Fervo Energy Shares Rise 28% After Signing Major Geothermal Power Agreement with Google
On September 1, Fervo Energy (NASDAQ:FRVO) surged by nearly 28%, closing at $19.75 after announcing a significant power purchase agreement with Alphabet's Google for 396 megawatts of geothermal energy. The deal includes an option to expand the capacity by up to 600 MW, potentially reaching near one gigawatt in 2030. The stock saw heavy trading volume—over eight times its three-month average—as investors reacted positively to the long-term revenue visibility provided by a major tech client. The agreement aligns with Fervo's Cape Station project in Utah and Google’s plans for an AI data center, though regulatory hurdles remain before construction can begin. The broader market saw declines: the S&P 500 fell 0.7%, while the Nasdaq Composite dropped 1.03%. Clean energy peers like Ormat Technologies (NYSE:ORA) rose by over 5% and NextEra Energy (NYSE:NEE) gained nearly 0.7%, reflecting growing interest in renewable power solutions for data centers.
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Topics: clean energy data centers geothermal energy power purchase agreement (PPA)