K. Sokolov Archive

Tag: Pelagos Data Centres

  • Pelagos Data Centre: Built on Water

    June 11, 2026

    The Gibraltar Government announced its largest ambitious infrastructure project in history on 4 September 2025. Pelagos Data Centres, backed by the local government, unveiled plans for a 250MW off-grid data centre campus near the Port of Gibraltar. The North Mole Industrial Park — a multi-unit commercial and parking complex on North Mole Road in the Westside area — is the proposed location. The project is scheduled in five phases, with the first expected in late 2027. That first phase could deliver anywhere from 1MW to an unspecified higher capacity. The developer claims the facility will feature both liquid and air cooling systems and will be powered independently from Gibraltar’s grid using a mix of renewable energy and liquefied natural gas (LNG). A public leisure facility is also planned on-site. What makes the project unusual is not what it promises, but where and how. Let us examine the land plot location.

    UPP Renders: Pictures First, Questions Later

    London-based UPP Architects + Town Planners, led by former Foster + Partners architect Miguel Muñoz, produced pre-concept renders of the data centre and public facilities in late 2025. They were presented by Konstantin Sokolov to the Chief Minister, The Hon Fabian Picardo KC MP. The images show three constructions — a promenade, a lower building, and the data centre building itself — all on marine columns built over the water, with a new promenade running along the Waterport Terrace residential complex. High-resolution pictures are available on the government’s website.

    Memorial Address Location

    The business address of the data centre is listed as Neil Piñero Rd, GX11 1AA, Gibraltar. Neil Piñero Road was formerly known as Emerson’s Place. The name changed in 2020. The road was renamed after Neil Piñero, a 30-year-old customs officer who died at this location in October 2017. He suffered a heart attack while on active duty. Natural causes. But he died at his post. That matters in Gibraltar.

    The memorial was unveiled on 3 November 2020 . The ceremony was small. Attending were Piñero’s parents, his sisters, and the Chief Minister, the Hon Fabian Picardo . The Chief Minister described the afternoon as “difficult” and “emotional”. He noted that it was “particularly difficult for the family to return to the spot where their son died while on duty that night” .

    A memorial plaque now stands on the roadside, closer to the sea. The Customs training centre was also renamed in his honour.

    Source: Your Gibraltar TV / Facebook November 3, 2020

    Looking for the Land Plot, not on the Rock but on the Sea

    Our team reviewed the UPP drawings and the existing territory of North Mole Industrial Park. We could not find 20,000 square metres of available land at the North Mole territory free of existing constructions. We searched the Town Planning website and found no published information about demolitions of existing buildings.

    The proposed construction site is physically enclosed between:

    1. the Waterport Terraces residential complex;
    2. freight and logistics unit (Units 1, North Mole, Gibraltar, GX11 1AA)
    3. freight and logistics unit (Units 3, North Mole, Gibraltar, GX11 1AA)
    4. freight and logistics unit (Units 5, North Mole, Gibraltar, GX11 1AA)
    5. freight and logistics unit (Units 6, North Mole, Gibraltar, GX11 1AA)
    6. the North Mole Power Station – Gibraltar’s main power plant,
    7. runway of Gibraltar International Airport (Note: Aircraft can approach and land from both directions (from either the east over the Mediterranean Sea or the west over the Bay of Gibraltar), depending entirely on the prevailing wind conditions).

    Based on publicly available maps, published renders, and the absence of announced demolitions, we could not identify sufficient existing land to support the stated 20,000 sq m plot.

    Our team, based on the renderings and site constraints, estimates that the total marine-adjacent area is approximately 16,000 square metres, including the promenade and all buildings. The actual data centre footprint is closer to 9,000 square metres. The distance to the airport glide path would be reduced by approximately 34 metres, bringing it to less than 100 metres from both the glide path and the runway’s obstacle limitation surfaces.

    Gibraltar’s Town Planning: 2009 Rules in a 2025 World

    Gibraltar’s 2009 Development Plan is the main legal document governing all construction on the territory. Every project requires planning permission from the Development & Planning Commission. However, the system allows for individual, case-by-case decisions — especially for large developments with government backing. Political support can unlock approvals, even when the formal plan is outdated or silent.

    Gibraltar’s Town Planning Department, working with consultants from Lichfields UK, is currently reviewing the existing 2009 Development Plan. A new version was promised for 2025, but it has not yet appeared. For now, the territory continues to operate under the 2009 rules. What will the new plan include? It is supposed to set out the vision, objectives, and strategic policies for Gibraltar over the next 10 to 15 years, covering housing, transport, health, economic strategy, and climate change mitigation.

    These policies will provide developers with clear design principles and define the government’s expectations for new development in the Northern District area — including tall buildings, when proposed. Crucially, the current draft does not include the North Mole Industrial Park zone, though some changes may be possible.

    Naturally, there is no information about the Pelagos project on the Government Development Projects website. Nothing at all.

