Heartland innovation unlocks energy abundance: How JPMorganChase helps power our economy

JPMorganChase advised Devon Energy on its strategic investment in Fervo Energy to harness geothermal technology for sustainable energy solutions and economic growth.

Rising energy demand – driven by data centers, electrification and re-industrialization– is increasing the need for reliable and affordable power. All types of energy have roles to play in unlocking energy abundance and meeting demand.

One carbon-free energy source attracting investor interest is geothermal energy, which leverages heat from deep inside the earth to generate clean electricity available all day and night.

The U.S. Department of Energy (DOE) estimates that geothermal power in the U.S. could expand over 20-fold from its current installed capacity, potentially contributing 90 GW of clean, firm energy nationwide by 2050.

Building on the firm’s history of facilitating innovation, JPMorganChase was proud to advise Oklahoma-based oil and natural gas producer Devon Energy in its strategic investment in Houston-based startup Fervo Energy, a rapidly growing next-generation geothermal technology company. 

Groundbreaking Energy Projects

Fervo Energy, which provides 24/7 carbon-free geothermal energy, is the first company to utilize drilling and completions techniques pioneered by companies like Devon to advance commercial geothermal production. Fervo broke ground on its Cape Station project in southwest Utah in 2023. The 500 MW development will begin delivering power to contracted offtakers in 2026 and is expected to reach full scale production in 2028.

Local job creation is a priority for Fervo, which recently launched an apprenticeship program with Southern Utah University to provide Beaver County residents with a pathway into Utah’s rapidly growing geothermal industry. Given the skills overlap between upstream oil and gas and enhanced geothermal, Fervo has been able to work with dozens of oilfield services partners to provide apprenticeship program participants with  valuable on-the-job training.

Partnerships that Advance Energy Technologies

Both natural gas and geothermal energy providers rely heavily on understanding and working with the Earth’s subsurface and using power infrastructure at the surface to convert natural resources into electricity. Devon’s investment in Fervo initiated a partnership between these two technical leaders, with Devon engineers and geoscientists providing technical assistance and data analysis expertise.

In advising Devon on this strategic investment, JPMorganChase helped Devon tap into Fervo’s first-mover advantage and further Devon’s commitment to creating value in the evolving energy economy.  Devon produces oil and natural gas resources that support communities and livelihoods around the world and has created more than 12,000 jobs in the U.S. between 2017 and 2021.  

Devon is also working to reduce their operational emissions to maximize the energy they can produce and deliver. Devon invests in methane detection innovation through its Oklahoma emissions monitoring test facility and throughout its production operations. JPMorganChase supports clients like Devon in their efforts to reduce their methane emissions and flaring.

Financing Energy Innovation

As partnerships like the one between Devon and Fervo play a role in shaping the future of cleaner and more reliable energy, JPMorganChase continues to support clients in their pursuit of growth, innovation, and sustainability.

Across the industry, cumulative fundraising in geothermal surpassed $1.2 billion since 2020, according to Sightline Climate—with a sixfold increase over the past three years. Access to capital will be an important enabler for geothermal start-ups to speed their learning and optimization, continue to reduce cost, and help the growing industry deliver carbon-free, firm electricity at gigawatt scale.

As technology companies and other industries grapple with the need for continuous power supply, geothermal energy provides a unique and economic opportunity to meet these demands while reducing carbon emissions.

Learn more about how JPMorganChase approaches sustainability and supports the ongoing energy transition.