AGP Executive Report

Border Security in Big Bend: U.S. Customs and Border Protection paused construction inside Big Bend National Park while CBP chief Rodney Scott visits for an on-the-ground review, after widespread bipartisan backlash over environmental damage and the need for barriers in a low-crossing area. Energy Markets: Oil prices jumped as the U.S. ruled out extending a ceasefire with Iran and Iran signaled a more offensive posture, while Hormuz shipping disruptions kept supply risk front and center. Permian to Gulf LNG Buildout: Devon reached a final investment decision on the Solitude Pipeline System to move Permian gas to Gulf Coast LNG-linked demand, aiming for better pricing and tighter integration. Data Center Power Push: LS Electric won a $34.3M distribution-equipment deal with Bloom Energy for a hyperscale data center in Wyoming, underscoring Texas’ role in the supply chain. Texas Water Stress: North Texas reservoirs remain a few feet below conservation levels amid dry conditions, raising watchfulness for regional water planning. Ag Education: National FFA hit a record 1,053,847 student members, with Texas among the top states by enrollment.

Food Safety: A Texas jalapeño recall is expanding after FDA flagged possible salmonella contamination, pulling NatureBest and H-E-B labeled items like pico de gallo, stuffed mushrooms and soup mixes sold in Texas and Louisiana (and tied to a multistate outbreak). Construction Automation: Bedrock Robotics says its autonomous excavators are now working on live U.S. infrastructure sites, including a Texas earthwork project with Champion Site Prep—another sign of AI moving from software to physical production. Data Centers & Power: Gov. Abbott says Prologis, Ecolab and Crusoe will comply with his data center standards, while separate reporting highlights how Texas is tightening rules as grid and water concerns grow. Energy Infrastructure: Blue Energy and GE Vernova Hitachi advance a 2.5GW gas-plus-nuclear plan in Victoria, Texas, aimed at powering a nearby data center. Workforce & Industry Training: STVT launched an Automotive Service Technician program in McAllen to meet demand for tech-savvy mechanics in the Rio Grande Valley. Logistics & Supply Chain: Target is testing inventory decisions with a digital twin to improve middle-mile routing and fresh-food availability, including a Houston receive-center pilot. Agribusiness: Tyson’s additional beef plant closures are raising producer concerns about cattle market competition and pricing. Local Business: Katy approved a 4.8% solid waste fee increase starting in September.

Data Centers & Policy: A fresh debate over data-center incentives is getting a Texas-style reality check, with a call for Nevada to scrutinize jobs, water use, and grid costs instead of relying on broad promises. Energy & Shipping: Oil is holding near recent highs as US-Iran talks stall and tanker traffic through the Strait of Hormuz slows, keeping supply-risk premiums elevated. Industrial Metals: Steel fabricators are warning that tariff changes are squeezing downstream manufacturers, citing sharp cost jumps for mild steel and aluminum. Houston Energy Supply Chain: GS Global opened a Houston office to chase US energy and infrastructure project steel demand, building local engineering and fabrication partnerships. Tech Supply Chain: Commerce Secretary Howard Lutnick says the Trump administration told Apple it opposes buying Chinese memory chips as Apple weighs supply options. Environment & Seafood: UT Rio Grande Valley researchers found microplastics and stress markers in nearly all tested Texas Gulf oysters. Local Development Watch: In Grimes County, residents are pushing back on Elon Musk’s Terafab plan over land, traffic, and growth impacts. Healthcare Cybersecurity: Texas health providers face fallout from data breaches tied to Lone Star Community Health Center/Aesto Health and Baylor Genetics.

