Houston geothermal company picks Nevada site for commercial-scale project

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Sage Geosystems has selected a site for its next major geothermal facility. Photo via sagegeosystems.com

Sage Geosystems, a Houston-based developer of geothermal power systems, has chosen a site in Nevada for its commercial-scale Project Vector facility.

The company’s two-well enhanced geothermal system (EGS) will deliver around-the-clock geothermal heat to Ormat Technologies’ Blue Mountain geothermal power plant in Winnemucca, Nevada.

The startup expects to begin drilling the first well later this year, with the first electricity to be generated in 2027 and full-scale production to start in 2028.

In the Nevada system, fluid will circulate through an engineered subsurface reservoir, absorb heat from the surrounding rock and return heat to the surface. The heat will be delivered to the Blue Mountain plant for conversion into electricity.

Project Vector builds on the performance of Sage’s SMECI facility in South Texas. That facility’s results, combined with Sage’s digital twin platform, will be used to shape to the design and development of Project Vector.

Project Vector supports Sage’s growing commercial pipeline, including a 150-megawatt geothermal power agreement with Meta Platforms, the parent company of Facebook and Instagram.

“Blue Mountain is an ideal location for Sage to take the next step in continuing to commercialize our proprietary EGS approach,” Jason Peart, chief operating officer at Sage, said in a release. “By delivering geothermal heat into an existing power plant, Project Vector can demonstrate the model for bringing firm, 24/7 geothermal power to market at scale.”

Project Vector extends Sage’s relationship with Ormat.

In August 2025, Sage and Ormat agreed to accelerate commercialization of Sage’s geothermal technology at an Ormat power plant. This January, Ormat co-led Sage’s $97 million Series B funding round.

Sage, founded in 2020, has raised about $159 million across three funding rounds.

As the startup ramps up its ESG platform, Sage is targeting data centers as customers, among other large-scale users of electricity.

“The energy needs are huge, and they need it now,” CEO Cindy Taff said on Data Center Frontiers’ podcast. “They can’t depend on the grid anymore.”

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Fervo Energy is targeting a listing on the Nasdaq exchange. Photo courtesy Fervo Energy

Fervo Energy officially files for initial public offering

going public

Fervo Energy has officially filed for IPO.

The Houston-based geothermal unicorn filed a registration statement on Form S-1 with the U.S. Securities and Exchange Commission on April 17 to list its Class A common stock on the Nasdaq exchange. Fervo intends to be listed under the ticker symbol "FRVO."

The number and price of the shares have not yet been determined, according to a news release from Fervo. J.P. Morgan, BofA Securities, RBC Capital Markets and Barclays are leading the offering.

The highly anticipated filing comes as Fervo readies its flagship Cape Station geothermal project to deliver its first power later this year

"Today, miles-long lines for gasoline have been replaced by lines for electricity. Tech companies compete for megawatts to claim AI market share. Manufacturers jockey for power to strengthen American industry. Utilities demand clean, firm electricity to stabilize the grid," Fervo CEO Tim Latimer shared in the filing. "Fervo is prepared to serve all of these customers. Not with complex, idiosyncratic projects but with a simplified, standardized product capable of delivering around-the-clock, carbon-free power using proven oil and gas technology."

Fervo has been preparing to file for IPO for months. Axios Pro first reported that the company "quietly" filed for an IPO in January and estimated it would be valued between $2 billion and $3 billion.

Fervo also closed $421 million in non-recourse debt financing for the first phase of Cape Station last month and raised a $462 million Series E in December. The company also announced the addition of four heavyweights to its board of directors last week, including Meg Whitman, former CEO of eBay, Hewlett-Packard, and Spring-based HPE.

Fervo reported a net loss of $70.5 million for the 2025 fiscal year in the S-1 filing and a loss of $41.1 million in 2024.

Tracxn.com estimates that Fervo has raised $1.12 billion over 12 funding rounds. The company was founded in 2017 by Latimer and CTO Jack Norbeck.

