Geothermal energy project developer Fervo Energy announced that it has raised $462 million aimed at supporting the development of its large-scale project in Utah and other new carbon-free energy projects, with the new Series E funding round adding Google as a new investor, and Bill Gates-backed Breakthrough Energy Ventures as a returning investor.

Founded in 2017, Houston Texas-based Fervo Energy focuses on the development of enhanced geothermal systems (EGS) projects to deliver carbon-free energy. The company uses techniques such as horizontal drilling and distributed fiber optic sensing to make reservoirs of hot rock that exist beneath the earth’s surface into clean energy sources.

The company is currently developing its first greenfield development, Cape Station, in Beaver County, Utah. The project produces energy by injecting water into hot subsurface rock formations, extracting the heated water, and using it to generate electricity. Cape Station is expected to begin delivering 100 MW of power to the grid in its first phase in 2026, with a further 400 MW anticipated to come online in a second phase by 2028. The project has received permitting approval to expand up to 2 GW.

The new financing round comes as the U.S. power market faces surging clean energy demand driven by factors including a rapid buildout of power-hungry AI infrastructure and a shift to electrification.

Google announced an agreement last year to purchase 115 MW of enhanced geothermal energy from Fervo, to support its goal to operate its data centers and office campuses on 24/7 carbon-free energy (CFE) by 2030.

Tim Latimer, CEO and Co-Founder of Fervo Energy, said:

“Energy markets are demanding dependable, carbon-free power at an unprecedented scale, and Fervo is uniquely positioned to supply it. This funding sharpens our path from breakthrough technology to large-scale deployment at Cape Station and beyond. We’re building the clean, firm power fleet the next decade requires, and we’re doing it now.”

The new financing round was led by venture capital investor B Capital, and in addition to Google and Breakthrough Energy included participation from AllianceBernstein, Atacama Ventures, Carbon Equity, Climate First, Mitsui & Co., Holtec International founder Kris Singh, and JB Straubel, and returning investors CalSTRS, Capricorn Investment Group, Centaurus Capital, Congruent Ventures, CPP Investments, DCVC, Devon Energy, Echelon, Galvanize, Impact Science Ventures, Liberty Mutual Investments, Marunouchi Innovation Partners, Mercuria, Mitsubishi Heavy Industries, and Sabanci Climate Ventures.

Jeff Johnson, General Partner at B Capital, said:

“Fervo is setting the pace for the next era of clean, affordable, and reliable power in the U.S. With surging demand from AI and electrification, the grid urgently needs scalable, always-on solutions, and we believe enhanced geothermal energy is uniquely positioned to deliver.”