Big Bend Border Wall: Crews are clearing brush in Big Bend National Park near Santa Elena Canyon for U.S. Customs and Border Protection survey and design work, with officials insisting it’s not a 30-foot wall or stadium lighting—yet locals and lawmakers keep pushing back as construction concerns grow. Data Center Policy: Texas Gov. Greg Abbott is leaning on new guidelines and audits tied to electricity, water, noise, and light impacts, saying noncompliant AI data centers won’t be approved, while Democrats argue for stronger enforcement through legislation. AI Compute Shift in Texas: Riot Platforms signed a $9B, 20-year compute deal with Anthropic using 191 MW from its Rockdale, Texas facility—another sign of miners pivoting toward AI infrastructure. EV Service Expansion: Volara Motorsports Group says it’s preparing to open authorized Arcimoto “E-Garages,” starting with Eugene, aiming to support repairs for the remaining Arcimoto fleet. Workforce & Aerospace: Pratt & Whitney Canada landed a nine-year, $1B contract to overhaul PT6A-68 engines for the U.S. JPATS T-6 trainer fleet, supporting long-term maintenance work tied to Texas-adjacent defense training supply chains. Labor Scrutiny: The U.S. Labor Department’s Inspector General expanded an H-1B fraud probe to Dallas, conducting door-to-door checks at offices tied to more than 500 approved petitions. Food Supply Pressure: A new report highlights rising labor, input, and regulatory costs squeezing U.S. fresh produce growers as imports have surged since 2010, intensifying competition during key harvest periods.

Data Centers vs. Communities: Fort Worth moved toward a 90-day pause on new data center construction, citing noise and water concerns, and also voted to require proof ERCOT has approved projects before they connect to the grid. AI + Industry: Texas lawmakers and regulators keep circling AI governance as rural areas push back on data center growth amid drought and grid worries. Manufacturing in Texas: SEG Solar opened a new 4 GW solar module assembly plant in Tomball, aiming to expand U.S. capacity to 10.6 GW and add hundreds of jobs. Food Safety: H-E-B and NatureBest pico de gallo and jalapeño products were recalled in Texas and Louisiana tied to a Salmonella outbreak; FDA also reclassified a large Texas egg recall to its highest risk tier. Tech + Privacy: Meta’s NameTag facial recognition system reportedly found its way into an app used by millions, reigniting privacy alarms. Energy + Policy: Gov. Abbott ordered a review of Muslim facilities at major Houston and DFW airports, including prayer and ritual washing spaces. Consumer Tech: Apple says it will begin Mac mini production in Houston this year.

Texas Energy & Grid Policy: ERCOT and the PUCT are mapping out how to unwind Gov. Greg Abbott’s data-center moratorium, with regulators saying the audit could take months as they weigh community impacts like water and power deliverability. AI Infrastructure & Power Demand: Amazon’s Pecos County AI campus plan leans on a massive on-site gas plant (7.65 GW, up to 33M tons CO2 permitted), underscoring how quickly Texas is becoming a power-and-water battleground for AI builds. Manufacturing & Chips: SK Hynix is scouting U.S. sites for front-end wafer fabrication as the company warns 2027 could bring the worst memory imbalance in history—raising fears of “chipflation” for everyday goods. Trade & Supply Chains: The U.S. is moving ahead with drone tariffs, but the materials bottleneck (magnets and batteries still largely China-made) may slow any true domestic turnaround. Water & Environmental Compliance: TCEQ fined Tyler’s wastewater plant for pollutant limit violations during equipment construction, while the city says it’s installing new equipment to meet standards. Aviation & Community Backlash: DFW scrapped a proposed Islamic foot-washing station after Abbott flagged it as illegal and pushed grant reviews and federal probes. Energy Markets & Geopolitics: Fresh attacks in the Strait of Hormuz are tightening shipping and lifting oil prices, keeping volatility high for Texas energy businesses. Arctic Oil Watch: Greenland Energy (Texas-based) is delaying Arctic drilling after Greenland said approvals and regulatory review won’t be ready until at least winter 2027.

