Baker Hughes Secures Contract with Fervo Energy for Geothermal Power Plants in Utah
Baker Hughes has been awarded a contract by Fervo Energy to design and supply equipment for five Organic Rankine Cycle power plants at the Cape Station project in Milford, Utah. Once operational, these plants are expected to generate around 300 megawatts of power, enough to supply approximately 180,000 homes. The contract includes the engineering and manufacturing of equipment, including turboexpanders and generators, and will be part of the company's industrial energy technology segment. The Cape Station project aims to establish geothermal energy as a key player in the U.S. renewable energy landscape.
Theia Market Signal Identification - AI AssistedBaker Hughes has announced a significant step in renewable energy as it secures a contract with Fervo Energy to design and deliver equipment for five Organic Rankine Cycle (ORC) power plants at the Cape Station project near Milford, Utah. This initiative, once operational, is poised to contribute approximately 300 megawatts of power to the grid, sufficient to energize around 180,000 homes.
The scope of the contract encompasses the engineering and delivery of five 60 megawatt electric ORC units, including the manufacturing of turboexpanders and generators. This contract falls under Baker Hughes' industrial energy technology segment, following previous collaborations with Fervo Energy in subsurface drilling and production technologies.
The equipment from Baker Hughes is engineered to function seamlessly with Fervo's enhanced geothermal systems, leading to a fully integrated power plant capable of scaling sustainable baseload power generation. Tim Latimer, co-founder and CEO of Fervo Energy, highlighted the project’s significance as a flagship development designed to demonstrate geothermal energy's viability as a reliable, carbon-free power source in the United States.
Lorenzo Simonelli, chairman and CEO of Baker Hughes, emphasized that their partnership with Fervo Energy and the deployment of their comprehensive technology solutions will support the growth of lower carbon power solutions essential for meeting escalating global energy demands.
The Cape Station initiative includes Phase I, set to deliver 100 megawatts of baseload power by 2026, and Phase II, which will add an additional 400 megawatts by 2028. The entire project has secured permitting approval for up to 2 gigawatts of dependable renewable energy output.
In a related development, Baker Hughes recently received a long-term service agreement from BP for its Tangguh liquefied natural gas plant in Papua Barat, Indonesia, enhancing its portfolio in the energy sector.
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