Fast-growing Houston-based geothermal energy co. secures $255M in additional funding

show me the money

The deal brings Fervo's total funding secured this year to around $600 million. Photo courtesy of Fervo

A Houston company that's responding to rising energy demand by harnessing geothermal energy through its technology has again secured millions in funding. The deal brings Fervo's total funding secured this year to around $600 million.

Fervo Energy announced that it has raised $255 million in new funding and capital availability. The $135 million corporate equity round was led by Capricorn’s Technology Impact Fund II with participating investors including Breakthrough Energy Ventures, CalSTRS, Congruent Ventures, CPP Investments, DCVC, Devon Energy, Galvanize Climate Solutions, Liberty Mutual Investments, Mercuria, and Sabanci Climate Ventures.

The funding will go toward supporting Fervo's ongoing and future geothermal projects.

“The demand for 24/7 carbon-free energy is at an all-time high, and Fervo is one of the only companies building large projects that will come online before the end of the decade,” Fervo CEO and Co-Founder Tim Latimer says in a news release. “Investors recognize that Fervo’s ability to get to scale quickly is vital in an evolving market that is seeing unprecedented energy demand from AI and other sources.”

Additionally, Fervo secured a $120 million letter of credit and term loan facility from Mercuria, an independent energy and commodity group that previously invested in the company.

“In surveying power markets across the U.S. today, the need for next-generation geothermal is undeniable,” Brian Falik, group chief investment officer of Mercuria, adds. “We believe in Fervo not just because their EGS approach is cost-effective, commercially viable, and already being deployed at scale, but because they set ambitious targets and consistently deliver.”

In February, Fervo secured $244 million in a financing round led by Devon Energy, and in September, the company received a $100 million bridge loan for the first phase of its ongoing project in Utah. This project, known as Project Cape, represents a 100x growth opportunity for Fervo, as Latimer explained to InnovationMap earlier this year. As of now, Project Cape is fully permitted up to 2 GW and will begin generating electricity in 2026, per the company.

Other wins for Fervo this year include moving into its new headquarters in downtown Houston, securing a power purchase agreement with California, growing its partnership with Google, and being named amongst the year's top inventions by Time magazine.


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Houston-based Quidnet Energy has closed a $10 million series B round and secured a big contract with the state of New York. Getty Images

Houston renewable energy company closes $10M series B

Money moves

Houston-based renewable energy company that focuses on clean energy storage closed its $10 million series B financing round and secured a major contract.

Quidnet Energy announced its latest round and the execution of a contract with the New York State Energy Development Authority. Bill Gates-backed Breakthrough Energy Ventures and Canada-based Evok Innovations, which both previously invested in the company, contributed to the round. The round also featured new investors Trafigura and The Jeremy and Hannelore Grantham Environmental Trust.

"Long-duration electricity storage is critical to the energy transition. It's exciting to see how Quidnet is bringing this viable long-duration solution to the market," says Mike Biddle, managing director at Evok Innovations, in a news release. "Because they are leveraging long understood geologic principles, we are confident that they can scale rapidly. We are pleased to support the Quidnet team through its next phase of commercial growth."

According to the release, the company will use the funds to grow its team and scale up its operations in order to be able to deliver commercial-scale projects across the country's electric grid.

"Integrating renewables and replacing retiring thermal generation require cost-effective long-duration electricity storage at an immense scale," says Quidnet Energy CEO Joe Zhou in the release. "While traditional pumped hydro has provided over 95 percent of the world's grid-scale storage, that approach faces significant siting and cost limitations going forward. Quidnet unlocks these constraints to fundamentally change the economics and deployment profile of long-duration storage."

Quidnet's deal with NYSEDA is a part of the organization's efforts to reduce the state's carbon footprint while also lowering the cost of traditional energy storage.

"Under Governor Cuomo's leadership, New York is investing in the technology research and development needed to advance a 21st electric grid that can support the State's growing influx of renewable energy," says Alicia Barton, president and CEO of NYSERDA, in the release. "Congratulations to Quidnet on this opportunity to develop and demonstrate the value that this innovative technology can bring to New York as we work to reduce greenhouse gas emissions and transition to a 100 percent clean electric grid."

Last month, the Rice Alliance for Technology and Entrepreneurship hosted its annual Energy Tech Venture Day online, and Quidnet was among the Houston energy companies to pitch virtually.

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Houston health orgs lost $58M in canceled, stalled NIH grants, new report shows

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Seven institutions in the Houston area have lost nearly $60 million in grants from the National Institutes of Health (NIH) that were aimed at funding health research.

The Science & Community Impacts Mapping Project identified 37 cancelled or frozen NIH grants worth $58.7 million that were awarded to seven Houston-area institutions. The University of Texas Medical Branch at Galveston suffered the biggest loss — five grants totaling nearly $44.8 million.

The Harvard University T.H. Chan School of Public Health reported in May that over the previous several months across the U.S., the federal government had terminated roughly 2,100 NIH research grants worth around $9.5 billion.

In August, the U.S. Supreme Court derailed researchers’ efforts to reinstate almost $2 billion in research grants issued by NIH, according to Nature.com.