Data Centers & Grid Oversight: Gov. Greg Abbott says more major operators—including Amazon, Lancium, Cipher Digital, Stack Infrastructure, Anthropic and Nightpeak Energy—will comply with his data-center standards, while Texas is auditing up to 300 projects after Abbott’s order. Local Backlash & Permitting: Protests and legal fights continue around Big Bend National Park construction as CBP insists it’s limited to access roads, detection tech and “limited” barriers—not a 30-foot wall. Public-Policy Flashpoint: DFW Airport canceled a plan for Islamic “Wudu” foot-washing stations after Abbott pushed grant reviews and USDOT scrutiny. Manufacturing & Jobs: Apple opened an advanced manufacturing center in Houston tied to Mac mini production and training for small and medium manufacturers. Energy & Markets: Oil rose on tanker attacks and stalled Iran peace talks, keeping pressure on fuel prices. Ag & Food Safety: Texas A&M AgriLife hosted an East Texas forage conference, while Texas-linked egg and soup-kit recalls expanded over salmonella/listeria concerns. Retail Tech: Target rolled out “Proxima,” a digital-twin tool to improve inventory decisions, including for fresh food.

Energy Prices & Grid Strain: With the Iran war pushing crude higher, U.S. gas prices are holding near the politically sensitive $4 mark, and Dallas-Fort Worth is seeing steep year-over-year increases—adding pressure to trucking and household budgets. Data Centers & Power Reality Check: New reporting highlights how much of the U.S. AI data-center pipeline may stall because “phantom” projects won’t materialize, while Texas continues to face grid and interconnection bottlenecks. Long-Duration Storage Deal: Noon Energy and Sabanci Renewables are partnering on up to 1GW of co-located ultra-long-duration storage and renewables for data centers, with early deployments targeted for 2027. Manufacturing Expansion in Houston: Apple opened an Advanced Manufacturing Center inside a Foxconn campus, training small and medium-sized businesses while Mac mini production ramps in Texas. Border Wall Fight in Big Bend: A tribal nonprofit and an outdoor recreation group asked a federal judge to halt border wall-related construction in Big Bend, citing damage to archaeological and culturally significant areas. Cybersecurity for Frontier Health AI: CHAI formed a nearly 100-member work group to publish health AI cybersecurity guidance by end of 2026, aiming for practical assessment tools and playbooks. Local Hiring Boost: Sabre Industries in Hicksville, Texas, is using a $20,000 grant to advertise openings and train welders for power-tower manufacturing.

Texas Manufacturing & Workforce: Apple opened its Advanced Manufacturing Center in Houston, a 20,000-square-foot hub tied to AI server production and future Mac mini assembly, with hands-on training for small businesses and workers. Healthcare & Courts: A Texas appeals court tossed a $34M hospital-related verdict, saying the lower court misread the contract. Energy & Infrastructure: Marad awarded $35.18M to 45 small shipyards across 24 states and the U.S. Virgin Islands, funding equipment, upgrades, and workforce training. Oil & Shipping: A Fifth Circuit panel overturned a license approval for a deepwater port off Texas, citing how the administration handled pipeline intersections. Food & Agriculture: Tyson Foods will close or sell three beef facilities and shift processing to remaining sites anchored by Amarillo, signaling strain from the U.S. cattle shortage. Data Centers & Policy: Gov. Abbott said Microsoft, Hut 8, and Equinix will comply with Texas data center standards, after ERCOT/PUCT review directives. Legal & Consumer Health: The Fifth Circuit sided with providers in a No Surprises Act pay dispute, striking parts of the QPA methodology used in arbitration. Public Safety & Environment: Burn bans expanded across the ArkLaTex, with additional Texas counties added as fire danger rises.

