Episode Length: ~14 minutes
Episode Summary
In this episode, the discussion dives deep into the rapidly evolving world of advanced and enhanced geothermal systems. The hosts explore recent funding milestones for Eavor and Fervo, breakthrough drilling speeds and temperatures, and how these advances are reshaping geothermal’s cost competitiveness relative to other low-carbon baseload power sources. They also touch on scaling potential, new drilling technologies, and the growing number of players moving into this space. The conversation highlights geothermal’s transition from niche to mainstream contender in the clean energy mix.
Topics Covered
Recent Investments in Geothermal – $136M for Eavor from the Canada Growth Fund and $200M for Fervo.
Technical Breakthroughs – Faster drilling rates, deeper wells, and achieving 500°F rock.
Cost Competitiveness – Geothermal’s levelized cost of energy (LCOE) falling from ~$400/MWh a few years ago to ~$60/MWh today in strong resource areas.
Scalability of Enhanced Systems – Applying unconventional drilling approaches for multi-hundred MW to gigawatt-scale projects.
Technology Pathways – Tools and techniques for ultra-deep and hot wells (e.g., PDC bits, laser drilling).
Industry Momentum – A handful of visible players leading headlines, with many others working quietly in the background.
Future Outlook – Cautious optimism, with more companies expected to announce breakthroughs soon.
Key Takeaways
Geothermal is moving rapidly toward competitiveness with natural gas (even with CCS) and nuclear on both cost and reliability dimensions.
Breakthroughs in drilling speed and higher-temperature resource access are driving down project costs dramatically.
Enhanced and advanced geothermal systems are inherently scalable, borrowing methods from the unconventional oil & gas playbook.
While Eavor and Fervo dominate headlines, many other players are making similar progress, suggesting broader industry momentum.
Continued innovation—such as laser drilling and improved equipment for extreme heat—will be crucial for unlocking the next wave of geothermal growth.
The pace of progress suggests that within a year or two, geothermal may shift from a niche interest to a core pillar of the clean energy transition
Coffee chats are casual conversations On Energy, hosted live on LinkedIn. Opinions are my own, not investment advice or views of my employer.
Disclaimer
The views and opinions expressed are solely my own and do not necessarily reflect those of my employer or any affiliated organizations. Content is provided for informational purposes only and should not be taken as investment, legal, or professional advice. Please conduct your own research and seek guidance from qualified professionals before making decisions.
