Fervo Energy (“Fervo”), the leader in next-generation geothermal development, today announced the execution of a 15-year power purchase agreement with Shell Energy North America (US), L.P. (“Shell Energy”) for 31 MW of 24/7 carbon-free geothermal power (the “Agreement”). Shell Energy will use the power purchased under the Agreement to serve its retail load customers beginning in 2026.
The Agreement will make Shell Energy the first offtaker to receive electrons from Phase I of Cape Station, Fervo’s flagship geothermal development in Beaver County, Utah. The Agreement also marks the official upsizing of Cape Station from 400 MW to 500 MW – a major milestone enabled by recent breakthroughs in Fervo’s well design and field development strategy. By increasing casing diameter, optimizing well spacing using fiber optic sensing, and implementing staggered bench development, Fervo is now able to generate more megawatts per well. These innovations significantly improve project efficiency and economics, allowing for a 100 MW capacity increase without the need for additional drilling.
Courtesy of Fervo Energy.