Data Centers & Power: Hut 8 reiterated it will follow Texas Gov. Greg Abbott’s directive, saying its Beacon Point campus in Nueces County is designed to support grid reliability and manage local impacts. AI Cost Control: SelectHub launched DataGrout, aiming to cut token waste and add governance for enterprise agent deployments. New Gas Plant for AI: Fermi and Hillcore inked a deal for a 2.6GW natural gas-anchored power complex tied to Project Matador in Amarillo-area Carson County. Grid Backlash: Texas Standard highlighted why Texans are turning against data centers, citing water and electricity concerns. Food Safety: Whole Foods recalled jalapeño-linked items tied to a Salmonella outbreak, and Taylor Farms outbreaks again raised questions about U.S. oversight of imported produce. Border Wall Fight (Big Bend): Reports say contractors may need blasting in Big Bend National Park, with local and environmental opposition escalating. Agriculture: RiceTec opened a new Alvin greenhouse to expand rice breeding and research. Energy Markets: The IEA forecast softer global oil demand as higher gas prices bite amid Strait of Hormuz disruption. Insurance Consumer Watch: A Texas right-to-appraisal rule is moving forward, but advocates warn implementation details will decide how much policyholders recover.

Data Center Policy Clash: Fort Worth moved toward a temporary moratorium on new data center development, creating a Data Center & Infrastructure Commission to study grid, water, and community impacts before any formal pause takes effect. Texas Energy & Infrastructure: TxDOT is budgeting $45M to widen and replace aging bridges on SH 30 near the Brazos–Grimes County line, with construction expected to begin in early 2027. Semiconductor Push: Elon Musk’s Terafab chip project in Grimes County is framed as a major jobs and manufacturing bet, with plans for massive production space and on-site power. Water & Permitting: A Travis County judge reversed a TCEQ decision granting Uranium Energy Corp. groundwater permit renewals/amendments, sending the matter back for further proceedings. Food & Consumer Safety: Texas Ag Commissioner Sid Miller demanded answers after a nearly 30,000-pound Argentine beef recall tied to missed reinspection steps. Livestock & Health: New World screwworm surveillance is accelerating with a new tracking dashboard as officials warn the parasite is moving north faster than expected. Local Schools: Goliad ISD projected a jump to a B accountability rating as trustees prepare for the new school year. Community & Fraud: Coahoma reported five phishing scam reports in July, part of a broader Texas-wide pattern of high scam activity.

Cybersecurity Watch: A Temple-based McLane Co. executive warned that AI is speeding up cyberattacks, shrinking timelines from weeks to hours and supercharging phishing, credential theft, and lateral movement. Manufacturing Outlook: A new look at Texas and the broader economy points to manufacturing as a key long-term growth engine, with the ISM PMI signaling expansion and AI-linked investment lifting demand for semiconductors and data-center infrastructure. Data Center Policy: Gov. Greg Abbott says Google, Rowan, and CleanSpark will comply with Texas data center standards, while Bloomberg NEF warns the ERCOT connection pause could delay about 20% of the US data center pipeline and hit billions in project value. Semiconductor Push: Reuters reports SpaceX and Tesla plan the Terafab chip factory in Grimes County, a vertically integrated, on-site power plan that underscores Texas’ AI hardware race. Energy & Shipping: The IEA says oil stockpiles are rapidly depleting as Strait of Hormuz and Red Sea disruptions deepen supply risk. Local Industry Notes: Buc-ee’s prepares to open in Benton, and Weslaco seeks federal funding for major drainage projects. Food Safety: USDA recalls Argentine beef tied to missed import reinspection steps affecting Texas shoppers.

Data Centers & Power Strain: Texas remains at the center of the AI buildout fight as officials and utilities grapple with grid and water impacts, with new standards and public scrutiny driving delays and compliance moves. Big Tech Manufacturing Push: Bristol Myers Squibb is moving ahead with a $2.3B Houston biopharmaceutical manufacturing campus, signaling continued large-scale industrial investment in the region. Energy Markets: Oil prices climbed on renewed Middle East shipping worries tied to the Strait of Hormuz, keeping fuel and power cost pressure in focus for Texas industry. Border Infrastructure Clash: Bulldozers are clearing parts of Big Bend National Park for the expanded border wall, drawing fresh backlash from residents and environmental groups. Industrial Expansion in East Texas: TexAmericas Center-backed Quail Tools is expanding with a 44-acre adjacent purchase for tubular rental operations, including manufacturing, repair, storage, and hiring. Food & Consumer Safety: USDA recalled nearly 30,000 pounds of imported Argentine beef sold in Texas and Florida over missed inspection steps, while Texas shoppers also faced multiple produce and food recall alerts. Workforce & Community: Workforce Solutions Alamo launched South Texas contests for a 2027 Fiesta Medal and mascot design, inviting students and creatives to submit by Sept. 30.

