Baker Hughes, XGS Partner To Deliver 150 MW Geothermal Power For Meta’s New Mexico Data Centers
- 150 MW geothermal project supports Meta Platforms data center decarbonisation strategy and 2030 net zero target
- Partnership with Baker Hughes aims to reduce technical risk and accelerate deployment of next generation geothermal systems
- Water independent geothermal technology could unlock scalable clean baseload power in resource constrained regions
New Mexico is emerging as a proving ground for next generation geothermal energy, as XGS Energy moves forward with a 150 MW project designed to power Meta’s expanding data center footprint.
The company confirmed a new partnership with Baker Hughes to advance engineering and development of the facility, which is expected to be built in two phases and fully operational by 2030. The project forms part of Meta’s broader push to secure firm, carbon free energy to support the rapid growth of its digital infrastructure across the United States.
Unlike intermittent renewables, geothermal offers continuous baseload power, a critical advantage as hyperscale data centers place increasing strain on regional grids.
Execution And Engineering Take Center Stage
The agreement brings together XGS’ proprietary geothermal technology with Baker Hughes’ decades of experience in complex energy infrastructure.
“The difference between a great idea and a great asset is the quality of execution in the field,” Martin Craighead, an XGS director, said in the release. “This agreement reflects XGS’s priority to surround its innovation with executors that have decades of experience delivering complex energy infrastructure at industrial scale.”
Baker Hughes will provide engineering support spanning well construction, completion and production systems, alongside broader geothermal expertise. Early stage collaboration is expected to reduce development risk and accelerate validation of underground reservoirs, a key hurdle for geothermal scalability.
Maria Claudia Borras, Chief Growth and Experience Officer at Baker Hughes, said early coordination between the companies would help streamline exploration and improve confidence in project performance.
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Water Independent Technology Expands Geothermal Potential
At the center of the project is XGS’ closed loop geothermal system, which does not rely on water or permeable rock formations. This design removes two of the most significant constraints that have historically limited geothermal deployment.
The company demonstrated the commercial viability of the technology in 2025, operating a system for more than 3,000 hours in a previously idle California well. The results have strengthened investor and corporate confidence in geothermal as a scalable clean energy source.
For regions such as the US Southwest, where water scarcity and geological variability can hinder traditional geothermal projects, this innovation could materially expand the addressable market.
Meta Deepens Investment In Firm Clean Energy
For Meta, geothermal is becoming a central pillar of its clean energy procurement strategy. The company signed its first geothermal agreement in 2024 with Sage Geosystems, also for 150 MW, targeting data centers east of the Rockies. The first phase of that project is expected online by 2027, with additional capacity following within several years.
The urgency is tied directly to emissions. Data center construction and operations account for a significant share of Meta’s scope 3 footprint, a growing concern as AI driven workloads accelerate global energy demand.
Meta’s Head of Net Zero Strategy, Devon Lake, highlighted the challenge earlier this year, noting the company is “really looking forward to expanding our use of renewable energy to address its value chain emissions.”
What This Means For Energy Markets And Investors
The XGS Baker Hughes partnership reflects a broader shift in corporate energy procurement. Technology companies are no longer relying solely on solar and wind paired with offsets. Instead, they are seeking firm, dispatchable clean power that can match the operational intensity of data centers.
From a governance perspective, the deal aligns with tightening corporate climate commitments and increasing scrutiny around scope 3 emissions. From a finance standpoint, it signals growing investor appetite for geothermal as a viable asset class, particularly when paired with strong industrial partners capable of execution at scale.
If successful, the New Mexico project could set a precedent for replicable geothermal deployments across other high demand regions, reshaping how corporations secure clean energy in a carbon constrained world.
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