Utah geothermal expansion targets tech giants and California utilities

A geothermal energy boom is unfolding in Utah, driven by new technologies and high demand from tech companies seeking consistent, carbon-free power for data centers. Fervo Energy is developing the Cape Station enhanced geothermal systems (EGS) GeoCluster in Beaver County, which is projected to reach a peak capacity of 4.3 gigawatts.

Despite being located in Utah, the plant’s early electricity output is primarily contracted for external use. Google has signed a power purchase agreement to acquire 396 megawatts from the facility, with options to expand to nearly 1 gigawatt by 2030. Additionally, California utilities, including Southern California Edison and Shell Energy, have secured contracts for approximately 500 megawatts.

While Utah is becoming a proving ground for advanced geothermal technology, none of the Cape Station output is currently earmarked for local Utah customers. The facility's remaining unclaimed capacity, estimated at 3.4 gigawatts, is equivalent to the maximum output of three full-scale legacy coal plants.