Search Prime Grants

DEEE0011278

Cooperative Agreement

Overview

Grant Description
BIL - GEOZONE ENHANCED GEOTHERMAL SYSTEMS (EGS) PILOT PROJECT

The goal of this project (PROJECT) is to develop an enhanced geothermal system (EGS) pilot with an injector well and a producer well connected by fractures generated through multizone stimulation, capable of producing 5 MWe.

To achieve these project goals, Chevron will apply innovative drilling and stimulation technologies that have the potential to reduce well costs and improve thermal efficiency which support the DOE Geothermal Technologies Office's (DOE) Geovision and Enhanced Geothermal Systems Energy Earthshot goals, including advancing quality investment.
Awardee
Funding Goals
THIS FOA SUPPORTS THE ADMINISTRATION GOALS LAID OUT ABOVE. GEOTHERMAL ENERGY IS A RENEWABLE AND DIVERSE SOLUTION FOR THE UNITED STATES—PROVIDING RELIABLE AND FLEXIBLE, EMISSIONS-FREE ELECTRICITY GENERATION AND DELIVERING UNIQUE TECHNOLOGY SOLUTIONS TO AMERICA’S HEATING AND COOLING DEMANDS; DIRECTLY SUPPORTING THE ADMINISTRATION’S GOALS OF CARBON POLLUTION-FREE ELECTRICITY BY 2035 AND NET ZERO GREENHOUSE GAS (GHG) EMISSIONS BY 2050. GEOTHERMAL RESOURCES CAN BE FOUND NATIONWIDE AND REPRESENT VAST DOMESTIC ENERGY POTENTIAL; HOWEVER, ONLY A FRACTION OF THIS POTENTIAL HAS BEEN REALIZED DUE TO TECHNICAL AND NON-TECHNICAL BARRIERS THAT CONSTRAIN INDUSTRY GROWTH. THE DEPARTMENT OF ENERGY’S (DOE’S) GEOTHERMAL TECHNOLOGIES OFFICE’S (GTO) 2022 ENHANCED GEOTHERMAL SHOTTM ANALYSIS, BUILDING ON THE 2019 GEOVISION REPORT, CONCLUDES THAT WITH AGGRESSIVE TECHNOLOGY IMPROVEMENTS, IN AREAS RELEVANT TO ENHANCED GEOTHERMAL SYSTEMS (EGS), GEOTHERMAL POWER GENERATION COULD PROVIDE 90 GIGAWATTS-ELECTRIC (GWE) FIRM, FLEXIBLE POWER TO THE U.S. GRID BY 2050. ENHANCED GEOTHERMAL SYSTEMS (EGS) ARE ENGINEERED GEOTHERMAL RESERVOIRS, CREATED WHERE THERE IS HOT ROCK (175-300+°C), BUT LITTLE TO NO NATURAL PERMEABILITY AND/OR FLUID SATURATION. DURING EGS DEVELOPMENT, SUBSURFACE PERMEABILITY IS ENHANCED VIA SAFE, WELL-ENGINEERED RESERVOIR STIMULATION PROCESSES THAT RE-OPEN PRE-EXISTING FRACTURES, CREATE NEW ONES, OR A COMBINATION OF BOTH. THESE OPEN CONDUITS INCREASE PERMEABILITY AND ALLOW FLUID TO CIRCULATE THROUGHOUT THE HOT ROCK. THE FLUID TRANSPORTS THE OTHERWISE STRANDED HEAT TO THE SURFACE WHERE CLEAN, RENEWABLE ELECTRICITY CAN BE GENERATED WITH CURRENT POWER GENERATION TECHNOLOGIES. RELATIVE TO OTHER GEOTHERMAL RESOURCES, EGS HAVE THE POTENTIAL TO PROVIDE THE MOST GROWTH IN THE ELECTRIC SECTOR, AND IN THE GEOVISION SCENARIOS, SUPPORT NOTEWORTHY GROWTH WITHIN THE NON-ELECTRIC SECTOR FOR DISTRICT HEATING AND OTHER DIRECT-USE APPLICATIONS. THIS POTENTIAL EXPANDS IF SUPERHOT EGS RESOURCES (>375°C) ARE ACCOUNTED FOR. WITHOUT SIGNIFICANT AND SUSTAINED INVESTMENT IN EGS TECHNOLOGY DEVELOPMENT AND DEMONSTRATIONS TO REFINE OUR ABILITY TO ACCESS AND DEVELOP THESE RESOURCES, HOWEVER, THE 90 GWE TARGET WILL NOT BE ACHIEVED. SEC. 41007 OF THE BIPARTISAN INFRASTRUCTURE LAW WILL ENABLE INVESTMENTS THAT CAN MAINTAIN PROGRESS TOWARDS GTO’S AGGRESSIVE ENERGY EARTHSHOT AND GEOVISION GOALS. THE PROJECTS SELECTED UNDER THIS FOA WILL BUILD ON THE LESSONS OF PREVIOUS GTO EGS DEMONSTRATION INITIATIVES, ENABLING A MOVE BEYOND THE NEAR-FIELD EGS ENVIRONMENT WITH NEW DRILLING AND DEVELOPMENT IN VARIED GEOLOGICAL ENVIRONMENTS TO ACCELERATE EGS COMMERCIALIZATION PATHWAYS THROUGHOUT THE U.S.
Place of Performance
Houston, Texas United States
Geographic Scope
City-Wide
Chevron U was awarded Enhanced Geothermal Systems (EGS) Pilot Project - BIL Cooperative Agreement DEEE0011278 worth $11,880,000 from the Office of Energy Efficiency and Renewable Energy in January 2025 with work to be completed primarily in Houston Texas United States. The grant has a duration of 3 years 6 months and was awarded through assistance program 81.087 Renewable Energy Research and Development. $31,516,987 (73.0%) of this Cooperative Agreement was funded by non-federal sources. The Cooperative Agreement was awarded through grant opportunity Bipartisan Infrastructure Law Enhanced Geothermal Systems (EGS) Pilot Demonstrations.

Status
(Ongoing)

Last Modified 1/7/25

Period of Performance
1/1/25
Start Date
7/31/28
End Date
25.0% Complete

Funding Split
$11.9M
Federal Obligation
$31.5M
Non-Federal Obligation
$43.4M
Total Obligated
27.0% Federal Funding
73.0% Non-Federal Funding

Activity Timeline

Interactive chart of timeline of amendments to DEEE0011278

Additional Detail

Award ID FAIN
DEEE0011278
SAI Number
None
Award ID URI
SAI NOT APPLICABLE
Awardee Classifications
For-Profit Organization (Other Than Small Business)
Awarding Office
892434 GOLDEN FIELD OFFICE
Funding Office
892403 ENERGY EFFICIENCYRENEWABLE ENERGY
Awardee UEI
FNQMKM6NN4L5
Awardee CAGE
8N017
Performance District
TX-18
Senators
John Cornyn
Ted Cruz
Modified: 1/7/25