WV Residents Sue Company Over Data Center Project

Ten residents from Mingo and Logan counties have filed a federal lawsuit seeking to halt the massive Adams Fork Energy Project — a proposed development in southern West Virginia that would combine an industrial ammonia facility, dual power plants, and associated data centers. 

What the Suit Alleges

The complaint, filed December 3 in the U.S. District Court for the Southern District of West Virginia, names the developer TransGas Development Systems, the U.S. Army Corps of Engineers (Huntington District), the U.S. Fish & Wildlife Service, and the Federal Energy Regulatory Commission as defendants. 

Residents claim the project — which features:

  • 117 massive dual-fuel natural gas/diesel engines driving power generation,

  • A “self-contained micro-grid” powering data centers,

  • An ammonia production facility moves forward without satisfying key federal requirements under the Endangered Species Act (ESA), Clean Water Act (CWA), National Environmental Policy Act (NEPA), and Natural Gas Act (NGA). 

Environmental and Community Concerns

The plaintiffs argue that:

  • Air and water quality will be degraded by hundreds of tons of annual emissions and unexamined impacts to local waterways.

  • Endangered and threatened species, including the Guyandotte and Big Sandy crayfish, as well as bat species, face habitat loss without proper federal consultation.

  • Required reviews and permits have not been completed, meaning decisions affecting ecological and community health are being made without transparency or public input. 

In short, the lawsuit is not just about stopping a data center — it’s about enforcing environmental law, community rights, and due process before irreversible construction starts.

The Company’s Response

In response to the lawsuit, TransGas insists that they have followed all applicable regulations and have worked in compliance with local, state, and federal laws. They argue that their investment in the area will create valuable jobs and improve the local economy, positioning West Virginia as a key player in the growing tech industry, particularly with the rise of data centers.

The company maintains that the environmental concerns raised by the residents are unfounded, and they assert that they have implemented best practices to minimize environmental damage during construction and operation. They argue that the long-term benefits of their project far outweigh the temporary disruptions caused during the construction phase.

Why It Matters to Infrastructure & Energy Stakeholders

This case hits at the intersection of data infrastructure growth and energy policy:

  • Energy demand from large computing facilities is reshaping rural energy planning and incentives.

  • States like West Virginia are under pressure to attract investment while balancing environmental oversight.

  • Local opposition, backed by litigation, is emerging nationwide wherever large industrial or tech projects are proposed. (Similar public pushback has been seen in other data center cases, including recent legal challenges and regulatory debates in other states.)

For infrastructure investors, developers, and DePIN advocates, this lawsuit underscores two realities:

  1. Energy and environmental compliance can be a gating factor for project deployment, and

  2. Community sentiment matters — particularly in rural economies wary of industrial change.

What’s Next

The plaintiffs are requesting:

  • A temporary restraining order to stop any ground-disturbing activity, and

  • A permanent injunction blocking the project until all federal reviews are completed. 

The case (No. 3:25-cv-714) is now pending before the federal court in southern West Virginia.

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