Google buys 396 MW of geothermal energy from Fervo
Google agrees to purchase 396 megawatts of geothermal electricity from Fervo for a planned Utah data center with options for more.
Stock photo for illustration only, not from the actual event
- Google buys 396 megawatts of electricity from Fervo's Cape Station
- Power will supply a new data center in Utah starting in 2028
- Google holds an option to buy an additional 600 megawatts through 2030
Geothermal energy company Fervo has secured another milestone agreement as Google committed to purchasing nearly half a gigawatt of electricity to power a planned data center in Utah. The power purchase agreement, announced on Tuesday, obligates Google to buy 396 megawatts from Fervo's Cape Station facility in Utah, which is slated to come online in 2028. Additionally, Google retains the option to purchase an extra 600 megawatts through June 2030.
The deal comes as technology giants actively scour the country for new electricity sources to meet soaring demands. Google has long been among the leading purchasers of clean energy in the United States, utilizing wind, solar, and battery storage to fulfill its commitment to achieving net-zero emissions by 2030. However, that target faced mounting challenges in April when Google signed an agreement with data center developer Crusoe for 933 megawatts of natural gas power in Texas.
This new agreement with Fervo could assist Google in fueling its artificial intelligence ambitions without significantly undermining its net-zero objectives. Fervo currently holds permits to develop up to 2 gigawatts of geothermal energy at Cape Station. Sarah Jewett, Fervo's senior vice president of strategy, noted to TechCrunch in May that third-party engineering assessments indicate the site contains sufficient heat to generate twice that amount.
Stock photo for illustration only, not from the actual event
Enhanced Geothermal Systems (EGS) represent a critical breakthrough in renewable energy expansion because they tap into deeper, hotter rock formations that are otherwise inaccessible with conventional hydrothermal techniques. Unlike solar or wind power, geothermal energy provides reliable, baseload electricity around the clock. Major technology companies investing in this sector highlights a broader industry shift toward innovative firm power solutions to satisfy the immense energy demands of modern AI data centers.
According to a recent report by the U.S. Department of Energy, developing those sites to their full 4-gigawatt potential would roughly double the entire geothermal generating capacity across the United States. Furthermore, leveraging enhanced geothermal technologies nationwide could unlock up to 57 terawatts of electricity generation. The partnership builds upon a longstanding relationship spanning over five years, during which Google purchased some of Fervo's earliest power generation and later invested in the startup's funding round prior to its public listing.
"News of the Google deal drove the stock up about 30% yesterday before traders took some profits today."
TechCrunch Report
Source: TechCrunch
Found something wrong in this article? Report an issue with this article
Comments
Leave a Comment