Summary

• An AI computing company is proposing to fill in a wetland to build a massive data centre near the neighbourhood of Lorneville in Saint John, N.B.
• Once operating, the data centre will be one of New Brunswick’s largest carbon emitters and devour about 390 megawatts of electricity — more than 10 per cent of the province’s total energy demand.
• Residents of Lorneville are resisting the proposal, but provincial and municipal leaders have expressed support, arguing it will bring jobs and revenue to the region.

On a sunny Saturday in April, Adam Wilkins and Chris Watson trace a path through a forest a short distance from the Bay of Fundy. 

As he walks down a slope, Wilkins wonders aloud whether cleaning out the ditch upstream would make the trail easier to run on; for the past decade, he and his wife have been building forest trails in this area, to encourage more outdoor recreation and stewardship.

After about 10 minutes, at a fork in the path, Watson stops, pointing at the forest ahead: the area slated to become the site of the first hyperscale data centre in Atlantic Canada. That is, a data scale large enough, and with scalable capacity, like those Apple, Google and Microsoft are building.  

For years, the City of Saint John and the New Brunswick provincial government have been working to expand an industrial park in Lorneville, a coastal community on the outskirts of Saint John. A $2-billion data centre built by Alberta company Beacon Data Centers and partially powered by a new gas plant is slated to be the first tenant.

Data centres provide the material backbone for cloud services, file sharing and artificial intelligence. A customer for Beacon Data Centers’ proposed New Brunswick facility has not been announced.

Officials have said Lorneville is an ideal location for business development, as the area offers large amounts of land and water, as well as abundant electricity and accessible fibre cables. The municipality has also said developing Lorneville would bring much-needed jobs and tax revenue to the city; the local Irving Oil refinery exports most of its products to the United States, while New Brunswick generally sends most of its seafood and lumber south of the border, making Saint John “Canada’s most tariff-exposed city” according to the Canadian Chamber of Commerce. 

Officials initially stated that they were actively attracting businesses to the expanded industrial park that would be focused in “green and clean” sectors. But residents have pushed back, noting that expansion of the industrial park, and construction of the data centre itself, would destroy rare old-growth forest and wetlands. If built, the data centre would rely on a gas plant for much of its power, making it one of the province’s largest emitters, while also increasing demand on the grid. And residents say the process to develop the data centre has suffered from a lack of transparency.

Documents obtained through provincial access to information legislation by The Narwhal and by residents show provincial officials were in discussions to bring a data centre to the park long before residents were told about the tenant — and that details of that data centre conflicted with the more low-impact vision for the industrial park advertised to residents.

Building AI data centres across Canada has been identified by the federal government as a priority, and dozens of new facilities have been proposed in the past year. Since early May, Beacon Data Centers has lobbied various federal departments four times to advocate for the role of data centres in supporting “national priorities,” and to request government support for the New Brunswick project. But many communities are concerned about environmental impacts of the water- and power-hungry facilities, as well as the lack of oversight and transparency regarding their impacts.

“For the past two years, this fight has been a huge stressor for people,” Wilkins says. “It’s all in the name of progress, or we need the taxes, or you need AI to generate your stupid images, but it impacts people’s lives.”

Data centre proposal reopening old wounds in Lorneville

This spring, billboards and bus ads began appearing around Saint John, promising the creation of 1,200 jobs from construction of the 390-megawatt data centre — an appealing prospect in a city reliant on trade with a volatile United States and a province facing a grim financial forecast.

But in those signs, many Lorneville residents saw something troubling. 

Lorneville was once a fishing village perched on the Bay of Fundy’s rocky shoreline. In the 1970s, a 3,600-hectare chunk of land along the coast was expropriated by the provincial government to develop an industrial project that — apart from a power plant built on the water — never materialized. Residents say a promise they were given to return the land if the project didn’t move forward never came to fruition either.

