: New Mexico is partnering with Fujitsu on a quantum research center, while Oracle’s planned $165 billion AI campus faces pipeline delays and is trucking in natural gas to stay on schedule. Agriculture: Hatch chile growers are contending with weather extremes, from drought to flooding.

Workforce and Defense: Sandia National Laboratories is looking to New Mexico colleges to help grow its pipeline for skilled manufacturing jobs. Its electronics apprenticeship includes 8,000 hours of training, reflecting demand for hands-on expertise in the state’s technology, energy and defense sectors. Agriculture: Hatch chile growers are facing drought, diseased plants and flood damage, with crop losses estimated in the millions of dollars. Farmers worry the hit could threaten family operations and the region’s chile supply. Film: New Mexico production spending edged up to $327 million in fiscal 2026, its first annual increase in three years. Las Cruces is building its independent film business with tax incentives, equipment and local crews. Data Centers: A developer has presented a proposed Hachita-area data center to Grant County officials, but says the project remains in feasibility review. The proposal adds to local debate over data centers’ demands on water and power. Small Business: Albuquerque skincare maker LeatherDaddy Skin Co. has opened its first storefront after growing from an online business launched during the pandemic.

Data Centers: Grant County heard an early-stage pitch for a gas-powered data center near Hachita; the developer said only one in 10 projects advances. Oracle’s planned $165 billion New Mexico AI campus also faces pipeline delays, underscoring the challenge of securing power and fuel. Energy: The EPA plans to loosen methane rules for oil and gas producers, announcing the move at a New Mexico industry meeting. Water: Rio Grande flows in New Mexico were about 31% of median this water year, with more than 112 miles drying this summer; state officials warn of worsening shortages. Research & Technology: Sandia researchers used Balloon Fiesta’s drone show to study how large groups of drones behave, while New Mexico announced a quantum research partnership with Fujitsu. Business & Workforce: An Albuquerque firm was chosen to plan the State Fairgrounds’ redevelopment. New Mexico employers in professional, scientific and technical services filed 188 H-1B petitions in 2025, down 29.6% from 2024.

Development: An Albuquerque firm was chosen to prepare a redevelopment plan for the State Fairgrounds, while construction has begun on a middle-income apartment complex near Old Town. Energy & Technology: Oracle’s planned $165 billion New Mexico AI campus faces pipeline delays, and details remain scarce on a proposed Grant County data center. New Mexico also partnered with Fujitsu to establish a quantum computing research center. Pipeline Safety: An explosion in Lea County killed two people, and a separate San Juan County blast caused power outages; reports point to rising pipeline incidents statewide. Land & Agriculture: The Corrales Indigenous Farm Hub has gained permanent protection, and state regulators approved a process for a second community solar application round. Fuel Costs: For the week ending Oct. 3, New Mexico’s reported averages eased to $4.39 per gallon for regular gas and $6.09 for diesel.

Data Center Buildout: Oracle’s proposed $165 billion Project Jupiter campus in Doña Ana County faces pipeline delays; the company is considering trucking in natural gas, a costly workaround. New Mexico’s attorney general has also challenged the pipeline review. Pipeline Safety: Recent blasts in Lea and San Juan counties have heightened concern about the state’s aging gas infrastructure as federal officials consider rolling back oil and gas pollution rules. Construction and Jobs: Albuquerque firm Hartman + Majewski won a contract worth more than $6.4 million to plan the State Fairgrounds redevelopment, which could support about 940 jobs annually; the state expects to choose an anchor developer in December. Energy Research: New Mexico is partnering with Fujitsu to create a quantum computing research center, while state regulators approved another community solar development process. Infrastructure: Sen. Martin Heinrich’s bipartisan permitting bill, aimed at speeding energy and infrastructure projects, has drawn support from labor groups and industry.

Utility Leadership: El Paso Electric named Eli Viamontes its next CEO, effective Nov. 9. He will replace Kelly Tomblin, who is retiring after more than six years. Data Center Power: Oracle is weighing trucked-in natural gas to keep its $165 billion Project Jupiter campus in New Mexico on schedule while a delayed pipeline is rerouted. Energy Risks: Two pipeline explosions in New Mexico—including one in Lea County that killed two people—are under investigation as the EPA plans to roll back federal oil and gas methane rules. Technology Investment: New Mexico and Fujitsu are partnering on a quantum computing research center, adding to the state’s push to attract advanced technology work. Local Development: Luna County commissioners are weighing industrial revenue bonds for two solar-and-storage projects and economic development proposals tied to an agricultural park and growers’ cooperative.

