Hot Rocks, Cool Power: Geothermal’s Big Moment

New tech from Fervo, Baker Hughes, and CTR sparks a geothermal surge in the race for round-the-clock clean power

13 Nov 2025

Geothermal energy, long a footnote in America’s power mix, is now edging into the spotlight. Technologies that tap heat from deep, dry rock rather than rare hot springs are widening the map of where it might work. Developers and analysts see 2025 as a turning point, with a growing queue of projects moving through early development and financing. A once-niche resource is becoming a frontier to watch in the energy transition.

The shift is driven by engineering gains and by a rising appetite for clean power that runs at all hours. Utilities, data centre operators and corporate buyers want firm low carbon supply to balance the rise of intermittent wind and solar. Early results from new drilling approaches suggest geothermal could help meet that need, if it can be built repeatedly and cheaply.

A cluster of firms is shaping the surge. Fervo Energy, fresh from pilot successes, is pushing its Utah project through financing and towards commercial deployment. Baker Hughes, better known for oilfield services, is expanding its geothermal role by providing precision drilling tools. Its recent agreement with Controlled Thermal Resources (CTR) supports plans for up to 500 megawatts of future capacity in California. CTR, for its part, is pairing geothermal generation with domestic lithium extraction, positioning itself at the crossroads of two fast growing markets.

Industry leaders argue that the momentum reflects steady rather than spectacular progress. Fervo’s boss, Tim Latimer, has stressed in public remarks that consistent drilling performance matters more than one off breakthroughs when it comes to reassuring investors. Researchers at the National Renewable Energy Laboratory share the view that early data looks promising, while warning that sustained cost declines will depend on building many projects, not a select few.

The obstacles are familiar. State permitting systems can be slow. Seismic risks demand careful study. Early wells are expensive, forcing developers to commit capital long before revenues arrive. Most schemes remain in the exploratory or financing stage, with many unlikely to reach full commercial scale until 2027 or later.

Yet sentiment is changing. Corporate buyers are testing long term supply deals. Developers are scrambling to secure the best sites and drill rigs. If today’s momentum holds, next generation geothermal could become one of the decade’s more surprising clean energy stories and subtly alter how America keeps the lights on.