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XGS and Meta Announce 150-MW Geothermal Power Deal in New Mexico

Clean tech startup XGS Energy and Meta have announced a new partnership to develop a 150-megawatt (MW) advanced geothermal facility in New Mexico. The next-generation project will supply clean power to support Meta’s carbon-free data center operations in the state.

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Meta will leverage XGS Energy’s patented geothermal technology for the project. The company’s solid-state geothermal system harnesses heat-conductive materials to deliver cost-effective energy where hot rock is present, according to its website. 

Unlike traditional geothermal, XGS’s unique geothermal system is water-independent. The system requires no water during operation, a major advantage in a state where water resources are scarce. Additionally, the system is powered by modular, self-contained units that can be scaled up to meet local energy demands or specific site requirements. This modularity enables deployment in various geological settings  traditionally considered unsuitable for geothermal. 

XGS’s energy system will supply power to the Public Service Company of New Mexico (PNM) electric grid, the state’s largest electricity provider. 

“We’re pleased to support Meta’s ambitious AI objectives and accelerate access to new round-the-clock power supplies,” Josh Prueher, Chief Executive Officer at XGS Energy, said in a press release. “More broadly, the state of New Mexico is a growing hub for data center development. We are eager to feed clean, water-independent geothermal power into the New Mexico market at a scale uniquely possible with XGS technology.”

The geothermal sector has traditionally been limited by factors such as water availability or rock permeability and porosity. XGS’s technology overcomes these location-based constraints, enabling immediate electricity production and enabling New Mexico to fully leverage its abundant natural hot rock resources. The company claims the new project will increase the state’s total geothermal capacity tenfold.

>>>READ: Let’s Go Deep on Geothermal

A report co-written by Project InnerSpace, New Mexico Tech and the New Mexico Bureau of Geology & Mineral Resources estimates that the state has over 160 GW of untapped geothermal potential. 

In addition to supplying Meta with green energy, the $1 billion private sector investment is expected to create more than 3,000 construction and engineering jobs.

In a press conference on June 12, New Mexico Governor Michelle Lujan Grisham touted the geothermal plant as a boon for her state:

“New Mexico is not only the second-largest oil and gas producer in the U.S., but also one of the nation’s leading sources of clean energy,” Grisham said. “We’ve worked hard to ensure New Mexico remains at the forefront of the energy transition, and geothermal energy represents a promising new frontier. Project InnerSpace’s report outlines both the scale of New Mexico’s geothermal potential and practical steps to develop it. XGS Energy and Meta’s 150 MW project will create good-paying jobs, strengthen our grid with reliable baseload power, and position our state as a national leader in next-generation renewable energy.”

The facility is expected to be operational by 2030.

The views and opinions expressed are those of the author’s and do not necessarily reflect the official policy or position of C3.

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