Baker Hughes announced partnerships this week with Google Cloud and geothermal startup XGS Energy. Photo courtesy Baker Hughes

Baker Hughes teams up with Google and XGS on energy tech

project partners

Houston-based energy technology company Baker Hughes recently forged two significant partnerships—one with tech titan Google and another with geothermal power startup XGS Energy.

Under the Google Cloud partnership, announced at CERAWeek 2026, Baker Hughes technology will be paired with Google Cloud AI and data analytics to improve the performance of AI data centers’ power systems and energy-transfer machinery. Furthermore, the two companies will explore opportunities for data centers to extract greater value from underused industrial and operational data.

“Infrastructure that powers the growing demand for AI and cloud computing is becoming one of the most critical drivers of global electricity needs,” Lorenzo Simonelli, chairman and CEO of Baker Hughes, said in the announcement.

“Through this partnership with Google Cloud, we are bringing together world-class power technologies and digital capabilities to help data center operators improve efficiency, enhance reliability, and accelerate progress toward lower-carbon operations,” he added.

Through the XGS partnership, Baker Hughes will provide engineering services for XGS’ 150-megawatt geothermal project in New Mexico. The project will supply energy to the Public Service Co. of New Mexico grid in support of New Mexico data centers operated by Meta Platforms, the parent company of Facebook and Instagram.

“With this single project for Meta in New Mexico, XGS will increase the state’s operating geothermal capacity by tenfold,” says Ghazal Izadi, chief operating officer at XGS.

“Geothermal energy plays a vital role in delivering reliable, cleaner power at scale,” added Maria Claudia Borras, chief growth and experience officer and interim executive vice president of industrial and energy technology at Baker Hughes. “By collaborating with XGS at this early stage, we are applying our ground‑to‑grid capabilities to reduce technical risk, accelerate reservoir validation, and engineer an integrated solution to deliver … power efficiently and reliably.”

California-headquartered XGS, which has a major presence in Houston, is known for its proprietary solid-state geothermal system that uses thermally conductive materials to deliver affordable energy wherever there is hot rock.

Fervo Energy has unlocked multigigawatt potential from a new geothermal energy site. Photo courtesy Fervo Energy.

Fervo taps into its hottest-ever geothermal reservoir

heat record

Things are heating up at Houston-based geothermal power company Fervo Energy.

Fervo recently drilled its hottest well so far at a new geothermal site in western Utah. Fewer than 11 days of drilling more than 11,000 feet deep at Project Blanford showed temperatures above 555 degrees Fahrenheit, which exceeds requirements for commercial viability. Fervo used proprietary AI-driven analytics for the test.

Hotter geothermal reservoirs produce more energy and improve what’s known as energy conversion efficiency, which is the ratio of useful energy output to total energy input.

“Fervo’s exploration strategy has always been underpinned by the seamless integration of cutting-edge data acquisition and advanced analytics,” Jack Norbeck, Fervo’s co-founder and chief technology officer, said in a news release. “This latest ultra-high temperature discovery highlights our team’s ability to detect and develop EGS sweet spots using AI-enhanced geophysical techniques.”

Fervo says an independent review confirms the site’s multigigawatt potential.

The company has increasingly tapped into hotter and hotter geothermal reservoirs, going from 365 degrees at Project Red to 400 degrees at Cape Station and now more than 555 degrees at Blanford.

The new site expands Fervo’s geologic footprint. The Blanford reservoir consists of sedimentary formations such as sandstones, claystones and carbonates, which can be drilled more easily and cost-effectively than more commonly targeted granite formations.

Fervo ranks among the top-funded startups in the Houston area. Since its founding in 2017, the company has raised about $1.5 billion. In January, Fervo filed for an IPO that would value the company at $2 billion to $3 billion, according to Axios Pro.

Bill Gates says companies like Fervo push the geothermal technology 'to new depths.' Photo via fervoenergy.com

Fervo Energy spotlighted by Bill Gates as geothermal’s global growth driver

geothermal predictions

In a new blog post spotlighting Houston-based geothermal power startup Fervo Energy, billionaire Bill Gates — a Fervo investor — predicts geothermal will eventually supply up to 20 percent of the world’s electricity, up from his previous estimate of as much as 5 percent.

