Geothermal firm Mazama lands $135M to push deeper into supercritical heat extraction
Mazama Energy announced a $135 million Series B round led by Centaurus Capital and Doerr Capital, with participation from ConocoPhillips and Shell Ventures. The startup plans to use the funds to develop horizontal wells reaching superhot rock at depths around 15,000 feet, where each well could generate 15 megawatts of electricity. Its first Oregon site is now estimated to hold 10 gigawatts of potential capacity, up from an earlier 5-gigawatt projection.
Mazama Energy's Series B brings its total funding to a level that supports drilling to roughly 15,000 feet, where temperatures reach 750°F. At that depth, water becomes supercritical, allowing each well to yield up to 15 megawatts—about ten times the output of conventional geothermal systems. The company's Oregon site capacity estimate has doubled to 10 gigawatts, and a second development site is already secured.
The investor roster spans energy majors and climate-focused funds, including ConocoPhillips, Shell Ventures, Khosla Ventures, and Gates Frontier. Mazama expects first electricity generation next year, with full development of its initial site targeted for 2030, aiming for 200 megawatts. Industry research suggests super-hot rock resources could theoretically supply over 63 terawatts globally.
This funding signals growing confidence in enhanced geothermal as a firm, always-available power source for data centers and industrial loads. If successful, Mazama's approach could provide a clean alternative to natural gas for AI infrastructure, potentially reducing grid strain and emissions. However, deep drilling carries technical and cost risks, and widespread impact depends on proving reliability at scale—affecting utilities, tech companies, and ratepayers who may ultimately bear costs or benefit from cleaner baseload power.