Next-Gen Geothermal Is a Sleeper

Enhanced geothermal systems (EGS) have failed to scale for 20 years due to well drilling costs and induced seismicity risk. What's changed: the shale fracking industry created a deep bench of directional drilling talent and a surplus of specialized rigs, both of which are migrating into geothermal. Fervo Energy's commercial demonstration in Nevada — delivering firm, 24/7 power at a reported cost competitive with new gas peakers — is the clearest proof point. The investable angle isn't the geothermal developers themselves at this stage; it's the drilling services and downhole tool companies with crossover expertise, and the off-take structures that price dispatchable clean baseload at a meaningful premium over intermittent solar.