“Make no mistake: This was a decision critical to the future of the nation, and the Supreme Court made the wrong choice. History will look upon these mass National Institutes of Health (NIH) research grant terminations with shame,” the American Association of Medical Colleges said in a statement. “The Court has turned a blind eye to this grievous attack on science and medicine, and we call upon Congress to take action to restore the rule of law at NIH.”

Texas health researchers rely heavily on NIH grants and contracts. During the federal government’s 2024 budget year, NIH awarded $1.9 billion in grants and contracts that directly supported 30,553 jobs and more than $6.1 billion in economic activity in Texas, according to the United for Medical Research coalition.

Here’s a rundown of the cancelled and frozen NIH grants in the Houston area.

  • University of Texas Medical Branch at Galveston: Five cancelled or frozen grants, totalling approximately $44.8 million in funding lost.
  • Baylor College of Medicine: 17 grants cancelled or frozen, totalling approximately $8 million in funding lost
  • University of Houston. Five cancelled or frozen grants, totalling approximately $3.7 million in funding lost
  • University of Texas Health Science Center Houston: Five grants cancelled or frozen, totaling approximately $1.1 million in funding lost.
  • University of Texas MD Anderson Cancer Center: Two grants cancelled or frozen, totalling $831,581 in funding
  • Rice University. Two grants cancelled or frozen, totaling $254,645 in funding lost
  • Prairie View A&M University: One grant cancelled or frozen, totalling $31,771 in funding lost

Magnolia milkshake shop blends up a sweet partnership with Comcast Business

Treat Takeover

Comcast Business (CB) powers businesses of every size with fast and reliable phone, mobile, internet, cybersecurity, and television services. Houston’s local CB team also stands behind entrepreneurs and small businesses, knowing they’re the heart of thriving communities: driving growth, sparking innovation, and creating jobs close to home.

Magnolia hometown favorite Chill Milkshake and Waffle Bar was the site of Comcast Business’ latest road trip to treat customers to a cool and refreshingly free treat, picking up the tab for several hours for nearly 200 customers.

Chill Milkshake and Waffle Bar, Magnolia Surprise! Your order is free.Photo courtesy of Comcast Business

“We aren’t just about products and services, we are about building partnerships in our community and playing a supporting role, it means the world to us,” says Heather Orrico, vice president of Comcast Business in Texas.

Chill Milkshakes and Waffle Bar, located at 6606 FM 1488 Rd., Suite 110 in Magnolia, opened in December 2020 and has been a Comcast Business customer for the last two years.

Who would’ve thought you’d need WiFi to serve milkshakes and waffles? Technology runs almost every part of the business.

“In a world where people rarely carry cash anymore, we have to be able to process payments electronically and promptly. Otherwise, the day stops. Nobody wants that,” says owner Jeanie Rosett. “We count on WiFi to efficiently complete transactions and guest payments, process online orders, and keep our music lively.”

It's no surprise that Chill’s array of flavors and dedication to making the perfect milkshake (along with waffles and sandwiches) have earned them the title of best milkshake in Texas by USA Today, followed by ranking sixth-best milkshake in the nation by Travel + Leisure.

Chill’s family environment creates a space where everybody can hang out, or the kids can come on their own and parents feel they are safe. “Good WiFi keeps them connected,” says store manager Laura Mabery. “We also have people who stop in with their laptop, have a hotdog and a shake while continuing to work. We live in a world that needs to be connected! You can do that at Chill-Magnolia.”

Comcast Business A sticker in the window lets everyone know.Photo courtesy of Comcast Business

While Mabery and Rosett appreciate the upgrade in customer service and reliability that was missing from their previous service provider, they were honored and pleasantly surprised to be selected for the recent Comcast Business “take over.”

“It's reassuring to know that our internet needs are taken care of, but that Comcast Business also supports us as a hometown commodity,” says Mabery. “And a free Chill milkshake...what's not to love about that?"

Houston robotics co. unveils new robot that can handle extreme temperatures

Hot New Robot

Houston- and Boston-based Square Robot Inc.'s newest tank inspection robot is commercially available and certified to operate at extreme temperatures.

The new robot, known as the SR-3HT, can operate from 14°F to 131°F, representing a broader temperature range than previous models in the company's portfolio. According to the company, its previous temperature range reached 32°F to 104°F.

The new robot has received the NEC/CEC Class I Division 2 (C1D2) certification from FM Approvals, allowing it to operate safely in hazardous locations and to perform on-stream inspections of aboveground storage tanks containing products stored at elevated temperatures.

“Our engineering team developed the SR-3HT in response to significant client demand in both the U.S. and international markets. We frequently encounter higher temperatures due to both elevated process temperatures and high ambient temperatures, especially in the hotter regions of the world, such as the Middle East," David Lamont, CEO of Square Robot, said in a news release. "The SR-3HT employs both active and passive cooling technology, greatly expanding our operating envelope. A great job done (again) by our engineers delivering world-leading technology in record time.”

The company's SR-3 submersible robot and Side Launcher received certifications earlier this year. They became commercially available in 2023, after completing initial milestone testing in partnership with ExxonMobil, according to Square Robot.

The company closed a $13 million series B round in December, which it said it would put toward international expansion in Europe and the Middle East.

Square Robot launched its Houston office in 2019. Its autonomous, submersible robots are used for storage tank inspections and eliminate the need for humans to enter dangerous and toxic environments.

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This article originally appeared on EnergyCapitalHTX.com.

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