Quantum Investment: New Mexico’s governor announced a deal with a Japanese technology company to create a quantum center, bringing a new technology-sector development to the state. Energy Costs: Sen. Martin Heinrich is backing a bipartisan bill that would require AI data centers to pay for grid upgrades tied to their demand, rather than shifting those costs to households and businesses. Pipeline Safety: Two New Mexico pipeline explosions are under investigation; one in Lea County killed two people, while another in San Juan County caused power outages. Clean Energy: State regulators approved public input on the next community-solar application round, with draft program materials due for approval by Jan. 29, 2027. Local Manufacturing: Albuquerque’s Pajarito Powder has quadrupled fuel-cell catalyst production capacity, positioning the company to support growing demand for fuel-cell vehicles.

Pipeline Safety: Two New Mexico gas pipeline explosions are under investigation. One killed two people in Lea County; the other caused power outages in San Juan County. Oil and Gas: In Santa Fe, EPA Administrator Lee Zeldin announced plans to scrap the methane “super emitter” program and revisit rules for gas produced alongside oil. Advanced Manufacturing: Albuquerque’s Pajarito Powder is scaling fuel-cell catalyst production fourfold, while X-Bow won nearly $70 million to develop an advanced booster for future Navy missiles. New Products: Bloom has launched a preview of its Curv vape hardware in New Mexico, ahead of a planned national rollout in 2027.

Oil and Gas: EPA Administrator Lee Zeldin announced in Santa Fe that the agency plans to roll back Biden-era methane rules, including the Super Emitter Program; details are expected in a formal proposal. County Solar: Luna County and Schneider Electric completed a solar and efficiency project spanning county facilities, expected to cut annual energy use 35% and deliver $3.5 million in guaranteed savings over 25 years. Manufacturing: Albuquerque-based Pajarito Powder has quadrupled fuel-cell catalyst capacity, positioning its plant to support a prospective vehicle supply deal. Medical Isotopes: Eden Radioisotopes’ planned Eunice facility could attract up to $1.4 billion in investment, with state training funds and tax incentives supporting its first phase. Water and Mining: DHS waived New Mexico water laws for border construction, escalating concerns over unpermitted groundwater pumping near farms and ranches. Separately, the Crownpoint uranium project faces state and tribal objections over groundwater safeguards and cleanup costs.

Water and Infrastructure: New Mexico’s state engineer is challenging a federal waiver that would exempt border-wall water wells from state rules. Doña Ana County declared a flood disaster after September storms caused at least $17 million in estimated damage to homes, businesses and farmland. Mining: Most public commenters opposed the proposed Copper Flat mine near Hillsboro, citing water concerns. In Cibola County, commissioners backed in-situ uranium recovery, while a state-land ban on uranium development drew criticism from the Clean Energy Association of New Mexico. Film and Energy: New Mexico’s film office says productions are returning, with more growth expected in 2027. Rural public-building solar grants are also helping lower energy costs, while the state AG says the federal review of the proposed Project Jupiter gas pipeline is inadequate. Industrial Prospects: A New Mexico tungsten project is drawing attention amid a reported global supply gap, though early results are from surface samples and ongoing exploration.

Project Jupiter & permitting: New Mexico AG Raúl Torrez says the FERC review of Energy Transfer’s “Green Chile Project” gas pipeline is “inadequate,” arguing regulators can’t assess the pipeline’s environmental impacts without considering Project Jupiter’s emissions. Data centers & water: Sunland Park’s arsenic-compliant water is getting pricier after rate hikes, while residents also weigh Project Jupiter’s construction water use and lingering trust issues. Flood recovery: Doña Ana County declared a flood disaster after back-to-back “100-year” storms, with early damage estimates at least $17M and cleanup still ongoing. Energy cost relief: Rural governments are seeing average energy-cost cuts of 53% from community solar projects funded by New Mexico’s Local Solar Access Fund. Local governance & zoning: Albuquerque City Council advanced a “Better Neighborhoods” zoning package that removes formal recognition and appeal power from neighborhood coalitions, aiming to reduce red tape. Workforce & health systems: New Mexico’s behavioral health committee approved the last two regional plans (regions 4 and 12), unlocking nearly $13.5M for workforce and housing needs. Food safety: Flowers Foods recalled Nature’s Own Hawaiian Bread in NM and other states due to undeclared milk.

