Image: Argentina Government
OpenAI and Sur Energy plan a $25B, 500-MW AI data center in Patagonia under Argentina’s RIGI, with leaders touting Stargate Argentina as a regional milestone.
OpenAI, the creator of ChatGPT, is partnering with Argentina’s Sur Energy on a massive data center project that is expected to transform the country’s technology landscape.
The Argentine government announced the “Stargate Argentina” initiative, which will involve an investment of up to $25 billion and feature a 500-megawatt facility dedicated to advanced AI computing. President Javier Milei hosted representatives from OpenAI and executives from Sur Energy at the Casa Rosada, where the plan was officially unveiled.
According to a statement posted by President Milei on X, the Stargate Argentina project is “a pioneering Artificial Intelligence infrastructure project that will position Argentina at the forefront of the global artificial intelligence ecosystem.”
The government confirmed that OpenAI and Sur Energy have signed a Letter of Intent to collaborate on the project, which will be structured under the RIGI (Incentive Regime for Large Investments) — a program designed to attract large-scale international investments.
The Argentinian government said on X that the project could become “one of the largest technology and energy infrastructure initiatives in Argentina’s history.”
The data center will be located in Patagonia, a region known for its vast open land and renewable energy potential. While the exact construction timeline has not been disclosed, local reports suggest work could begin next year, with an initial 100MW phase expected around 2027.
OpenAI CEO Sam Altman confirmed the plans in a social media post, describing the project as a milestone for the region.
“We are proud to announce plans to launch Stargate Argentina, an exciting new infrastructure project in partnership with one of the country’s leading energy companies, Sur Energy,” Altman said.
He added that this will be the first Stargate project in Latin America, calling the region “full of talent, creativity and ambition.”
The Stargate Argentina project is the latest in a series of global infrastructure moves by OpenAI, which has already launched similar projects in the US, UAE, and Norway. It also comes amid Argentina’s broader effort to attract foreign capital and establish itself as a regional hub for innovation.
The company, now valued at $500 billion following a recent secondary share sale, is racing to meet the growing demand for computing power to support its AI models like ChatGPT and Sora.
If fully realized, the Stargate Argentina project would represent not only a technological leap but also an economic boost for Argentina, potentially creating thousands of jobs and accelerating the nation’s digital transformation.
In addition to building data centers, OpenAI is focused on creating AI-powered devices that promise to make us not only more efficient but also more fulfilled.
Aminu Abdullahi is a B2C and B2B technology and finance writer with more than six years of experience covering enterprise IT, cybersecurity, cloud computing, artificial intelligence, fintech, business software, and emerging technologies. His work has appeared in publications including TechRepublic, eWEEK, Channel Insider, Geekflare, Enterprise Networking Planet, eSecurity Planet, CIO Insight, and Webopedia. With a technical background in computer science, he specializes in translating complex technology topics into clear, accessible content for business leaders and decision-makers.
