Fervo Energy Announces PPA with Google for 396 MW Geothermal Project

What Happened

• On August 26, 2026, Cape Generating Station 6 LLC (CGS 6), a wholly owned Fervo subsidiary, entered a Power Purchase Agreement (PPA) with Google Energy LLC for energy from a 396 MW enhanced geothermal systems (EGS) project at Cape Station in Beaver County, Utah. The 396 MW will be delivered in four successive 99 MW sub‑tranches, with target commercial operation dates beginning in Q3 2028. The PPA has a 15‑year delivery term. Fervo provided a parent company guaranty for CGS 6 and Alphabet Inc. provided a parent guaranty for Google.

Key Details

• PPA date: August 26, 2026; filed on Form 8‑K September 1, 2026.
• Initial capacity: 396 MW delivered as four 99 MW sub‑tranches; target COD beginning Q3 2028.
• Contract term: 15 years.
• Expansion option: Fervo agreed to offer Google an option to expand capacity by ~600 MW at Cape Station (total contracted EGS capacity not less than ~950 MW) with a guaranteed COD no later than June 2030; expansion requires Google’s acceptance and a definitive agreement.
• Guarantees and contingencies: Both Fervo and Alphabet provided parent company guaranties; if Fervo fails to make the required expansion offer it must reimburse Google for certain amounts previously paid for “deemed delivered” energy (amount not currently estimable).
• Regulatory note: Project development contemplates using flexible delivery pathways under Utah Senate Bill 132 and remains subject to required regulatory, permitting and interconnection approvals.

Why It Matters

• This PPA provides potential long‑term offtake with a major corporate buyer, giving revenue visibility if the project reaches commercial operation. The initial 396 MW plus a possible ~600 MW expansion would represent a material increase in contracted geothermal capacity for Fervo.
• However, timelines, revenue and the expansion are contingent on construction success, regulatory approvals (including SB 132-related approvals), interconnection, and final agreements with Google. The filing includes standard forward‑looking caution about these development and regulatory risks.