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Meta inks a new geothermal energy deal to support AI
Justine Calma is a senior science reporter covering energy and the environment with more than a decade of experience. She is also the host of Hell or High Water: When Disaster Hits Home, a podcast from Vox Media and Audible Originals. Meta's geothermal ambitions are growing with a new agreement to
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Meta signs deal for advanced geothermal power in New Mexico
NEW YORK, June 12 (Reuters) - Meta (META.O), opens new tab signed an agreement with XGS Energy to help develop 150 megawatts of advanced geothermal electricity in New Mexico to power the Facebook parent company's artificial intelligence expansion, the companies said on Thursday. WHY IT'S
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Meta is helping to fund geothermal energy projects in New Mexico
Meta has entered into an agreement with XGS Energy to develop "next-generation geothermal energy" projects in New Mexico. The plan is for these projects to connect directly into the electrical grid that Meta's data centers draw from, feeding the growing energy needs of the company's AI
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Meta signs deal for advanced geothermal power in New Mexico
NEW YORK (Reuters) -Meta signed an agreement with XGS Energy to help develop 150 megawatts of advanced geothermal electricity in New Mexico to power the Facebook parent company's artificial intelligence expansion, the companies said on Thursday. WHY IT'S IMPORTANT Giant technology companies like
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Meta signs a deal with XGS Energy to develop 150 megawatts of advanced geothermal electricity in New Mexico, aiming to power its growing AI infrastructure with clean energy.
Meta, the parent company of Facebook, has announced a groundbreaking agreement with XGS Energy to develop 150 megawatts of advanced geothermal electricity in New Mexico
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. This partnership marks a significant step in Meta's efforts to secure sustainable energy sources for its rapidly expanding artificial intelligence (AI) infrastructure.As AI technologies continue to advance, the demand for electricity to power data centers has skyrocketed. Meta, like other tech giants, is facing the challenge of meeting this growing energy need while adhering to its climate goals
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. Urvi Parekh, Global Head of Energy at Meta, emphasized the importance of this initiative, stating, "Advances in AI require continued energy to support infrastructure development"3
.Source: Market Screener
XGS Energy is at the forefront of next-generation geothermal technologies. Unlike conventional geothermal power production, which relies on natural water sources, XGS's approach allows for the exploitation of geothermal energy from dry rock resources
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. The company's closed-loop process is designed to conserve water, a crucial factor in drought-prone regions like New Mexico1
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Source: Engadget
The agreement between Meta and XGS Energy is structured in two phases, with the goal of being operational by 2030
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. The advanced geothermal electricity will be deployed to the electric grid, supporting Meta's operations in New Mexico, including its expanding Los Lunas data center1
.While 150 megawatts represents a small fraction of the total power required by tech companies for AI development, it would account for approximately 4% of total U.S. geothermal production
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. This project taps into New Mexico's vast untapped geothermal potential, estimated at 160,000 megawatts2
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Meta's geothermal deal is part of a broader trend in the tech industry. Companies are increasingly seeking innovative clean energy solutions to power their data centers while meeting emissions reduction goals. Google, for instance, has partnered with Fervo Energy for advanced geothermal power
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. These initiatives are crucial as the U.S. projects record power consumption in 2025 and 2026, largely driven by AI development2
.Despite these efforts, Meta faces challenges in balancing its rapid AI expansion with its commitment to reaching net zero emissions by 2030
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. The company's planet-heating pollution has grown since setting its climate goal, highlighting the ongoing tension between technological advancement and environmental responsibility1
.As the project unfolds, it will be closely watched as a potential model for sustainable energy solutions in the AI era, potentially reshaping the landscape of both the tech and energy sectors in the coming years.
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