    Conclusion: Seven Findings

    Our team has carefully reviewed the UPP design and the location of existing buildings, and reached the following conclusions:

    1. We could not find a 20,000 square metre land plot within the North Mole Industrial Park for the data centre.
    2. We found no information about the demolition or removal of existing structures at North Mole Industrial Park.
    3. The Neil Piñero Memorial is located within the area examined in this review of the proposed development site.
    4. The published renders suggest that significant parts of the project would be located on reclaimed land or marine-supported structures.
    5. The total sea-side area is approximately 16,000 square metres at most, including the promenade and data centre buildings. The distance to the airport glide path is reduced by at least 35 metres.
    6. Our estimate of the actual data centre building footprint on the water is approximately 9,000 square metres.
    7. The facility is to be built in immediate proximity to the North Mole Power Plant.

  • Gibraltar Parliament, 14 January 2026 (Morning Session): Pelagos Data Centre Scrutiny

    June 03, 2026

    Gibraltar’s opposition used a parliamentary session on 14 January 2026 to press the Government for details on the proposed Pelagos Data Centres project – a 250 MW facility touted as a £1.8bn private investment. The exchange, part of the morning’s questions to the Minister for Inward Investment, revealed significant gaps in formal agreements and raised doubts about the project’s energy strategy.

    Gibraltar Parliament House

    No signed agreements

    Responding to a question from Opposition Leader Dr K Azopardi (Q809), Minister Sir J J Bossano confirmed that no memorandum of understanding, development licence or building lease has been signed with Pelagos. “There is not yet a formal agreement regarding the proposed site,” the minister said.

    Azopardi retorted: “So no buildings, no development licence, not even an MoU? On what basis was the big announcement made?”

    Bossano insisted the announcement came from the company, not the Government, and described the project as “the biggest inward investment in all the time I have been in this Parliament.”

    Electricity: off‑grid but source undisclosed

    On the critical question of power (Q810), Bossano stated that the data centre will not draw electricity from Gibraltar’s own grid because the existing power station “is not big enough to supply the energy they require. There will be no energy left for anybody else.”

    He confirmed that a new external electricity supply will be brought in, but refused to give details, citing security concerns:

    “We do not necessarily want to advertise how exactly we are going to bring it here for the benefit of others who might then try to stop it reaching us.”

    At the same time, the minister hinted at a broader benefit: “The intention is that the delivery of electricity would be sufficient to supply Gibraltar as well as the data centre and therefore produce an alternative and less expensive source of electricity for us.”

    No financial aid from Government

    Bossano repeatedly emphasised that the project will receive no direct financial assistance from the public purse. “The project will not be receiving any financial assistance from Government,” he said. His role, he explained, is to help the investor navigate regulatory and technical hurdles, not to write cheques.

    Vague answers on environment, water and height

    On environmental impact (Q797), water type and volume (Q798‑799), and the final height of the building, the minister said the project is still being adjusted. “There has already been a reduction in height,” he noted, adding that once the final design is ready, “whatever the law requires to be done will be done.”

    He declined to commit to public consultations, quipping that neighbours always oppose new towers once they already live in one.

    Regarding water, Bossano admitted he did not know whether the data centre would use fresh or seawater, though he mentioned that using heated seawater for cooling could later make desalination cheaper. “I do not know, and I have not asked them,” he said.

    Investment figure and local economic benefit

    Opposition MP D J Bossino challenged the Government on how the £1.8bn investment figure is justified (Q808). Sir J J Bossano replied that a large part of that sum represents equipment manufactured outside Gibraltar – meaning much of the spending will not flow through the local economy. Projected tax revenues (PAYE and corporation tax) were described as “totally speculative”.

    Outcome

    Parliamentary analysis of the proposed Pelagos Data Centre project following the session on 14 January 2026. A total of 12 questions were tabled specifically for oral answer regarding the project, including six by MP C Sacarello regarding environmental issues.

    Three structural takeaways emerge from the record:

    1. Infrastructure Isolation: The project will not be supported by Gibraltar’s existing water supply or electrical grid. The developer is solely responsible for sourcing these resources independently from external providers.
    2. Regulatory and Visual Adjustments: The project remains subject to standard planning and environmental controls. To mitigate local objections regarding visual impact and potential opposition from nearby residents, plans are being adjusted to reduce the overall height of the building (“making it lower”).
    3. Absence of Commitments, Site Vagueness, and Timeline Transparency: There are currently no signed agreements, leases, or financial subsidies connecting the Government of Gibraltar to the project. When directly questioned by MP D J Bossino regarding the precise location of the facility, Minister Bossano failed to provide a specific address, stating that there is not yet any formal agreement regarding the proposed site. Despite the developer’s commitment to provide key technical data in the first quarter of 2026, no updated information on the project’s timetable or those submissions has been published as the second quarter draws to a close – neither on the Gibraltar Parliament website nor on any other official public platform.

    Caveat: statements reflect January 2026

    All quotes and assertions above are taken from the official parliamentary record of the morning session on 14 January 2026. Readers should bear in mind that the project may have evolved since then, and that the Government and Pelagos have since promised more detailed information in the first half of 2026.

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