AMARILLO, Texas (KFDA) - The Amarillo City Council approved the first reading of a water agreement with Fermi America on Tuesday for a new AI data center coming to Carson County.

The agreement would allow the city to sell water for Fermi America’s Project Matador, a nuclear facility that would feature four nuclear reactors, a natural gas electricity plant, solar panels and data processing computers.

The water delivery agreement calls for a maximum of 2.5 million gallons per day over an initial 20-year term, with potential for increases.

Council member David Prescott, who has expertise in environmental science, said the water usage would represent a small fraction of regional consumption.

Prescott calculated the consumption of water in the top 26 counties using the Texas Water Develop

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