“My grandparents were still getting upset, even talking about it, until the day they were gone,” Cecil McCavour, whose family has been fishing in Lorneville since the 1840s, told The Narwhal. McCavour, along with his dad and cousin, are the last fishermen working from the community’s wharf. His family lost hundreds of acres to expropriation, he says. Now, the data centre is reopening old wounds. “Every decade something’s coming down the pipeline that does damage to our community.”

In subsequent years, a dump was established in the area, but was found to be insufficiently lined for modern-day standards, creating concerns contaminants were seeping into the groundwater.

Then, in July 2024, residents received letters in envelopes with no originating address. A consulting agency hired by the province stated that a proposal to clear and construct a 110-hectare “development-ready pad” for industry a short distance from their homes was in the works.

Instead, residents resisted, submitting dozens of letters, collecting hundreds of signatures and packing council meetings at which the expansion was debated. In response, the City of Saint John — which was pursuing the expansion along with New Brunswick’s Regional Development Corporation — paused the plan and initiated a task force in which residents and city officials were meant to work through concerns. 

Residents were not told which specific industries were being considered for the expanded industrial park, or if any potential tenants had come forward.

The documents obtained through access to information legislation by The Narwhal and residents show that before the task force began meeting, provincial officials were already in discussions to bring a data centre to the park. In emails from October 2024, Martin Luckett, an official with the province’s business development agency, Opportunities NB, wrote to a redacted recipient that the agency felt “strongly that there is considerable potential for one of your centers here in New Brunswick,” and describes the Lorneville area as a potential location. By November 2024, Beacon Data Centers had submitted a feasibility application to NB Power, according to emails. 

In May 2025, city council voted on whether to allow the expansion after a series of tense council meetings that stretched late into the evening. Dozens of people spoke out against the plan, while just three speakers spoke in favour. Still, the council voted unanimously to allow the expansion.

City staff initially attempted to assuage residents’ concerns by affirming businesses in the industrial park would be green and non-emitting. But the data centre — which was announced in October 2025 — has made people doubt that commitment, Wilkins says. “The first thing announced was a hyperscale data centre powered by a natural gas plant … what else is coming?”

Old-growth forests, wetlands would be cleared for data centre

In 2024, Chris Watson bought a house beside a large saltmarsh in Lorneville, recognized as a “provincially significant wetland” for its ecological value . In the forest behind his home, eastern cedar shade mossy swamps, while gnarled red spruce with lichen-covered branches grow nearby.

Watson was surprised when he read the environmental impact assessment for the industrial park expansion, which includes the forest behind his house, describing it as relatively low value.” His own observations, though not expert, suggested at least parts of it were exceptional.

He bought a tool for taking cores and gathered samples from the largest trees. Ben Phillips, who runs a dendrochronology lab — focused on the science of dating trees by their rings — at Mount Allison University, agreed to take a look.

Phillips was initially skeptical. Only about half a per cent of the forest in New Brunswick is old growth, he says, and most of that is found in inaccessible areas.

But examining the cores under a microscope, Phillips was astonished. 

In the oldest sample, Phillips counted 388 rings, meaning the tree was likely more than 400 years old, as it would have taken more than 12 years to get to the point from which the rings were counted. Other samples showed trees that were more than 300 years old, and many over 200 years — an age distribution typical of an old-growth forest. “[Old growth] is a mixed age, multi-storied stand that’s got lots of diversity in it,” he says. “This fit that exactly.”

The forest at Lorneville is likely the third-oldest forest in the province, Phillips says. Yet there’s no guarantee it will be spared. “These global pressures from big tech firms and AI and data centres and tariffs … are winning out against old-growth forest because we do not have a policy in place to protect it.”

The mayor of Saint John, Donna Reardon, has said she supports saving individual old trees, but declined an interview request for this story. The site for the data centre is specifically adjacent to, and partially overlapping, the industrial park expansion area, and wouldn’t flatten some of the oldest trees Watson found. But a more recent environmental assessment for the data centre itself stated that approximately 3.5 hectares of old-growth forest would be lost as “a long-term, irreversible, adverse effect of the project.”

