Badajoz positions itself as an AI hub with the BAZ01 macroproject by Nostrum

Badajoz aims to fully establish itself on the European map of major data centers for Artificial Intelligence. Nostrum DATA CENTERS has unveiled BAZ01 as a future hyperscale infrastructure focused on advanced computing, with an initial capacity announced at 500 MW and a scalable design up to 1 GW. It also includes an associated photovoltaic plant of 300 MW for self-consumption. The company positions the project within the Badajoz logistics platform and frames it as a potential “AI gigafactory” for southern Europe.

The ambition behind the project is substantial, but it’s important to carefully distinguish what is already secured from what remains part of the roadmap. According to Nostrum, BAZ01 will feature a hyperscale computing ecosystem prepared for new AI workloads, with high efficiency design and an expected PUE of 1.1. However, sector sources indicate that, for now, the project has 300 MWe of guaranteed power and land secured, while the total capacity of 500 MWe with future scalability up to 1 GW is part of the full planned design.

A large-scale project already progressing through procedures

What does seem clear is that the project is advancing administratively. In March, the Official Gazette of Extremadura published a public consultation for the preliminary administrative authorization and public utility recognition of the electrical infrastructure for Data Center Nostrum Evergreen (DC Badajoz), promoted by Data Riocaya, S.L.U., a company linked to the group. The file describes the project’s purpose as providing electrical supply for “a sustainable data and AI computing center” in Badajoz.

Additionally, the Extremadura Regional Government had already granted the project PREMIA — an Autonomous Regional Business Project — by the end of 2025, as Nostrum itself announced at the time. While this designation does not guarantee final execution, it indicates regional institutional support and prioritized processing within Extremadura’s strategy to attract large-scale digital infrastructure.

The company has also been outlining some technical milestones. By late 2025, AECOM was selected to lead the design and construction management of the Badajoz data center, described then as an installation of up to 500 MW with an estimated investment of over 1.9 billion euros. This financial figure has appeared in various sector publications, although the most recent note on BAZ01 focuses mainly on electrical capacity, sustainability, and timing.

Badajoz, energy, and the Lisbon-Madrid axis

Geographical and energy considerations are central in Nostrum’s messaging. The company argues that Badajoz offers a strategic position within the Lisbon-Madrid corridor, with access to international connectivity, available industrial land, and the ability to attract talent. It also emphasizes that combining a data center with associated renewable energy generation could position the project as a reference point for new AI infrastructure across Europe.

This approach aligns with a trend seen in other parts of Spain: new data center projects no longer only seek proximity to Madrid or Barcelona but also aim for access to power capacity, ample land, and better conditions for deploying renewables. Extremadura has increasingly appeared on that map due to its energy potential and the availability of large-scale campus space. In February, DatacenterDynamics listed the region as one of the emerging areas in the new phase of digital infrastructure investment.

Timeline: Between corporate ambition and development reality

There are nuances in the timeline as well. Nostrum’s corporate page for BAZ01 estimates construction beginning in 2026 and operational startup in 2028. However, more recent industry reports suggest the project could reach a ready-to-build status by September 2026, with an initial phase potentially entering the market between late 2027 and 2028, contingent on permitting, construction, and electrification progress.

This requires a cautious yet interested outlook. BAZ01 is not yet an operational facility nor a finalized project, but it is not merely an idea without traction either. It has land, initial guaranteed power, ongoing electrical procedures, advanced design, and regional support. The key now is whether Nostrum can turn this foundation into a truly executable development within competitive timelines—especially in a market where large AI campuses compete for energy, funding, equipment, and grid connection times.

In any case, the project sends a clear message: the race to attract large-scale AI infrastructure is no longer confined to traditional markets. Badajoz aims to participate in that conversation with a campus that, if realized as announced, would be among the most ambitious digital developments in southern Europe. That alone makes BAZ01 a project to watch very closely.

Frequently Asked Questions

What exactly is BAZ01?
BAZ01 is the name used by Nostrum DATA CENTERS to describe its hyperscale data center project in Badajoz, designed for advanced computing and Artificial Intelligence workloads.

What capacity will the Badajoz data center have?
The company mentions an initial capacity of 500 MW, scalable up to 1 GW. Sector data currently indicates that, for now, 300 MWe guaranteed power exists, with the remainder planned for subsequent phases.

Is there a scheduled start date for construction?
Nostrum indicates construction could begin in 2026. Some recent reports from April suggest September 2026 as a target for starting works, though the final timeline will depend on permissions and execution progress.

Is the project officially approved already?
The project has received the PREMIA designation from the Extremadura Regional Government and has electrical procedures in public consultation, but it is not yet operational or fully built.

via: thenostrumgroup

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