Meta recently announced a new geothermal energy agreement with XGS Energy to support its data center project in New Mexico. With the increasing demand for electricity, Meta hopes to use geothermal energy to provide clean power for its growing artificial intelligence (AI) infrastructure. XGS Energy is a company focused on developing next-generation geothermal technologies that make it possible to harness geothermal energy in areas previously considered impractical.

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Under this agreement, Meta plans to add 150 megawatts of carbon-free electricity to the grid. This effort aims to address the growing electricity needs of data centers. Urvie Parekh, Meta's global energy lead, said: "The development of AI requires continuous energy support for infrastructure construction. Next-generation geothermal technologies like those from XGS are ready for large-scale application, and geothermal energy can play an important role in supporting the advancement of technologies like AI as well as the growth of domestic data centers."

Geothermal power plants generate electricity by utilizing the Earth's internal heat, typically driving turbines through natural reservoirs of hot fluids or steam. However, this method is limited by natural geographical conditions. Currently, only about 0.5% of U.S. electricity comes from geothermal sources. Startups like XGS are working to change this situation. Last year, Meta also signed a 150-megawatt agreement with Sage Earth Systems to develop new geothermal power plants, with Sage focusing on energy technologies that utilize hot dry rock formations.

XGS Energy is committed to developing geothermal energy from dry rock resources, and its unique feature lies in using a closed-loop water circulation system to prevent water loss. This technology is particularly important in New Mexico, where droughts frequently occur, and Meta is expanding its Los Lunas data center in the state. Meta did not disclose the specific cost of its agreement with XGS Energy, but the project will be carried out in two phases, with the goal of being operational by 2030.

Meta has committed to achieving net-zero emissions by the end of 2030, but the high energy demands of data centers may make this goal more challenging. To obtain more carbon-free electricity, Meta also announced plans to restart an old nuclear power plant. However, in Louisiana, a utility company proposed building three new gas-fired power plants to support Meta's new data center in the region. Like other tech giants, Meta's greenhouse gas emissions have increased since setting its climate goals while pursuing AI success.

Key points:  

🌍 Meta has reached an agreement with XGS Energy to increase 150 megawatts of carbon-free electricity in New Mexico.  

💧 XGS Energy uses closed-loop technology to effectively utilize geothermal resources and protect water resources.  

🔋 Meta is committed to achieving net-zero emissions by 2030, but faces challenges due to high energy consumption at data centers.