Energy & Utilities: Xcel Energy agreed to sell its Michigan natural gas operations to SEMCO and electric operations to UPPCO, pending regulators, with about 6,000 gas customers and 9,000 electric customers transitioning without immediate billing or service changes. Public Health & Consumer Safety: Utah officials warned of four deaths tied to “high-potency” illegal herbal supplements, including kratom and cat’s claw, which can contain opioid-like compounds. Defense & Manufacturing: The Pentagon picked four directed-energy counter-drone systems for operational pilots, and Boeing will triple PAC-3 MSE seeker production to support a major boost in U.S. interceptor output. New Mexico Cannabis Enforcement: NM regulators opened more than two dozen active criminal cases tied to cannabis and hemp violations, including an unlicensed Torrance County grow found in 21 greenhouses and safety concerns from hemp-derived THC products. Local Business & Food: Flowers Foods recalled Nature’s Own Hawaiian Bread in NM and other states due to undeclared milk allergens. Community & Events: Balloon Fiesta Park hosted chainsaw carvers for their 10th year, while local restaurants stepped in to offer temporary jobs after a fire shut down Tomasita’s ahead of the event. Data Centers & Power Debate: A New Mexico-focused opinion piece argues the state should be planning now for the ripple effects of the data-center boom.

Local Business Expansion: UNM alum Mateo Romero is bringing his Veguita wheat sourdough and pastries to a brick-and-mortar spot in Nob Hill with El Pan Bakery and Farm opening on Central Ave near Solano. Community & Workforce: After a fire forced Tomasita’s to close ahead of Balloon Fiesta, Albuquerque restaurants are hiring temporarily to keep employees working through the busy season. Energy Audits for NM Firms: The U.S. Department of Energy highlighted Arizona State’s student-run Industrial Training and Assessment Center, which has completed 600+ free energy audits and helped manufacturers save more than $1B. Food Safety Recall: Flowers Foods recalled Nature’s Own Hawaiian Bread in Arkansas, Louisiana, New Mexico, Oklahoma and Texas because some packages may not list milk; no illnesses reported. AI, Data Centers & Power Constraints: A national report warns many data center projects could miss completion targets due to labor, equipment, permitting, and especially electricity access. Policy & Oversight: New Mexico Democrats asked the State Ethics Commission to investigate whether Senate Republicans used AI-generated images without required disclaimers under a 2024 misinformation law.

AI Data Centers & Power: Bloom Energy is pitching big savings for AI data centers, claiming its 800-volt fuel cells could cut a 1-gigawatt project’s non-chip build costs by $3.6B, though the numbers are from the company’s own modeling and independent verification is still missing. Regulatory & Permitting: A Senate “permitting reform” deal would shorten how long opponents can sue major energy projects, with critics warning it could weaken environmental and water protections—an issue New Mexico is watching closely as AI power demand grows. Local Energy Transition: The Jicarilla Apache Nation is starting a nine-month geothermal feasibility study with a $2.5M state grant, exploring potential electricity and direct heating options on tribal lands. Real Estate & Growth: A CREDA poll suggests New Mexico’s State Fairgrounds redevelopment—especially entertainment or a sports arena—could spur investment in the International District. Public Health & Community: Radiant Healing Together is supporting more than 2,000 New Mexico women facing breast cancer this year during Breast Cancer Awareness Month. Food Safety: PepsiCo recalled about 122,000 cases of 28-ounce Gatorade in 37 states due to unlabeled yellow food dyes. Safety/Infrastructure: U.S. 60 reopened west of Socorro to cars after flood damage, with restrictions for oversized commercial vehicles.

Statehouse Leadership: New Mexico Senate Democrats picked Sen. Linda Trujillo as majority leader and Sen. Cindy Nava as whip, part of a broader caucus leadership shakeup ahead of the January session. Identity & Fraud: An opinion piece warns synthetic identities and deepfakes are now being used to impersonate people and drain bank accounts, with dark-web data packs reportedly as cheap as $200. Flood Recovery/Infrastructure: NMDOT says U.S. 60 west of Socorro has partially reopened for passenger vehicles after flooding damage, while bridge repairs keep restrictions in place. Energy & Data Centers: Oracle filed a force majeure notice tied to Project Jupiter, New Mexico’s AI data center campus, raising questions for investors even as Bloom Energy says the project remains on track. Local Economy/Tribal Health: A $96 million federal award will fund a replacement Alamo Navajo Health Center in rural Socorro County, targeting care for more than 2,600 tribal residents. Public Safety: Albuquerque police are investigating a fatal crash in Southwest Albuquerque where a driver ran a stop sign, killing the other driver. Community Food Culture: The 9th annual Hatch Chile Roast drew crowds despite rain, with thousands of pounds of Hatch chiles roasted on site.