Developer withdraws plans to build northern Ontario AI data centre over public opposition
Developer withdraws plans to build northern Ontario AI data centre over public opposition
https://www.cbc.ca/news/canada/sudbury/ai-data-centre-withdrawn-armour-township-9.7239102
Publish Date: 2026-06-18 06:00:00
Source Domain: www.cbc.ca
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A developer has withdrawn its plans to build a two-megawatt artificial intelligence (AI) data centre in Armour Township, Ont., due to public opposition to the project.
In a letter to the town council on June 1, Almaguin Data said because it didn’t own the land in the industrial park for the proposed project, it would have had little recourse in the face of public opposition over environmental concerns.
“Where a developer owns the land, Ontario’s planning system provides established recourse if approvals are unreasonably refused or delayed — most notably through the Ontario Land Tribunal,” the letter said.
“Without ownership, that recourse is unavailable to us, meaning every dollar spent on studies is at risk if approvals do not materialize.”
In an earlier presentation to the town council, Almaguin Data founder Matthew Fuller said the project would have initially employed four employees, with the potential for between 10 and 12 workers as it expanded.
The company’s plan, he said, was to invest between $15 and $20 million over up to five years to expand the facility to a 10-megawatt data centre. It would have occupied an area of around three hectares.
Concerns over water usage
Opposition to the proposed data centre has focused on environmental concerns.
Jordan Gorlick, of South River, Ont., says she opposed a proposed AI data centre over environmental concerns. (Submitted by Jordan Gorlick)
When Jordan Gorlick, of nearby South River, Ont., learned about the project, she started to raise awareness on social media about her concerns.
“So many people come up here because it is cottage country,” she told CBC News.
Gorlick said she was especially worried about the amount of water the facility would have used.
In its withdrawal letter, the company…