The forest isn’t the only ecological concern. Much of the Lorneville area is made up of wetlands, including roughly 27 hectares in the area that would be cleared and infilled to make space for the data centre.

“This is basically the high point of the watershed,” Watson says, inspecting one of those wetlands in April — a peatland bog in the area behind his house. At the bog’s edge, Watson says he’d found trees that were 200 years old, suggesting an ecosystem that has been evolving for centuries. “What’s going to happen when all that freshwater flow is removed from this area?”

Roxanne MacKinnon, executive director of ACAP Saint John, an environmental non-profit organization, says the development of wetlands throughout Saint John already causes localized flooding.

“Wetlands are a very important part of our ecosystem,” she says. “From our perspective, the degradation of habitat, and particularly where all that water is going to go that is being contained within these wetlands currently, [is] a concern.”

For residents, there’s also the question of what the loss of wetlands will mean for their wells.

The initial expansion area for the industrial park would have infilled dozens of hectares of wetlands. A 2025 email from provincial engineer and hydrogeologist Gerard Souma to a New Brunswick environmental impact assessment specialist, obtained by residents through access to information legislation, noted this could affect the community’s older wells. Souma wrote, “It is my opinion that any owner having a well tapping their water supply from the surficial aquifer should be concern [sic] with 44 ha of wetland infilling by the project.”

Watson worries that the wetland infilling for the data centre could also affect downstream wetlands like the significant saltmarsh by his house, by changing the way water flows on the landscape.

In a statement, Lauren Armstrong, Beacon’s vice-president of corporate affairs, wrote that the wetlands at the site of the data centre have been assessed and categorized through the impact assessment, and that “the overall approach is to minimize the footprint, avoid the most sensitive areas and manage remaining effects.”

New Brunswick’s Regional Development Corporation referred a request for an interview to Saint John Industrial Parks.

If built, Saint John data centre would be one of the largest emitters and power users in the province

While the project stands to raze local forests and wetlands, it may also have broader impacts across the province. 

The proposed data centre is a 390-megawatt operation. Once built, it would also generate roughly 6.6 per cent of emissions in the province.

Part of the data centre’s energy is meant to come from an on-site natural gas-powered generation facility, built by Houston-based VoltaGrid, with the other 200 megawatts coming from New Brunswick’s grid. This demand could surpass 10 per cent of New Brunswick’s mean energy demands, where peak daily demand for electricity ranges from around 1,500 megawatts on a summer morning to roughly 3,030 megawatts on a cold winter’s day.

Beacon submitted a feasibility assessment for that grid demand in November 2024. In May 2025, emails from municipal and provincial officials displayed frustration with NB Power’s slow response. “This has not been the best first impression to say the least,” wrote Saint John Industrial Parks general manager Ian MacKinnon, to officials from Opportunities NB and Envision Saint John, the city’s business development group. “Nothing will proceed without a response and a commitment for power.” MacKinnon did not respond to a request for an interview.

Meanwhile, Opportunities NB wrote a letter to NB Power asking about the feasibility review, saying Beacon is “ready to progress their project in Saint John but can’t commit to anything without a path forward with NB Power.”

At that same time, NB Power and the U.S. company ProEnergy were putting forward an application for a controversial 500-megawatt, 10-turbine natural gas and diesel power plant in Tantramar, in southwest New Brunswick, to cope with rising electricity demand. 

That power plant, which was just approved by the province’s Energy and Utilities Board, would produce around 900,000 tonnes of carbon dioxide a year, according to its environmental assessment.

VoltaGrid has said its gas plant on the data centre site is not at all related to the larger ProEnergy plant. NB Power put out the request for proposals for the gas plant in 2024, a year before the data centre plan was announced, though the same year Beacon submitted its feasibility application to the provincial utility. 

Still, advocates say the potential data centre has bearing on decisions about power generation. 

