Rodatherm Energy: Geothermal Efficiency & Cost Analysis

Rodatherm Energy Launches with $38 Million in Funding

Rodatherm Energy, a recently established geothermal company, officially launched on Monday after securing $38 million in funding. The company’s initial focus will be the construction of a pilot plant located in Utah.

Innovative Closed-Loop System

A key differentiator for Rodatherm lies in its utilization of a closed-loop system within its boreholes. This system employs a refrigerant, likely composed of steel, to facilitate heat transfer. This approach contrasts with many other enhanced geothermal companies that traditionally rely on water for this purpose.

Series A Funding Details

The Series A funding round was spearheaded by Evok Innovations. Additional investors included Active Impact Investments, Giga Investments, Grantham Foundation for the Protection of the Environment, MCJ, TDK Ventures, Tech Energy Ventures, and Toyota Ventures.

Competitive Landscape

Rodatherm enters a competitive market, facing established players in the geothermal sector. These include companies such as Fervo Energy, Sage Geosystems, XGS Energy, and Quaise.

Leading Competitors and Their Progress

Fervo Energy is currently considered a leader in the field, having raised approximately $1 billion in funding. They are projected to finalize the first 100-megawatt phase of their Cape Station power plant next year, with an additional 400 megawatts planned for 2028. Furthermore, Fervo has secured a contract to supply Google with electricity for its data center operations.

XGS Energy has also established a partnership with Meta to develop a 150-megawatt power plant in New Mexico, specifically designed to power the tech company’s data centers.

Efficiency Claims of Rodatherm’s Technology

Rodatherm asserts that its closed-loop, refrigerant-based system offers 50% greater efficiency compared to conventional water-based geothermal systems. This principle is similar to that used in air-source heat pumps, often referred to as minisplits, which utilize hydrocarbon-based refrigerants for heat transfer.

Benefits of the Closed-Loop Design

The company’s patented technology highlights that the closed-loop design eliminates the necessity for filtration systems. These systems are required in open-loop systems to prevent grit and debris from entering as water flow breaks down rock formations. The closed loop also aims to significantly reduce water consumption.

Potential Cost Considerations

However, Rodatherm’s approach is anticipated to involve higher drilling and installation expenses when compared to simpler systems. Whether the increased efficiency of the refrigerant-based design will counterbalance these costs remains to be seen and will be determined upon completion of a test well.

Pilot Plant Plans and Future Outlook

The Series A funding will be allocated towards the completion of a 1.8-megawatt pilot plant in Utah, scheduled for completion by the end of 2026. Utah Associated Municipal Power Systems has committed to purchasing the electricity generated by this project.