Fervo Energy secures $421 million financing for 100 MW Cape Station geothermal project in Utah

Type: Financing · Technology: Geothermal · Country: United States · Capacity: 100 MW · Value: $421M · Announced: 2026-03-19

Fervo Energy secured $421 million in financing to fund the construction costs for the first phase of its flagship Cape Station geothermal project in Beaver County, Utah. This funding supports the development of an Enhanced Geothermal Systems (EGS) project, which is expected to begin delivering first power to the grid in 2026. The initial phase will reach approximately 100 MW of capacity by early 2027, with plans to scale the overall project to 500 MW. The financing package includes a $309 million construction-to-term loan, a $61 million tax credit bridge loan, and a $51 million letter of credit facility. RBC Capital Markets acted as coordinating lead arranger, with participation from Barclays, BBVA, HSBC, MUFG, Société Générale, J.P. Morgan, Bank of America, and Sumitomo Mitsui Trust Bank, Limited, New York Branch.

Analysis

Fervo Energy secured $421 million in financing to fund the first phase of its Cape Station geothermal project in Beaver County, Utah, a 100 MW Enhanced Geothermal Systems (EGS) facility. RBC Capital Markets acted as coordinating lead arranger, with participation from Barclays, BBVA, HSBC, MUFG, Société Générale, J.P. Morgan, Bank of America, and Sumitomo Mitsui Trust Bank, Limited, New York Branch. The financing includes a $309 million construction-to-term loan, a $61 million tax credit bridge loan, and a $51 million letter of credit facility. First power delivery to the grid is expected in 2026, with 100 MW capacity targeted by early 2027.

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