SPCX Stock Rises As SpaceX Advances $24B Texas Data Center And Gas Plant Plans

• The Starbase City Commission is scheduled to hold a public hearing to consider the approval of a tax abatement and development agreement on Wednesday, December 9. 
• The project would sit on an approximately 444-acre tract just east of Brownsville, between Boca Chica Boulevard and the Port of Brownsville.
• Estimated capital investment for the initial phases is approximately $24 billion, which may be built over multiple phases and include future expansions.
   

Shares of SpaceX (SPCX) rose about 6% on Monday as the company advanced plans for a major gas-fired power plant and super-compute facility at its Starbase complex in Texas.

The plan was first reported by Bloomberg, citing a notice of a public hearing on the Texas city website.

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Texas Super-Compute Project

According to the notice, SpaceX has proposed to construct, own, and operate a gas-fired power plant and super-compute facility in the City of Starbase. The project would sit on an approximately 444-acre tract just east of Brownsville, between Boca Chica Boulevard and the Port of Brownsville. Estimated capital investment for the initial phases is approximately $24 billion, which may be built over multiple phases and include future expansions.

The Starbase City Commission is scheduled to hold a public hearing to consider the approval of a tax abatement and development agreement on Wednesday, December 9.

Bloomberg noted that the project could face scrutiny under Texas’s incoming Democratic governor, Gina Hinojosa, who campaigned in part on curbing new data-center construction. Rising power prices and environmental concerns around data centers have already prompted protests elsewhere, including against SpaceX’s existing complex in Memphis, the report noted.

City Of Starbase And Musk's Attempts At Vertical Integration

Starbase was officially incorporated as a city in 2025 and serves as home to several hundred SpaceX employees and their families. It is home to the development, manufacturing, testing, and launch of its ambitious Starship launch vehicle.

The proposal for the new facility at Starbase comes amid Elon Musk’s effort to vertically integrate SpaceX’s natural-gas supply chain. Gas is the primary fuel data-center developers use to bring facilities online, and SpaceX is also examining a super-chilled, purified form of the gas for its own rocket launches. In September, the company proposed its own pipeline in Florida to supply Starship operations at Cape Canaveral and has been hiring gas traders in Starbase and Cape Canaveral rather than relying solely on external logistics providers, Bloomberg noted. SpaceX has separately outlined plans for a gas-fired power plant to support a semiconductor manufacturing facility it is developing with Tesla in Grimes County, outside Houston.

“SpaceX and Tesla are each building 100GW/year of solar production capacity as fast as possible, but natural gas will still be needed to supplement and bootstrap solar for several years,” Musk said in an X post in August while adding that his companies are looking into fixing the supply issues in-house.

AI Infrastructure Ambitions

The Texas project fits SpaceX’s broader push into artificial-intelligence infrastructure after its February acquisition of Musk’s AI startup xAI. The company has pursued large-scale terrestrial compute, including its Colossus facilities, while Musk has argued that orbital data centers will eventually surpass ground-based capacity.

SpaceX has also secured major compute offtake agreements, including a multi-year arrangement with Anthropic that provides access to capacity at Colossus sites, and has committed to substantial GPU capacity involving Nvidia hardware.

How Did SPCX Retail Traders React?

On Stocktwits, retail sentiment around SPCX stock was in the 'bullish' territory at the time of writing, while message volume stayed at 'high' levels.

SPCX stock closed on Monday at about $142, above its June IPO price of $135 but below its all-time high levels near $225. 

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