Google signs record geothermal power deal with Fervo Energy

Google has signed a record-breaking power purchase agreement with Fervo Energy to secure carbon-free electricity from the Cape Station project in Utah. The deal is described as the world’s largest enhanced geothermal power purchase agreement to date.

Under the terms of the agreement, Fervo will supply 396 megawatts (MW) of electricity starting in 2028. Google maintains an option to increase its power purchases by approximately 600 MW, potentially reaching a total of nearly 1 gigawatt (GW) by mid-2030.

Fervo Energy utilizes enhanced geothermal systems (EGS), which employ horizontal drilling and fiber optic sensing to extract energy from hot rock formations rather than relying on naturally occurring steam reservoirs. This technology allows for more scalable and reliable clean energy production compared to intermittent sources like wind and solar. Following the announcement, shares in Fervo Energy rose by more than 25%.

The collaboration between the two companies dates back to 2021 and follows a successful commercial pilot project in Nevada. The Cape Station project is expected to begin delivering its first power to the grid in 2026.