Today, geothermal accounts for less than 1 percent of electricity generated around the world, according to the International Energy Agency. The agency forecasts geothermal will represent up to 15 percent of global power by 2050.

“Geothermal power will have a big role to play in our clean energy future, and it’s exciting to see companies like Fervo push the technology to new depths,” Gates wrote.

Gates’ more than $1 billion Breakthrough Energy Ventures fund has contributed to the $982 million pool of money that Fervo has raised since its founding in 2017. Fervo is now a unicorn, meaning its valuation as a private company exceeds $1 billion. Its valuation has been estimated at $1.4 billion.

The Microsoft billionaire published the blog post on his Gates Notes website after touring the site of Fervo’s Cape Station geothermal project, which is under construction in Utah. Fervo says Cape Station will be the world’s largest geothermal plant, capable of someday producing up to 2 gigawatts of power.

Earlier this year, Fervo raised $206 million to put toward the development of Cape Station. Of that amount, $100 million came from Breakthrough Energy Catalyst, a green tech investment program backed by Gates, according to Inc.com.

The first phase of Cape Station is scheduled to be completed in 2026, with first-year power generation pegged at 100 megawatts. An additional 500 megawatts of power-producing capacity is slated to go online in 2028.

“Geothermal is one of the most promising ways to deliver clean energy that’s reliable and affordable,” Gates wrote.

In the blog post, Gates praised the simplicity of geothermal energy.

“The interior of the Earth is incredibly hot, and the deeper you go, the hotter the ground becomes,” he explained. “If you pump fluid deep enough to be warmed by this heat and then pump it back to the surface, you can turn the hot liquid into steam and use it to spin turbines and generate electricity — just like many other types of power plants.”

Gates noted that horizontal drilling is one of Fervo’s biggest innovations. The company extends its wells horizontally by as much as 5,000 feet at the deepest point. It couples horizontal drilling with hydraulic fracturing, or fracking, to extract geothermal energy from rock formations.

Most wells at Cape Station are 8,000 to 9,000 feet deep, and the deepest one is 15,000 feet below the surface, Gates pointed out.

Gates also emphasized the water-conserving, closed-system setup at Cape Station.

“Geothermal energy is one of the more climate-friendly sources of power, but one of its downsides is how much water it uses. … Fervo’s technology captures all the water that would’ve been lost and recirculates it underground to keep the system running,” he wrote.

Houston's Fervo Energy has secured new funding for Cape Station, its Utah geothermal energy plant. Photo courtesy Fervo Energy.

Fervo Energy lands $200 million in capital for new geothermal project

fresh funding

Houston-based Fervo Energy, a producer of geothermal power, has secured $205.6 million in capital to help finance its geothermal project in southern Utah.

The money will go toward the first and second phases of Cape Station, a geothermal energy plant being developed in Beaver County, Utah. Beaver County is roughly an equal distance between Salt Lake City and Las Vegas.

The $205.6 million in capital came from three sources:

$100 million in equity from Breakthrough Energy Catalyst, a Kirkland, Washington-based platform that invests in emissions-reducing projects.
$60 million addition to Fervo’s existing loan from Mercuria, a Swiss energy and commodities trader. The revolving loan now totals $100 million.
$45.6 million in additional bridge debt financing from XRL-ALC, an affiliate of Irvington, New York-based X-Caliber Rural Capital. X-Caliber is a USDA-approved lender. The initial bridge loan was $100 million.

The first phase of Cape Station will supply 100 megawatts of carbon-free electricity to the power grid starting next year. Another 400 megawatts of capacity is supposed to go online by 2028. Fervo has permission to expand Cape Station’s capacity to as much as 2 gigawatts. On an annual basis, 2 gigawatts can supply enough electricity to power about 1.4 million homes.

“These investments demonstrate what we’ve known all along: Fervo’s combination of technical excellence, commercial readiness, and market opportunity makes us a natural partner for serious energy capital. The confidence our investors have in Fervo and in the Cape asset affirms that next-generation geothermal is ready to play a defining role in America’s energy future,” David Ulrey, Fervo’s CFO, said in a news release.

