Fervo Energy lands $20M in DOE grants to expand geothermal into Idaho and Nevada

What's the deal? Fervo Energy has received two awards from the U.S. Department of EnergyDealroom has a profile for this one. Try Dealroom → totaling roughly $20 million to develop Enhanced Geothermal Systems (EGS) in Idaho and Nevada. The Houston-based company, listed on the Nasdaq under FRVO, builds utility-scale geothermal power designed to run around the clock.

Where the money goes: In Idaho, Fervo will drill and complete EGS wells in Elmore County alongside national labs, while testing new technology for high-temperature operations. In Nevada, the grant funds an appraisal campaign at a prospect in Humboldt County to confirm a reservoir is fit for development.

Why now? Fervo's commercial pilot, Project Red, has fed 3MW of gross power to the Nevada grid since 2023. The company has also drawn earlier DOE support for Cape Station, its flagship project in Milford, Utah.

What's the endgame? Fervo is scaling EGS, which taps heat deep underground to produce electricity regardless of weather or time of day. It positions geothermal as firm, clean power for rising demand from AI data centres, utilities, and a more electricity-intensive economy.

"We believe this is a clear indication from the federal government that expanding geothermal energy to new states is a national priority," said Jack Norbeck, chief technology officer and co-founder.

The signal: At $20 million, the award ranks in the top 5% of all U.S. deep tech grants on record, underscoring how federal money remains a catalyst for scaling next-generation energy. "This is an excellent example of how public and private entities can partner together to scale critical energy technologies," said chief executive officer Tim Latimer.

Read more: Business Insider

Image credit: ThinkGeoEnergy