zeroing in on zero emissions

Houston researcher scores $500,000 award to continue on work on energy transition

UH's Jian Shi recently received the NSF's CAREER award, which will dole out $500,861 in funding through February 2029. Photo via UH.edu

A University of Houston professor and researcher is laser focused on his work within the energy transition, and National Science Foundation has taken note, awarding him over half a million dollars in funding.

Jian Shi, an assistant professor within the Cullen College of Engineering, recently received the NSF's CAREER award, which will dole out $500,861 in funding through February 2029.

The award was granted for his research, entitled “A Unified Zero-Carbon-Driven Design Framework for Accelerating Power Grid Deep Decarbonization.”

“One of the most major challenges inherent in energy transition is the cost. While reducing carbon emissions serves the best interest of society in the long run, the short-term financial burdens also need to be carefully evaluated to ensure that we have a safe, affordable, reliable and just transition for all,” Shi says in a UH news release. “This challenge has inspired me to work on the innovative framework of “ZERO-Accelerator.”

Shi's ZERO-Accelerator is focused on taking standard carbon-driven tools and integrating them into current power grid operational practices. Shi is the director and founder of SOAR, or the Smart and ZerO-Carbon Energy Analytics and Research Lab.

“It synthesizes interactions from multiple key stakeholders involved in the electricity ecosystem,” says Shi. “The framework considers how to manage carbon allowance allocation and trading for electricity producers, how to maintain a 24/7 zero-carbon power grid for power grid operators and how to enable consumers to understand their carbon footprint and participate in the zero-carbon grid operation.”

In his CAREER proposal, Shi explains that he is also contributing to training the future energy workforce. He adds that he shares this award with his colleagues.

“I believe no accomplishment is truly individual,” he says. “Rather, it is a collective triumph achieved through collaboration, support and shared dedication. As I reflect on the milestones I've reached, I am compelled to express my deepest gratitude to my esteemed colleagues whose unwavering commitment has been instrumental in not just my collective success, but our collective success as well."

Last summer, Shi mentored a UH team in the inaugural American-Made Carbon Management Collegiate Competition, hosted by the U.S. Department of Energy's Office of Fossil Energy and Carbon Management. The team, GreenHouston, took third place in the competition, securing a $5,000 cash prize.

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A View From HETI

Fervo Energy has closed financing to support the remaining construction costs for the first phase of Cape Station. Photo via fervoenergy.com

Houston geothermal unicorn Fervo Energy has closed $421 million in non-recourse debt financing for the first phase of its flagship Cape Station project in Beaver County, Utah.

Fervo believes Cape Station can meet the needs of surging power demand from data centers, domestic manufacturing and an energy market aiming to use clean and reliable power. According to the company, Cape Station will begin delivering its first power to the grid this year and is expected to reach approximately 100 megwatts of operating capacity by early 2027. Fervo added that it plans to scale to 500 megawatts.

The $421 million financing package includes a $309 million construction-to-term loan, a $61 million tax credit bridge loan, and a $51 million letter of credit facility. The facilities will fund the remaining construction costs for the first phase of Cape Station, and will also support the project’s counterparty credit support requirements.

Coordinating lead arrangers include Barclays, BBVA, HSBC, MUFG, RBC and Société Générale, with additional participation from Bank of America, J.P. Morgan and Sumitomo Mitsui Trust Bank, Limited, New York Branch.

“As demand for firm, clean, affordable power accelerates, EGS (Enhanced Geothermal Systems) is set to become a core energy asset class for infrastructure lenders,” Sean Pollock, managing director, project Finance at RBC Capital Markets, said in a news release. “Fervo is pioneering this step change with Cape Station, a vital contribution to American energy security that RBC is proud to support.”

The oversubscribed financing marks Cape Station’s shift from early-stage and bridge funding to a long-term, non-recourse capital structure, according to the news release.

“Non-recourse financing has historically been considered out of reach for first-of-a-kind projects,” David Ulrey, CFO of Fervo Energy, said in a news release. “Cape Station disrupts that narrative. With proven oil and gas technology paired with AI-enabled drilling and exploration, robust commercial offtake, operational consistency, and an unrelenting focus on health and safety, we have shown that EGS is a highly bankable asset class.”

Fervo continues to be one of the top-funded startups in the Houston area. The company has raised about $1.5 billion prior to the latest $421 million. It also closed a $462 million Series E in December.

According to Axios Pro, Fervo filed for an IPO that would value the company between $2 billion and $3 billion in January.

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