The parent company of Facebook, Instagram, and WhatsApp, Meta, has announced an agreement with clean energy firm XGS Energy to develop 150 megawatts of geothermal energy in New Mexico to support its data centre operations in the region.
Based in California, XGS Energy specialises in heat-harvesting technology, facilitating access to affordable and carbon-free geothermal energy. Their innovative solution involves drilling a single directional well to reach rock temperatures of 250°C or more, extracting heat via a network of thermally conductive materials. This heat can either be used directly or converted into electricity. The process features a coaxial closed-loop system which recycles water, enhancing its environmental benefits and making it viable even in areas where water is scarce. Earlier this year, XGS Energy secured $13 million in a financing round to expand its geothermal technology and fund new projects.
XGS states the geothermal development will enable carbon-free power production with zero operational water use, to be fed into the PNM grid. By separating geothermal energy production from limitations like water availability, the company claims its technology opens “new frontiers” for geothermal development. The upcoming project is expected to increase New Mexico’s geothermal electricity output tenfold.
Josh Prueher, CEO of XGS Energy, commented:
“We’re pleased to support Meta’s ambitious AI objectives and accelerate access to new round-the-clock power supplies. More broadly, the state of New Mexico is a growing hub for data centre development. We are eager to feed clean, water-independent geothermal power into the New Mexico market at a scale uniquely possible with XGS technology.”
Meta has committed to achieving net-zero emissions across its value chain by 2030. The company reached its target of using 100% renewable energy for its operations in 2020 and plans to add 9.8 gigawatts of renewable energy to U.S. grids by the end of 2025.
The agreement with XGS will commence with a smaller initial phase, followed by a larger second phase, both expected to be operational by 2030.
Urvi Parekh, Meta’s Global Head of Energy, stated:
“Advances in AI require continued energy to support infrastructure development. With next-generation geothermal technologies like XGS ready for scale, geothermal can be a major player in supporting the advancement of technologies like AI as well as domestic data centre development. We’re excited to partner with XGS to unlock a new category of energy supply for our operations in New Mexico.”
