Anthropic's Australian debut has a signed lease before it has an approval. On October 26, 2026, CNN reported that Singaporean developer Zerra DC plans to build the Western Downs Digital Park in Queensland's Western Downs region at a cost of A$22 billion, with Anthropic signed as the first major tenant. It is Anthropic's first data center move in Australia, but the project has not received formal approval, and the decision still rests with the local council.
What is proposed: four buildings, 2.16 gigawatts at peak
Western Downs Digital Park would sit beside the Wambo cattle feedlot near Dalby, about 260 kilometers west of Brisbane. The plan covers four buildings, each the size of five football fields, plus temporary accommodation for 1,500 construction workers, with peak capacity of 2.16 gigawatts — more than a quarter of Queensland's daily electricity consumption. David Masters, Anthropic's head of policy for Australia and New Zealand, told CNN the company is working toward hosting "significant capacity" in Australia. But because Australian copyright law currently does not allow training large models on local data, the site will not be used for training; it will run Claude and answer user questions.
Where it stalls: water, power, and unspoken trust
The core of the opposition is not computing itself, but water and power. The site sits above one of Australia's largest gas fields, surrounded by more than 6,000 unconventional gas wells, and local farmers say some bores have run dry. Queensland has granted the project an exemption: once approved, it can connect directly to the grid, drawing a mix of power that includes coal and natural gas. Zerra DC says it will use air cooling, which uses far less water than evaporative cooling, but air cooling consumes more power; residents fear higher electricity prices and more subsidence. More than 23,000 people have signed a petition against the proposal, and residents have asked for a public meeting, but Western Downs Mayor Andrew Smith says the council has a standing practice of not holding town hall meetings and will not debate data centers in public; he is still waiting for advice from the planning department. Anthropic has promised to add power to the grid through virtual power purchase agreements, prioritizing newly built renewable projects, though which projects those are is still under discussion. The company is also hiring a community engagement manager in Australia.
Three things to watch next
First, who decides: the mayor says the local council holds the decision, but the state government says it is developing a data center approval framework that puts community support first, and whether the state steps in remains open. Second, whether the power promise holds: virtual power purchase agreements buy new generation, and whether that offsets the fossil power the site actually draws from the grid depends on the details. Third, Anthropic's timetable: CNN notes the company is preparing for an IPO that could value it at $1.5 trillion, and its ability to win community trust abroad will be tested in this dispute.