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Katy’s TerraFlow acquires Houston battery tech startup FlowCellutions

m&a activity

Katy-based TerraFlow Energy, an energy storage and infrastructure company, has acquired Houston-based battery technology startup FlowCellutions. Financial terms weren’t disclosed.

FlowCellutions still operates under its established name, but with the tagline “A TerraFlow Energy Company.” Becca Segel, founder and CEO of FlowCellutions, now runs the business as its president.

FlowCellutions specializes in electrochemical sensing, diagnostics, analytics, and testing that offer insights into battery chemistry, charging capabilities, and system performance.

“FlowCellutions has always been focused on developing better ways to understand what is happening inside a flow battery and using that information to improve how these systems perform,” Segal said in a press release. “Joining TerraFlow gives us the opportunity to apply that work at a much larger scale while continuing to build the capabilities and expertise that make FlowCellutions unique.”

The FlowCellutions platform supports data centers and other heavy users of power. It’s designed to help reduce operating costs, prevent failures and costly downtime, and extend battery lifetime from about seven years to more than 30 years.

Segel founded the company in 2022. A member of Greentown Labs, the company raised more than $2 million in non-dilutive funding and received $1.5 million in National Science Foundation funding earlier this year.

FlowCellutions is one of five finalists in the Energy Transition Business category of InnovationMap’s 2026 Houston Innovation Awards.

“FlowCellutions brings a depth of scientific and technical expertise that fits naturally with where TerraFlow is going,” Jon Parrella, CEO of TerraFlow, said in the release.

“As we move from developing these systems to deploying them at commercial scale, understanding performance at a deeper level matters,” he said. “Bringing FlowCellutions into TerraFlow strengthens that capability and gives both teams more opportunity to advance the technology.”

TerraFlow, founded in 2024, develops long-duration energy storage and power infrastructure for data centers, industrial facilities, utilities and other large power consumers.

2 Houston cleantech cos. among world's 50 to watch and more energy news

Trending News

Editor's note: The top Houston energy transition news for October includes local startups landing global recognition and a look at the finalists for Energy Transition Business in the 2026 Houston Innovation Awards. Here are the five most-read EnergyCapitalHTX stories published October 16-31, 2026:

Rice University spinouts named among 50 top cleantech companies to watch

Two Rice University spinouts, Coflux Purification and DexMat, appear on a new list of the world’s 50 cleantech companies to watch. Cleantech Group’s 2026 Cleantech 50 to Watch list recognizes early-stage companies “creating groundbreaking solutions to address some of the world’s most pressing environmental and sustainability challenges.” Continue reading.

These 5 trailblazing Houston startups are leading the energy transition

Houston is home to a growing number of startups reshaping what it means to be called the "Energy Capital of the World." As part of the 2026 Houston Innovation Awards, our Energy Transition Business category honors those innovative startups that are providing solutions within renewables, climatetech, clean energy, alternative materials, circular economy and more. Five clean energy startups have been named finalists for the 2026 award. Continue reading.

Tesla unveils new Roadster sports car, which can thrust itself in the air

Tesla has unveiled its new Roadster sports car, which can thrust itself in the air, among other engineering bells and whistles. But drivers shouldn't expect to take it for a spin anytime soon. Elon Musk's electric car company rolled out its second-generation Roadster at a recent event, showing off a set of cold gas thrusters and a “multi-mode” suction system that can fling the car in the air for short spurts and spin the vehicle mid-flight. Continue reading.

Houston researchers develop heating method to recover critical minerals from e-waste

Researchers at Rice University have developed a new technique to efficiently recycle electronic waste and harvest critical minerals using rapid heating. Most electronic devices use flame-retardant plastic. The plastic is formulated from a critical metal called antimony. Continue reading.

Houston solar manufacturer expands facility, production capacity

Solar tracking and manufacturing company PV Hardware USA is increasing its production capacity and expanding its Houston facility in an effort to meet growing demands. The move marks the company's third expansion in the Houston area in three years. PV Hardware reports a 400 percent surge in national market growth over the past three years, as solar-based projects have been pivotal in energy resilience efforts. Continue reading.

