New Mexico's Green Horizon: Solar Projects Power Labs and Big Tech

SAN JUAN COUNTY, NM – May 26, 2026 – In the high desert landscape of northwestern New Mexico, a region long defined by fossil fuels, a new energy era has officially broken ground. Renewable energy leader DESRI and investment platform Tierra Adentro Growth Capital (TAGC) have commenced construction on two major co-located solar and battery storage projects, a move that promises to reshape the local economy and solidify the state's role as a clean energy powerhouse.

The projects, named Foxtail Flats and Four Mile Mesa, represent a combined 270 megawatts (MW) of solar power and 180 MW of battery energy storage. Sited on land owned by the Ute Mountain Ute Tribe near the retired San Juan Generating Station, these facilities are not just replacing old energy sources but are powering some of the nation's most critical scientific and digital infrastructure. A groundbreaking ceremony on May 14, 2026, brought together project stakeholders to celebrate the milestone, with commercial operations for both sites expected to begin in 2027.

"Breaking ground on Foxtail Flats and Four Mile Mesa marks another significant milestone for DESRI and for San Juan County," said Thomas de Swardt, President of DESRI. "These projects build on the success of our adjacent San Juan Solar and Storage facility and reflect DESRI's commitment to the region's clean energy transition."

A New Economic Dawn for San Juan County

The economic implications for San Juan County are profound. The region is actively navigating an economic transition following the closure of the coal-fired San Juan Generating Station, and these projects represent a significant step toward a diversified, green economy. Together, Foxtail Flats and Four Mile Mesa are expected to employ approximately 600 construction personnel at their peak, providing a much-needed infusion of jobs.

The investment is substantial, backed by a newly launched, New Mexico-focused investment platform, TAGC, with construction financing led by industry heavyweights Norddeutsche Landesbank Girozentrale (NORD/LB) and Santander Corporate & Investment Bank. SOLV Energy will serve as the engineering, procurement, and construction (EPC) contractor, bringing its expertise to the massive build-out.

"The Foxtail Flats and Four Mile Mesa projects will be a milestone in New Mexico's energy transition and economic development," stated Alok Sindher, Managing Partner at TAGC. "We're excited that this equity investment will catalyze local economic growth and employment and is a significant step forward in New Mexico's progress towards a cleaner grid."

Powering a Secure and Digital Future

The energy generated by these projects is already spoken for, destined to power critical national security and technology assets. The Foxtail Flats facility, with its 170 MW solar array and 80 MW/320 MWh battery system, is contracted under a long-term power purchase agreement (PPA) with the Incorporated County of Los Alamos. This will provide a major new source of reliable, carbon-free electricity to Los Alamos National Laboratory, Sandia National Laboratory, and Kirtland Air Force Base, bolstering the energy security of the nation's defense and research infrastructure. The blended cost of approximately $74/MWh is considered competitive and aligns with Los Alamos County's goal of becoming a carbon-neutral electricity provider by 2040.

Matt Heavner, Vice Chair of the Los Alamos Board of Public Utilities, highlighted the project's strategic value. "Foxtail Flats' combination of solar plus storage means we can capture abundant New Mexico sunshine during the day and then use the batteries to deliver that energy in the evening, when people are home, lights are on, and the grid is under the most stress," he said. "It is exciting to put shovels in the ground on a project of this scale."

Meanwhile, the Four Mile Mesa project, with its 100 MW solar farm and a robust 100 MW/400 MWh battery, will support the massive energy needs of Meta's data center operations. Procured through Public Service Company of New Mexico's (PNM) Rate 36B, the arrangement ensures that the costs are borne by Meta, preventing any impact on other PNM customers while helping the tech giant meet its 100% renewable energy goals.

A Landmark Partnership with the Ute Mountain Ute Tribe

Central to the development of both projects is a foundational partnership with the Ute Mountain Ute Tribe, on whose land the facilities are being built. This collaboration extends far beyond a simple land lease, representing a strategic alliance that provides the Tribe with a new, sustainable revenue stream through lease payments and negotiated benefit agreements. The projects also create direct employment opportunities for tribal members.

For the Ute Mountain Ute Tribe, this development is a key part of a long-term vision for economic diversification and energy sovereignty. The revenue helps replace declining income from fossil fuel extraction and supports the goals of the Tribe's own Climate Action Plan. This venture is not their first foray into renewables; the Tribe has already developed smaller solar arrays and has ambitious plans for future utility-scale projects. The Foxtail Flats and Four Mile Mesa developments serve as a powerful stepping stone, allowing the Tribe to further embrace renewable technology and generate profit by selling clean power, thereby securing its economic future for generations to come.

The Technology of Transition: Solar-Plus-Storage Takes Center Stage

Beyond their economic and strategic importance, these projects showcase the technological evolution of renewable energy. The co-location of large-scale solar farms with advanced battery storage systems is a game-changer for grid reliability. This hybrid model directly addresses the primary challenge of solar power—its intermittency—by storing excess energy generated during sunny days for dispatch during evening peak hours or on cloudy days.

This capability is critical for achieving New Mexico's ambitious clean energy goals, which include a mandate for 100% carbon-free electricity by 2045 under the Energy Transition Act. By providing a stable, predictable, and dispatchable source of clean power, projects like Foxtail Flats and Four Mile Mesa are essential for maintaining grid stability as the state integrates ever-higher levels of renewables. They serve as a blueprint for how to successfully transition away from fossil fuels without sacrificing reliability, turning the abundant sunshine of the Land of Enchantment into a constant and dependable energy source.