Tailem Bend AI factory construction may start this year, Firmus says

Exclusive: The company has provided more information about its plans, including an indicative timeline, ahead of community drop-in sessions this weekend.

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Tailem Bend AI factory construction may start this year, Firmus says
If approved, Firmus hopes to start building its proposed AI factory at Tailem Bend by the end of 2026, R&D director Jonathan Levee says. Images: Firmus, LinkedIn.

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The formal assessment process for a planned AI factory at Tailem Bend will begin next month, the company behind the proposal has revealed.

Firmus held a webinar about its multi-billion-dollar plans for the town on Wednesday night, and will host a series of drop-in sessions this Saturday, as part of an effort to inform community members about the proposal.

As locals heard at a public meeting last month, Firmus’ proposed AI factory on Westbrook Road – a term the company described as more accurate than “data centre” – would bring hundreds of jobs to the region, both during construction and ongoing operations.

It would also consume a significant amount of energy, which would be drawn from newly built solar and wind farms and batteries around the nation; but would save water by using a closed-loop cooling system.

That information was already in the public realm; what locals were given for the first time on Wednesday night was a timeline.

Firmus had already acquired the land it needed for the project and had started on the technical studies it would need to gain approval to go ahead and build, research and development director Jonathan Levee said.

The company planned to file a formal development application at the end of September.

That would trigger a formal public consultation process, then assessment by the state government and a final decision from Planning Minister Nick Champion.

If approved, the project would be built in two phases.

Major construction would occur “towards the end of this year and middle of next year”, creating 500 construction jobs.

Two of a proposed eight “data halls”, with a capacity of 320 megawatts, would be brought online during that first phase, creating the equivalent of 120 full-time jobs.

The remaining six data halls, with a capacity of 900MW, would be fitted out in the second half of 2027 and come online in 2028, creating the equivalent of another 380 full-time jobs.

The actual number of people employed at the facility would likely be higher, as some jobs would be part-time.

This Firmus facility in Melbourne is already operational. Photo: Firmus.

Asked about the likelihood that the project would actually go ahead, head of construction Andrew Buls said that depended entirely on whether the government granted its approval.

“It’s going ahead for us,” he said.

“We wouldn’t be investing the time in this (planning and engagement) process if we weren’t serious.

“We’ll start as soon as we get approval.”

Locals ask their questions

Half a dozen Firmus staffers presented information and answered questions during Wednesday night’s webinar.

Mr Levee spoke about the company’s intention to support the community with a grant program, sponsorships, infrastructure upgrades and education – it would need dozens of engineers, and hoped to train some of them locally.

He and others responded to some locals’ concerns, including:

  • Waste water: No waste water would be dumped locally or released into the River Murray; Firmus would source PG25, a water and coolant mix, from a reputable source, and would engage a contractor such as Cleanaway or Veolia to dispose of it appropriately when needed
  • Noise: With acoustic dampening in place, the noise from the facility was likely to be similar to that from Firmus’ Tasmanian AI factory, which generated an estimated 30 decibels at a range of 1-2 kilometres – “extremely minimal, comparable to rustling leaves … when the computers are running as hard as they can, on a hot day, with the backup generators on”
  • Power: Firmus would not look to purchase power from Vena Energy’s Tailem Bend solar farm following the collapse of Zen Energy, the main customer for that facility; its policy was to underwrite new generation and leave the grid better off, not to prop up existing facilities
  • Native vegetation: There was some at the site, but Firmus would build around it

The company’s representatives invited locals to come and ask more questions at a series of drop-in sessions to be held at Tailem Bend Town Hall this Saturday from 9.30am-1.45pm, or to fill in an online survey.

Firmus would also produce and publish a “what we heard” report after the current round of community engagement, they said.

Disclosure: Firmus advertised the drop-in sessions with Murray Bridge News.

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