Fermi Shares Jump After Analysts Say OpenAI Is Vetting Power Capacity at Project Matador
A confirmed lease would be the first commercial customer for the Amarillo campus and could materially reduce the financial risk of Fermi’s large buildout.
Overview
- Analyst firm JMP Citizens reported that OpenAI is likely among parties assessing capacity at Project Matador, and the commentary drove a roughly 22–26% one-day rise in Fermi stock; neither Fermi nor OpenAI has confirmed a deal.
- Project Matador is planned as a gas‑fired, behind‑the‑meter power campus that targets about 1.1 gigawatts of new capacity by the end of 2026 and a full buildout near 17 GW.
- Fermi reported a wider Q1 net loss of about $188.7 million and has recently arranged roughly $785 million of equipment financing, including a $500 million facility from MUFG.
- The company has removed CEO Toby Neugebauer and is conducting an external CEO search with Heidrick & Struggles while pushing to sign a near‑term tenant to validate the project.
- A signed lease with OpenAI or another hyperscaler would be the first commercial validation for Matador, likely boosting investor confidence and helping Fermi absorb heavy up‑front infrastructure costs.