David Coon, leader of the Green Party of New Brunswick, says from his perspective, the projects are connected insofar as powering the data centre requires the ProEnergy gas plant. “There isn’t an extra 200 megawatts of capacity available on the grid to carry that load,” he says. “So it’s got to come from somewhere and that means they’ve got to build it.”

Watson wonders why officials were asking for grid approval of an energy-intensive facility at the same time the utility was forecasting an energy deficit by 2028 due to population growth. 

Meanwhile, VoltaGrid’s 190-megawatt natural gas-generating facility would produce roughly 750,000 tonnes of carbon dioxide annually, making it one of the province’s most prolific emitters, behind the Irving Oil Refinery and the Belledune coal-fired generating station.

VoltaGrid CEO Nathan Ough did not respond to a request for an interview, but Lauren Armstrong, with Beacon Data Centers, said in a statement that “the project is being designed with a combination of measures to reduce and manage emissions intensity over time. These include high-efficiency generation technologies, operational optimization, and the ability to integrate lower-carbon energy sources as they become available.”

Given the potential effects on power rates, on the province’s emissions targets and on the community, Coon is calling for a moratorium on data centre development until legislation can be developed for the industry. “The concern that everyone has, including me, is the costs will far outweigh the benefits of this, the way it’s being pursued.”

In a statement, Luke Randall, the minister responsible for Opportunities NB, said that projects like the data centre have the potential to contribute to the provincial economy by creating jobs and revenue for public services. These projects “will only proceed if they deliver clear economic value, align with environmental expectations and contribute meaningfully to the province’s long-term development.”

Randall also stated that Opportunities NB is “aware of the broader discussions regarding electricity supply and future demand. That is precisely why projects like this are subject to rigorous review, including technical analysis, environmental assessment and regulatory oversight.” 

In return, Saint John residents are being pitched an economic windfall in jobs and tax revenue, though of the advertised 1,200 jobs, most are in construction, and the figure also includes indirect jobs, which are service and supply-chain jobs created as a result of the data centre project. Just 210 jobs would be permanent, according to the company’s projections.

Lorneville residents say it’s unclear that the loss of wetlands and forest, and the increase in emissions, would be worth it. 

For now, they’re hoping to have the expansion of the industrial park reversed; residents have filed for a judicial review of the area’s rezoning, on the grounds that the city council’s decision was biased. In May, Lorneville resident Sherri Colwell-McCavour, who’s been vocally opposed to the project, was elected to Saint John City Council  — days after a protest in downtown Saint John, at which dozens of people called for a halt to the data centre.

If residents can’t stop the project, they say they intend to continue doing what they can to minimize the effects.

A data centre in the neighbourhood

After touring the wetlands and forest in the data centre footprint, Watson and Wilkins make their way to the road. A few minutes later, Wilkins’ wife, Leah Alexander, rolls along to pick them up. 

Alexander’s family has been in Lorneville for six generations. She has spent her whole life there, and she and Wilkins live just a few houses down from the one she grew up in.

She has vivid early memories of being taken door to door by her mother to advocate against the dump, she says. Now, the threat of the data centre has her strapping her baby to her chest to go to council meetings, and bringing her four-year-old along to hand out flyers.

Alexander has never imagined leaving Lorneville, but the data centre project has her questioning whether it’s a place her family can stay. For now, she’s sad to see the community go through the same struggle it’s faced in the past — and frustrated that they’ve had to do so much work to highlight what’s at risk of being lost: the gnarled and ancient trees, the deep mossy swamps. 

If the systems meant to provide protection are not doing their job, she says, then it leaves residents no choice. 

“People want their children to grow up here,” Alexander says. “They want them to stay here, and what are we leaving them? Like, if we don’t stand up and fight for it, what are we doing?”

The Narwhal’s reporters are telling environment stories you won’t read about anywhere else. Stay in the loop by signing up for our free weekly dose of independent journalism.