Geothermal Unicorn Fervo Energy May IPO next year

The geothermal startup Fervo Energy would have watched a first public offer over the next two years.

Consideration is the growing concern concerning the growth of electricity demand from data centers, which could Double by 2029. “There is clearly a hungry in public procurement at the moment to understand, how are we going to resolve the history of power demand?” CEO Tim Latimer said in Axios.

Despite the speech, an IPO is unlikely to be imminent.

The startup is in a “brilliant place” at the moment given its recent fundraising success, a source close to Fervo in Techcrunch told. The company has raised $ 244 million In February 2024 and additional $ 255 million in DecemberThis last round with a division almost even between equity and debt.

Fervo has made regular progress in the marketing of his approach geothermal powerwhich uses directional drilling techniques developed by oil and gas companies to exploit resources in a large area. Each well is then interrupted with sensors and fiber optic cables, allowing the company to keep an eye on its performance over time.

The startup has run to reduce drilling costs. Last year, he said that he had pierced a horizontal well in 21 days, 70% less time than it took for his first well. And last week, Latimer said that Fervo targets a Cost reduction of 50% On projects this year.

Fervo is currently working with Google on a geothermal power plant. Known as Project Red, it can provide up to 3.5 megawatts of electricity to the Nevada network, helping to compensate for the energy consumption of Google data centers in the state.

Since Fervo and other advanced geothermal startups are similar in many ways to oil and gas companies, they are considered a slightly safer game during the current Trump administration. For example, energy secretary Chris Wright Supervisation of an investment In Fervo while he was CEO of Liberty Energy. The petroleum service company participated in a round of $ 138 million in 2022.