Fervo Energy: On Track to Scale Geothermal

Research evidence excerpt

Fervo Energy: On Track to Scale Geothermal

Barclays | Fervo Energy

and "not a flammable or explosive gas or hydrocarbon" and that the term 'blowout' should be

used with caution / proper understanding. We couldn't agree more - a blowout in the oil and gas

industry can be deadly and catastrophic that simply can't happen in geothermal wells (we need

a new term). Despite virtually no impact to the project or the environment from this single-well

incident, CEO Tim Latimer said the company has updated its workover rig procedures to

prevent a similar event from happening. The impacted well has been completed and is online.

Supply agreements intended to keep costs under control. In 1H26, Fervo secured strategic

partnerships with three key suppliers through 1) a 3-year turbine supply agreement with

Turboden (subsidiary of Mitsubishi Heavy Industries) covering up to 35 Organic Rankine Cycle

(ORC) units that represent 1,750MW of total power capacity, 2) an agreement with ABB to supply

advanced motor control and electrification solutions for Cape Station, and 3) a 5-year OCTG

supply agreement with Vallourec for the company's drilling programs (with pricing fixed

throughout the 5-year period).

De-risking the subsurface with NVIDIA. Fervo, along with NVIDIA and the Pacific Northwest

National Laboratory (PNNL), yesterday announced an agreement to develop a next-generation

digital twin platform for enhanced geothermal systems. Using AI trained models, Fervo will be

able to quickly identify and respond to subsurface changes, optimize power generation and

strengthen scalability to accelerate the learning curve. We think this de-risks the subsurface and

ultimately drives costs/kW lower. CEO Tim Latimer's comments on this agreement during Q&A: