Gibraltar, 4th September 2025 – A major data centre that will deliver up to 250 megawatts (MW) of capacity by 2033 is to be built in Gibraltar by Pelagos Data Centres.

Announced today at a launch event at the offices of the Chief Minister of Gibraltar, The Hon Fabian Picardo KC MP, the state-of-the-art facility is expected to attract investment of approximately £1.8 billion. The project will be built in five phases on a 20,000m² site near the Port of Gibraltar. It is the largest current development project in the territory by value and among the largest in Gibraltar’s history.

Funded entirely by private investment and backed by HM Government of Gibraltar, the Pelagos Data Centres Project represents a transformative step for the territory’s digital and economic landscape. It will also contribute to Europe’s growing demand for data centre capacity, positioning Gibraltar as a significant new node in Europe’s digital infrastructure serving the needs of both the UK and continental Europe.

The first stage of the project is scheduled to become operational in late 2027, with subsequent phases following at roughly 18-month intervals. The data centre will be powered independently of Gibraltar’s existing grid and will include a public leisure facility for the local community.

Mr Konstantin Sokolov, Chairman of Pelagos Data Centres, said:

“The scale of this project marks a new chapter for Gibraltar and for Europe’s digital capabilities. Just as electricity and the internet transformed society in the past, AI is now emerging as the defining technology of our time with the power to redefine entire industries, economies, and communities. With our new facility, Pelagos Data Centres is laying the foundation for the next era of AI-driven innovation, positioning Gibraltar as a strategic hub and enabling Europe’s brightest minds to unlock the full potential of this revolutionary technology.”

Chief Minister, The Hon Fabian Picardo KC MP, said:

“I am delighted that Pelagos Data Centres have decided that Gibraltar is the place to establish their first facility and that the whole community will benefit from their massive investment and its huge economic impact. I look forward to this project becoming a reality as soon as possible.”

Mr Christian J.A. Ryan, President for Gibraltar Operations, added:

“As a proud Gibraltarian, I’m honoured to help drive the Pelagos Data Centres Project forward. Expected to attract approximately £1.8 billion in investment, this project will enhance Gibraltar’s economy by creating jobs and supporting local businesses. It will also deliver new vibrant public spaces and amenities for both residents and visitors. With National Day just days away, the announcement of this project is a moment of celebration and pride. This project is for all Gibraltarians, marking our emergence as pioneers in the industries of the future.”

The economic benefit to Gibraltar is expected to be substantial, with up to 500 jobs created during construction and around 100 permanent positions once operational. The project will also stimulate demand for local services, support the growth of Gibraltar’s digital and technology sectors, and enhance the territory’s attractiveness for international business and investment.

The facility will be built to Tier III standards (Uptime Institute), ensuring high availability and reliability. It will be carrier-neutral, serve both public and private clients, and pursue leading international certifications for information security, quality management, environmental sustainability, and energy management. The project aims to achieve a Power Usage Effectiveness (PUE) of 1.2 or better.

Sustainability is central to the project. The facilities will be powered by renewables and LNG, with a goal of achieving net-zero operational emissions by 2030. Advanced air and liquid cooling systems will minimise water use, and options are being explored to repurpose heat from the data centre for community projects in Gibraltar.

Sir Joe Bossano, Minister for Economic Development and Inward Investment, said:

“This is the most significant infrastructure investment in Gibraltar since the early 1990s, when the GSLP Government brought state-of-the-art telecommunications from the United States and created a centre for online services. Then, we future-proofed Gibraltar’s economy. Today, we are doing so again.

The technology of the future – on which every advanced economy will depend – will be Artificial Intelligence. AI requires data, processing power, and energy resources on a scale never before seen. The Ministry for Economic Development will put all its resources at the service of this initiative to ensure it is delivered in the shortest possible time. In this field, speed of delivery is everything. Gibraltar should be the fastest jurisdiction on the planet when it comes to delivery.”

Also present at the launch event were Mr James Levy KC and Mr Tony Provasoli, senior partners at Hassans International Law Firm.

A further technical briefing and press conference will be held in Q1 2026, ahead of construction.

Media Contacts:

• pressoffice@gibraltar.gov.gi

• press@pelagosdata.com

About Pelagos Data Centres
Pelagos Data Centres combines advanced engineering, modular scalability and environmental responsibility to meet the demands of today’s rapidly evolving digital landscape. With offices in London and Gibraltar, it currently employs around 50 staff.