8 must-attend Houston energy events happening in November 2026

Mark your calendars

Editor's note: The November calendar is front-loaded with events for those in Houston's energy sector. From annual summits to an expo exploring AI and energy, these are the events you'll want to register for this month.

Nov. 2 — Energy Leadership Speaker Series

Join UH Energy for a conversation with Jason Wells, Chair, President, and Chief Executive Officer of CenterPoint Energy. The Energy Leadership Speaker Series is a year-long program featuring 12 expert-led sessions covering topics from energy leadership to AI and data science in energy operations. The November topic is "Grid Modernization & The Electricity Revolution."

This event begins at 4:15 pm on November 2 at the University of Houston. Find details here.

Nov. 3-4 — Next-Gen AI for Energy Summit 2026

The summit brings together over 600 senior executives from energy, technology, policy, and investment communities worldwide to explore six strategic areas: operational optimization, digital infrastructure, finance, digital twins, risk management, cybersecurity, and AI-driven market and regulatory strategies. The summit is co-located with EnergyTech X, an invite-only forum connecting energy innovators, AI founders, startups, and investors to scale next-generation energy technologies.

This event begins Nov. 3 at the Intercontinental Houston. Register here.

Nov. 3-5: 17th Annual Operational Excellence in Oil & Gas Summit

The 17th Annual Operational Excellence in Oil & Gas Summit will focus on aligning technology, process, and workforce to balance reliability, resilience, and operational cost. It will feature case studies on AI adoption, asset management, and workforce modernization.

This event begins Nov. 3 at Norris Conference Center. Register here.

Nov. 4-5 — 2026 OPIS Global LPG Conference: Powering Global Connectivity

This November, industry leaders, traders, producers, and infrastructure stakeholders will once again converge in Houston—the world’s LPG hub—for the 2026 OPIS Global LPG Conference. The conference will cover the global LPG market, which is entering a new phase of structural evolution, and how the industry is moving from managing volume to mastering the connectivity between expanding supply hubs and global energy and petrochemical demand.

This event begins Nov. 4 at the Royal Sonesta Houston Galleria. Register here.

Nov. 4-6: SAF North America Congress 2026

The aviation and energy value chains will gather in Houston once again to help shape the future of Sustainable Aviation Fuel (SAF) in North America. The focus will be on safeguarding progress made to date and ensuring SAF remains central to energy and climate strategies.

This event begins Nov. 4 at Marriott Marquis Houston. Register here.

Nov. 11: BNEF Summit Houston 2026

The BNEF Summit Houston 2026 will explore how AI-driven demand, geopolitical tensions, and electrification are reshaping energy systems at unprecedented speed. Bringing together 600 leaders across energy, tech, digital infrastructure and finance, the summit will address the race to build power, infrastructure, and supply chains — and who will fund, deliver, and benefit from the next phase of growth.

This event takes place Nov. 11 at Post Oak Houston. Register here.

Nov. 11-12: Energy Supply Chain & Procurement Summit

For 12 years, the Energy Supply Chain and Procurement Summit has brought senior procurement, supply chain, and logistics leaders to Houston — from operators, EPCs, utilities, service and equipment providers, and the suppliers they depend on. At the 2026 summit, leaders will discuss what production growth is doing to sourcing, supplier risk, and assurance of supply, and what’s working.

This event begins Nov. 11 at Houston Marriott Uptown. Register here.

Nov. 18-19: American Data Centers & AI Conference and Exhibition 2026

Set to redefine the intersection of energy and digital infrastructure, the American Data Centers & AI Conference and Exhibition convenes in Houston for its second annual event. The event will address the increasing demand for high-performance computing and the sustainable development of AI infrastructure, which requires significant power. Participants can expect to learn about practical solutions in energy integration, modern data center design, and scalable approaches. The agenda includes presentations from leading experts, demonstrations of new technologies for thermal management and grid optimization, and detailed discussions on AI's environmental impact and how to reuse generated heat.

This event begins Nov. 18 at the Double Tree Hotel at Greenway Plaza. Register here.

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