Proposal for AI data center at former paper mill in Maine resurfaces
12 November 2026
Proposals to develop an AI data center at the site of a former paper mill in Franklin County, Maine, have resurfaced.
JGT2 Redevelopment submitted a public notice on November 8, announcing its intent to file permit applications with the Maine Department of Environmental Protection for the development of a data center at the site of the Androscoggin paper mill in the town of Jay.
According to the notice, JGT2 is seeking two permits. The first is a site location of development permit, which would include re-use of existing paper mill buildings to hold computing equipment, redevelopment of the existing parking lot and rail yard areas for heating, ventilation, and air conditioning equipment, and construction of a subsurface wastewater system.
The second is an air license permit, which would allow the installation of two 3.25MW diesel standby generators for emergency power.
Initially, JGT2 had partnered with Sentinel Data Centers on a data center project at the site, but Sentinel pulled out in June this year.
It is not yet clear if this renewed activity involves Sentinel. DCD has reached out to the company for comment.
The town’s select board held a workshop and meeting on November 9, which included an update on the redevelopment, though no details have yet been shared. DCD has contacted town officials for more information.
JGT2 purchased the property in December 2023, and has demolished several buildings at the site. Sentinel was initially reported to be developing 1 million sq ft (92,905 sqm) of colocation data center space at the site. Local officials had already backed the project, with work set to start this summer. In April, the Governor of Maine, Janet Mills, vetoed a bill that would have enacted a statewide moratorium on data centers. However, Mills will be replaced as governor in January 2027 by Hannah Pingree following the results of the US midterm elections, which saw several anti-data-center candidates claim victory .
In comments to local press, Pingree stated that Jay should not become a “testing ground” for data centers before Maine has proper data center regulations. “Jay deserves good jobs and investment at the mill site, but not at the cost of ratepayers, neighbors or the environment,” she added. The midterm elections also saw a slew of local data center moratoria, limits, and other restrictions voted in . Maine specifically saw a number of measures limiting data center development across five counties. This includes a moratorium on data centers of 10,000 sq ft (930 sqm) or 20MW or more until May 2027 in Androscoggin County. The town of Jay, while situated in Franklin County, borders Androscoggin County, as does the Androscoggin mill site.
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