A federal judge in Mississippi has denied a motion by SpaceXAI to dismiss a lawsuit brought by the NAACP. The legal action concerns the operation of gas-fired combustion turbines at the Colossus Gas Plant in Southaven, Mississippi, which powers the company's AI data center in Memphis.
The lawsuit alleges that the facility operates without necessary federal permits and pollution controls required under the Clean Air Act. The complaint targets between 27 and 69 natural gas turbines. Plaintiffs claim potential annual emissions of 1,700 to 5,000 tons of nitrogen oxides, alongside particulate matter and formaldehyde.
The NAACP filed the suit on April 14, 2026, seeking a court order to change turbine operations and civil penalties of up to $124,426 per day for each violation. Earlier in October 2026, the court permitted the Environmental Protection Agency to intervene and rejected a Justice Department attempt to dismiss the case.
The Mississippi Department of Environmental Quality previously classified the turbines as temporary or mobile units, exempting them from certain permits, a classification the NAACP is challenging. SpaceXAI must now defend its operations on the merits, facing potential financial penalties and operational constraints.
