Fervo Energy Raises $244 Million to Accelerate Deployment of Next-Generation Geothermal

HOUSTON, TX (February 29, 2024) – Fervo Energy (“Fervo”), the leader in next-generation geothermal development, today announced that it has raised $244 million in new funding led by Devon Energy, a pioneer in shale oil and gas. This financing will unlock Fervo’s next phase of growth, deploying proven technology adapted from the oil and gas industry at scale to deliver commer­cially viable ²⁴⁄₇ carbon-free energy.

Galvanize Climate Solutions, John Arnold, Liberty Mutual Investments, Marunouchi Innovation Partners, Mercuria, and Mitsubishi Heavy Industries also joined the round alongside existing investors Capricorn’s Technology Impact Fund, Congruent Ventures, DCVC, Elemental Excelerator, Helmerich & Payne, and Impact Science Ventures.

“Demand for around-the-clock clean energy has never been higher, and next-generation geothermal is uniquely positioned to meet this demand,” said Tim Latimer, Fervo CEO and Co-Founder. ​“Our technology is fully derisked, our pricing is already competitive, and our resource pipeline is vast. This investment enables Fervo to continue to position geothermal at the heart of ²⁴⁄₇ carbon-free energy production.”

Since its last fundraise, Fervo has success­fully brought its first commercial project online, estab­lishing Fervo’s system as the most productive enhanced geothermal system (EGS) in history. Fervo has also begun drilling at Cape Station, a 400 MW project in Beaver County, Utah. Early drilling results show reduced drilling times and lower costs that signif­i­cantly exceed Department of Energy expec­ta­tions for EGS.

“Fervo’s approach to geothermal development leverages leading-edge subsurface, drilling, and completions expertise and techniques Devon has been honing for decades,” said David Harris, Chief Corporate Development Officer and Executive Vice President at Devon. ​“We look forward to deepening our partnership with Fervo to capture the full value of Fervo’s first-mover advantage in geothermal and the adjacencies to Devon’s core business.”

The fundraise will support Fervo’s continued operations at Cape Station, which will begin delivering clean electricity to the grid in 2026.

“The energy trilemma is one of the defining global challenges of our time; how can we generate power that is affordable, reliable, and clean,” said John Arnold, Founder of Centaurus Capital and Co-Chair of Arnold Ventures. ​“Fervo has transformed geothermal into a scalable carbon-free resource ready to meet the moment.”

Goldman Sachs & Co. LLC acted as exclusive placement agent to Fervo Energy. Vinson & Elkins LLP acted as legal advisor to Fervo Energy.

About Fervo Energy

Fervo Energy provides ²⁴⁄₇ carbon-free energy through the development of next-generation geothermal power. Fervo’s mission is to leverage innovation in geoscience to accelerate the world’s transition to sustainable energy. Geothermal has a major role to play in the future electric grid, and Fervo’s key advance­ments in drilling and subsurface analytics bring a full suite of modern technology to make geothermal cost competitive and globally scalable. For more information, please visit www.fervoenergy.com.