xAI Secures Approval for 15 Natural Gas Generators at Memphis Data Center

Gas turbines are visible at an xAI data center on Riverport Rd in Memphis, TN on April 25, 2025. Gas turbines are visible at an xAI data center on Riverport Rd in Memphis, TN on April 25, 2025.

xAI just got permits to run 15 natural gas turbines at its Memphis data center. The Shelby County Health Department approved the move despite threats of a lawsuit.

The company was already running up to 35 turbines without permits, according to the Southern Environmental Law Center (SELC). Those turbines can generate 421 megawatts total. SELC plans to sue xAI for Clean Air Act violations on behalf of the NAACP.

The permit covers 15 Solar SMT-130 generators with emissions controls, capable of 247 megawatts. SELC says 8 of the same turbines were already on without permits, but had pollution controls in place.

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The permit lets xAI emit big amounts of pollution yearly: 87 tons of smog-forming NOx, 94 tons of carbon monoxide, 85 tons of VOCs, 73 tons of particulate matter, and nearly 14 tons of hazardous air pollutants including 9.8 tons of formaldehyde, a known carcinogen. The company must keep emissions logs.

A Memphis community group funded a $250,000 independent air quality study ahead of the permit. The city did its own testing in June, but SELC flagged issues: no ozone tested, wind blowing pollution away from monitors, and equipment placed too close to buildings.

Before this, the health department said it couldn’t permit “mobile” turbines running less than 364 days, claiming the EPA was in charge. SELC called that “incorrect” and without legal basis.

xAI recently raised $10 billion split evenly between debt and equity, backing its expanding data center operations.

For the permit details and more context, check the Shelby County Health Department’s announcement.

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