Google signs record geothermal deal with Fervo Energy to power AI

Google has entered into a 396 MW power purchase agreement (PPA) with Fervo Energy to source carbon-free electricity from the Cape Station GeoCluster in Utah. The project, expected to come online in 2028, will provide a foundational power source for a potential Google data center in the state.

Under the terms of the agreement, Google has committed to purchasing 396 MW of electricity from the facility. The tech giant also holds an option to expand this purchase by approximately 600 MW by June 2030, which would bring the total capacity to nearly 1 GW. Fervo Energy is currently permitted to develop up to 2 GW at the Cape Station site. "The next chapter of advanced power generation technology is being written in Utah," said Michael Terrell, Head of Advanced Energy at Google.

The push for 24/7 carbon-free energy

This agreement is part of Google's broader strategy to secure 24/7 carbon-free energy to power its AI-driven data centers and achieve net-zero emissions by 2030. Unlike wind or solar, which are intermittent, Fervo Energy utilizes Enhanced Geothermal Systems (EGS) to tap into deeper heat sources, providing a constant "firm" power supply.

Google and Fervo have a history of collaboration, including the "Project Red" pilot in Nevada and a previous 115 MW PPA signed in June 2024. However, the company's energy strategy remains diversified; in April 2026, Google signed a separate deal with Crusoe for 933 MW of natural gas power in Texas.

Scaling the geothermal blueprint

This deal represents the largest enhanced geothermal PPA in the world, signaling that EGS can be scaled to meet the massive, constant energy demands of AI hyperscalers. By proving that geothermal can operate at this scale without relying on battery storage or weather conditions, the partnership provides a blueprint for the industry. Tim Latimer, CEO and Co-Founder of Fervo Energy, stated that the agreement "reinforces that EGS is ready to power the next generation of computing infrastructure."

Industry implications

If fully realized, the scaling of EGS technology could potentially double the geothermal capacity of the United States. The ability to generate massive amounts of baseload clean energy is critical for the tech sector as AI workloads increase the electrical load on existing grids.

Observers will now watch for the execution of the Cape Station project leading up to 2028 and whether Google exercises its option to expand the capacity to 1 GW by 2030. The success of this deployment will likely determine if other hyperscalers adopt EGS as a primary solution for their carbon-neutrality goals.