Elon Musk‘s rocket company, SpaceX, disclosed in its IPO filing that xAI plans to spend $2.8 billion on additional mobile gas turbines, despite being embroiled in a lawsuit over emissions from its generator near Memphis, Tennessee.

The National Association for the Advancement of Colored People (NAACP) and environmental groups sued in April. Musk’s xAI allegedly ran dozens of turbines at the Southaven location without the required approvals under federal air rules.

In the filing, the NAACP argues xAI’s setup amounts to an illegal operation under the Clean Air Act, alleging dozens of methane-fueled generators were run without the required permits. The group is asking a judge to order the company to stop using the turbines it says lack authorization.

XAI has now obtained permits for 15 turbines for AI-related power needs over the next three years. It had 46 in operation as of a few weeks ago, TechCrunch reported.

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