January 31, 2025, USA: Enhanced Geothermal Systems (EGS) are gaining momentum, with significant developments in the U.S. driven by technological advancements and substantial investment.
Key developments include:
Drilling Efficiency: Drilling speeds have improved by 500% in three years, enhancing commercial viability.
Financial Backing: The U.S. Department of Energy (DOE) has allocated $300 million to EGS projects, including $220 million for Project FORGE in Utah.
Project Red: Fervo Energy's initiative outside Las Vegas has consistently supplied 3.5 MW to NV Energy for a year.
Cost Reductions: Costs per well have decreased from $9.4 million to $4.8 million, with drilling times reduced by 70%.
Future Capacity: EGS has the potential to supply 800 GW of clean power globally by 2050, significantly increasing from current levels.
New Projects: Fervo is expanding to a 400 MW geothermal plant in Beaver County, Utah, with the first phase expected online by 2026.
High-tech firms like Google and Microsoft are committing to carbon-free energy by 2030, driving demand for reliable energy sources. Bipartisan support for geothermal energy in Congress and the backing of oil and gas companies further bolster the sector's growth.
Geothermal energy's advantages include high capacity factors, competitive levelized cost of electricity (LCOE), low emissions, and a minimal land footprint, making it a vital component of the future energy landscape.