AI Power & Data Centers: Riot Platforms jumped after signing a reported $9.1B, 20-year deal with Anthropic for Texas data-center capacity, underscoring how quickly compute demand is reshaping local power plans. Pharma Manufacturing: Bristol Myers Squibb picked Houston for a ~$2.3B multi-modal manufacturing campus, targeting nearly 500 jobs and flexible production across multiple medicine types. Grid Pressure & Reliability: Southwest Power Pool warned that rising load growth is straining regional demand, pointing to hotter weather plus added power-intensive projects. Energy Infrastructure for AI: Fermi Inc shares surged on its first binding lease at the Project Matador campus in Texas, a 15-year deal tied to 222 MW of power for AI workloads. Water & Flood Resilience: Weslaco is expanding flood control with engineered retention/detention facilities, including converting a park into a dual-purpose stormwater site. AgTech & Drought Monitoring: Ranchbot raised a Series B to help ranchers track water resources as extreme weather tightens conditions. Border & Public Safety: CBP seized cocaine worth about $1.18M in two Laredo vehicle inspections. Industrial Maintenance: TorqLite promoted its low-clearance hydraulic bolting tools for confined industrial work.

Data Centers & Power Costs: Meta says it will comply with Gov. Greg Abbott’s Texas data center standards, including paying for energy and water impacts—while Trump calls Texas’ opposition to data centers a “mistake,” and Abbott’s pause pushes operators to share grid and water details. Pharma Manufacturing: Bristol Myers Squibb picked Houston for a $2.3B multi-modality manufacturing campus at Generation Park, aiming to scale drug production and create 500 jobs. Energy & Geopolitics: Oil jumped after Iran and the U.S. traded demands tied to reopening the Strait of Hormuz, while Citi raised its Brent forecast to $80 for Q3. Petrochem M&A: ENEOS agreed to buy Houston-based TPC Group for $1.28B, adding petrochemical assets and terminals in Texas. Food Safety: Taylor Farms recalled jalapeño products in 26 states, including Texas, over possible salmonella contamination. Legal/Immigration: HHS said a Houston law firm hasn’t been tapped yet for a sole-source up to $150M grant tied to legal services for unaccompanied migrant children.

Data Center Power Push: A wave of major operators—including Dallas-based Skybox Datacenters, Austin’s Mara, and Digital Realty—publicly pledged to follow Gov. Abbott’s Texas data-center standards as the state audits grid interconnection requests, covering costs, water use, cooling, load flexibility, and community impacts. Semiconductor Manufacturing: SpaceX and Tesla’s planned $16.8B “Terafab” chip complex in Texas keeps moving from announcement to execution, with the broader AI buildout driving demand for power and industrial capacity. Life Sciences Expansion: Bristol Myers Squibb will invest about $2.3B to build a new Houston manufacturing campus, targeting nearly 500 jobs and thousands of construction roles through 2030. Oilfield Services Earnings: Houston-based National Energy Services Reunited shares jumped after a strong Q2 beat, with revenue up 59% and net income nearly tripling. Industrial Water Reuse: LiqTech secured a U.S. order for a QureFlow™ wastewater reuse system at a Freeport, Texas facility, aiming to cut disposal and freshwater use. Food Safety: Taylor Farms recalled jalapeño-containing products after a Salmonella concern, with items sold at major retailers across multiple states.