Fervo Energy Reports $12 Billion in Contracted Revenue Amid Growing Demand for AI Data Center Power
Geothermal energy company Fervo reported a significant surge in contracted revenue, rising to $11.9 billion from $7.2 billion in the previous quarter. This growth is driven by increasing demand from hyperscalers seeking reliable electricity for AI data centers. A key component of this momentum is Fervo's partnership with Google to complete a 396 megawatt power plant at Cape Station, Utah, by late 2028. While the company reported an operating loss of $43.7 million for the quarter, its strong liquidity position—including $1.9 billion in cash and equivalents—provides significant runway. Fervo is focused on driving down capital costs; recent projects have seen capacity costs drop from $7,000 to $5,500 per kilowatt, moving closer to their long-term goal of $3,000 per kilowatt to compete directly with natural gas.
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Topics: Data Center Power Demand Geothermal Energy Quarterly Earnings Renewable Energy Infrastructure
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