An ambitious plan by famed investor Kevin O’Leary to build the “world’s largest” artificial intelligence data center in northern Alberta is facing opposition from a First Nation in the region.
In December, O’Leary Ventures announced plans to build Wonder Valley, a $70 billion data center in the Greenview municipal district near Grande Prairie.
The project has been widely praised, including by Alberta Premier Danielle Smith.
Its location would place it on traditional territory of the Sturgeon Lake Cree Nation.
“Our people have been working and living on this territory for millennia, so it is concerning when we have the government and Mr. O’Leary talking about big plans and there is no mention of First Nations consultation,” Chief Sheldon said Sunshine to CBC News. .
O’Leary has described the project as transformative for the local and provincial economy, with the potential to create thousands of jobs and make Alberta a global leader in AI infrastructure.
His company has emphasized Alberta’s advantages for such a large-scale operation, citing its proximity to a nearby city, abundant natural gas, cool temperatures and available space for infrastructure.
He The data center would be powered by a combination of off-grid natural gas and geothermal energy sources. The first phase of development would cost $2 billion and generate 1.4 gigawatts of power, with additional phases planned to increase capacity.
However, for the Sturgeon Lake Cree Nation, the development is seen as an infringement on treaty rights.
In an open letter to the premier of Alberta, Sunshine expressed “grave concern” about the proposal and reminded Smith that the province is bound by its obligations under Treaty 8.
Sunshine accused the province of working with O’Leary “behind closed doors and to the exclusion of our Nation, for massive development in our traditional territory.”
“This coordination is even more worrying given the Prime Minister’s and Mr O’Leary’s favorable statements towards [president-elect Donald] Trump following his threats to annex Canada,” he said in the letter.
He said the First Nation’s opposition focuses on the environmental risks posed by building such a large-scale data facility in an ecologically sensitive area.
First Nations members trap in the area, rely on Smoky River water and use the area “to pursue our way of life, which has been systematically eroded by the unmitigated cumulative effects of the provincial government’s industrial development authorizations.” in our territory.” Sol wrote.
LISTEN | First Nations Chief on Kevin O’Leary’s proposal:
Edmonton AM6:50Alberta First Nation concerned about Wonder Valley proposal
Famed investor Kevin O’Leary wants to build the world’s largest artificial intelligence data center in the Greenview medical district in northwestern Alberta. Sheldon Sunshine, chief of the Sturgeon Lake Cree Nation, is concerned about what O’Leary calls Wonder Valley.
In a statement, the Alberta government told CBC News it is committed to appropriate consultation with First Nations in the later stages of the project. The statement cited the economic benefits Wonder Valley would bring to the area.
“The Alberta government understands how important it is for the Sturgeon Lake Cree Nation to exercise traditional Treaty rights and uses now and in the future,” said Jonathan Gauthier, press secretary for Minister of Technology and Innovation Nate Glubish.
“Environment and Protected Areas issued a preliminary certificate that will allow a license to be issued under the Water Law in the future, provided that several mandatory conditions are met,” Gauthier said in the statement.
“These conditions include appropriate consultation with First Nations.”
The Alberta Public Utilities Commission said the electricity generation aspects of the scale proposed for Wonder Valley would require AUC approval before the generation facilities could be built or operated. The commission has not received an application related to the proposed development, he said.
The Municipal District of Greenview told CBC that early developer engagement has begun, well in advance of any consultation needed in the future.
“The CEO of Greenview looks forward to the outcomes of any current and future consultations and sincerely hopes that all parties involved in the proposed development can come together for the benefit of everyone in the region,” he said in a statement.
The first days, says the energy economist
Andrew Leach, an energy and environmental economist at the University of Alberta, said while consultation with the First Nation would have been ideal, it is not expected at this stage as there is still a long way to go for a project of that magnitude.
“At this point, it certainly cannot be considered to have impacted any treaty rights that would trigger the duty to consult,” Leach said in an interview.
“If they went ahead and gave a building permit or put significant government funding behind its construction without consulting, that’s where you’re running into conflict.”
Meanwhile, Sunshine said the Sturgeon Lake Cree Nation wants more transparency from all parties involved.
“We are not opposed to business,” he said.
“As long as it’s done sustainably and our resources are not impacted. We want to be part of the solution, and I think First Nations people can be part of the solution.”
