New Google geothermal electricity project could be a milestone for clean energy

An advanced geothermal initiative has commenced delivering carbon-free electricity to the Nevada grid for the operation of Google data centers in the region, as announced by Google on Tuesday.

A drill Rig stands at Fervo Energy geothermal site under construction near Milford, Utah.

Getting electrons onto the grid for the first time is a milestone many new energy companies never reach, emphasized Tim Latimer, CEO and co-founder of Google’s geothermal partner in the project, Houston-based Fervo Energy.

“I think it will be big and it will continue to vault geothermal into a lot more prominence than it has been,” Latimer stated in an interview.

The International Energy Agency has consistently identified geothermal as a viable solution to address climate change. In a 2011 roadmap document, it projected that geothermal could contribute around 3.5% of global electricity generation annually by 2050, resulting in the avoidance of nearly 800 megatonnes of carbon dioxide emissions per year.

Rig operators connect drills that will plunge underground to access reservoirs of heat

However, this potential has largely remained untapped until now. Today's announcement could signify a pivotal moment.

Fervo is leveraging this initial pilot project to launch additional initiatives aimed at delivering significantly more carbon-free electricity to the grid. The company is presently finalizing initial drilling in southwest Utah for a 400-megawatt project.

Google and Fervo Energy initiated collaboration in 2021 to advance next-generation geothermal power. With the site near Winnemucca, Nevada now operating commercially, it is contributing approximately 3.5 megawatts to the grid through three wells.

The data centers have a higher electricity demand, prompting Google to enter additional agreements for solar and storage. With two sites in Nevada, one near Las Vegas and the other near Reno, Michael Terrell, who oversees global decarbonization efforts at Google, mentioned the company's exploration of utilizing geothermal energy for other data centers globally, forming part of its portfolio of carbon-free technologies.

“We’re really hoping that this could be a springboard to much, much more advanced geothermal power available to us and others around the world,” he stated.

In 2020, Google announced its commitment to using carbon-free energy every hour of every day across all its operations by 2030.

Numerous energy experts believe that major corporations like Google can act as catalysts in expediting the adoption of clean energy.

Terrell highlighted the company's early support for wind and solar projects, contributing to the growth of these markets.

“It’s a very similar situation. Now that we’ve set a goal to be 24/7 carbon-free energy, we have found it will take more than just wind, solar and storage to achieve that goal,” Terrell explained in an interview. “And frankly, to get power grids to 24/7 carbon-free energy as well, we’re going to need this new set of advanced technologies in energy. Looking at this deal with Fervo, we saw an opportunity to play a role in helping to take these technologies to scale.”

An operator climbs a drill rig that will reach underground to access geothermal reservoirs

 The United States is a global leader in harnessing the Earth’s heat energy for electricity generation. However, geothermal power still contributes to less than half a percent of the nation’s total utility-scale electricity generation, as reported by the U.S. Energy Information Administration. In 2022, the states generating geothermal power included California, Nevada, Utah, Hawaii, Oregon, Idaho, and New Mexico, known for their traditional geothermal potential due to the presence of steam or hot water reservoirs near the surface in the Western region.

Energy Secretary Jennifer Granholm stated earlier this year that advancements in enhanced geothermal systems would facilitate the introduction of this energy form in regions previously deemed impractical. Granholm made this announcement while unveiling funding for the industry.

In the previous year, the Energy Department initiated an effort to achieve "aggressive cost reductions" in enhanced geothermal systems. The recent announcement of $44 million to advance geothermal deployment nationwide mentioned that the United States holds the potential for 90 gigawatts of geothermal electricity by 2050, equivalent to powering over 65 million American homes.

Enhanced geothermal companies, including Fervo, are now exploring heat sources deeper below the ground, unlocking potential in a broader range of locations. Notably, Latimer, the CEO and co-founder of Fervo, brings experience as a former drilling engineer in the oil and gas industry.

 Drilling technology and practices underwent significant improvements during the shale boom that transformed the United States into a leading oil and gas producer and exporter. However, there has been minimal technology transfer from the oil and gas industry to geothermal, as noted by Sarah Jewett, Vice President of Strategy at Fervo.

“They were using all of the old, for lack of a better word, janky stuff from old-school oil and gas development,” she stated. “We basically just went to the oil field service companies and said, ‘Give us all your best stuff.’ And we have been using all of the modern drilling technology to do our development.” This approach has resulted in significantly enhanced efficiency and reduced costs.

During a presentation at ClimateTech 2023 at the Massachusetts Institute of Technology, Latimer highlighted Fervo's pioneering efforts in horizontal drilling within geothermal reservoirs. In Nevada, Fervo drilled approximately 8,000 feet down, made a lateral turn, and drilled about 3,250 feet horizontally.

The use of horizontal drilling allows Fervo to access a larger portion of the hot reservoir without the need for numerous vertical wells.

Fervo employs a method where cold water is pumped down an injection well, circulated over hot rock underground to another well (the production well), with the space between created by fracking or fracturing the rock. The water reaches temperatures close to 400 degrees Fahrenheit (200 degrees Celsius) before resurfacing. At the surface, it transfers its heat to another liquid with a low boiling point, generating steam. The expanding steam's pressure then spins a turbine to produce electricity, akin to a coal or natural gas-fired plant. The now-cooled geothermal water is reintroduced down the injection well, restarting the cycle in a closed-loop system.

According to Fervo, well tests conducted this summer yielded highly favorable results. Latimer aims to replicate these tests in as many locations as possible swiftly, aiding the transition away from coal, oil, and natural gas to mitigate greenhouse gas emissions.

A drill rig stands at a Fervo Energy geothermal site near Milford, Utah

The venture capital firm DCVC injected $31 million into Fervo last year, according to Rachel Slaybaugh, a partner at the firm. She mentioned that they made this investment because Fervo was ready to contribute power to the grid while its competitors were not at that stage yet. Slaybaugh noted that it was advantageous that Latimer, with experience running a drill rig, led the team, emphasizing that they understood the kind of company they were building.

Both Fervo and Google underscored the value of geothermal as an "always-on" clean technology that can be scaled up before 2030 in the global effort to reduce greenhouse gas emissions. Fervo's upcoming project in Beaver County, Utah, is scheduled to commence delivering clean power to the grid in 2026, with full production expected by 2028.

“This is unlocking something deeply sought after in the market today as we transition away from fossil fuels, and that is, round-the-clock renewable energy,” Jewett remarked.