SLB and Ormat Partner to Advance Geothermal Development

Global energy technology company SLB (NYSE: SLB) and leading geothermal and renewable energy company Ormat Technologies (NYSE: ORA) have announced a strategic partnership to accelerate the development and commercialization of integrated geothermal assets, including Enhanced Geothermal Systems (EGS)—a next-generation technology designed to unlock geothermal potential in areas previously unsuitable for conventional geothermal energy production.

This collaboration aims to fast-track project deployment, from early-stage concept to full-scale power generation. By combining their complementary expertise, SLB and Ormat intend to overcome long-standing barriers to geothermal scalability, making it a cornerstone of the clean energy transition.

Accelerating the Next Phase of Geothermal Energy

Enhanced Geothermal Systems represent a transformative step for geothermal technology. Traditional geothermal power generation depends on naturally occurring underground reservoirs of steam or hot water, limiting its use to specific geographic regions. In contrast, EGS technologies enable engineers to create artificial geothermal reservoirs in hot rock formations, injecting water into fractured rock layers to generate heat and produce energy on demand.

According to the U.S. Department of Energy, these next-generation geothermal systems could produce up to 90 gigawatts (GW) of clean, reliable electricity by 2050—and potentially scale up to 300 GW in the U.S. alone. That capacity would position geothermal energy as a major contributor to base-load renewable power, complementing intermittent sources like solar and wind.

A Partnership Built on Complementary Strengths

SLB and Ormat bring decades of experience and advanced technology portfolios to this collaboration.

SLB, one of the world’s leading energy technology companies, contributes deep expertise in subsurface characterization, reservoir engineering, and well construction. These strengths are vital to identifying and efficiently tapping into geothermal heat sources.
Ormat Technologies, recognized globally for its leadership in geothermal power plant design, development, and operations, brings proven experience in commercial-scale deployment and long-term facility management.

Together, the two companies will co-develop and deploy integrated geothermal assets and EGS solutions engineered for optimal long-term performance and economic viability.

Key Phases of the Collaboration

Joint Technology and Project Development
The partnership will focus on co-developing and testing EGS technologies that enhance both productivity and cost-efficiency. By combining Ormat’s operational experience with SLB’s advanced energy technologies, the companies aim to streamline every phase of geothermal project development—from drilling and reservoir stimulation to power generation and grid integration.
EGS Pilot Project
A pilot project will be designed and constructed at one of Ormat’s existing geothermal sites. This integrated EGS pilot will serve as a full demonstration of the end-to-end process, validating performance, technical feasibility, and economic sustainability. The project will also allow both companies to gather critical data to refine EGS deployment models for future large-scale operations.
Commercial Scale-Up
Upon successful completion of the pilot, SLB and Ormat plan to expand EGS commercialization globally. They will target markets that include independent power producers, utilities, and energy-intensive sectors such as data centers—where the demand for constant, carbon-free electricity continues to rise.

Responding to the Global Energy Challenge

In announcing the partnership, Gavin Rennick, President of New Energy at SLB, emphasized the urgency of developing scalable, clean energy solutions to meet rapidly increasing global demand.

“There is an urgent need to meet the growing demand for energy driven by AI and other factors. This requires accelerating the path to clean and reliable energy,” Rennick said. “By partnering with Ormat, we will make both traditional hydrothermal and EGS technologies truly competitive and commercially viable systems that can scale quickly to meet global energy demand through the coming decades. Our EGS pilot project will serve as a critical platform to address both technical and economic challenges, significantly de-risking and broadening the commercial application of EGS.”

Rennick added that SLB views geothermal energy as a critical pillar of its strategic technology portfolio, helping to accelerate the global geothermal industry’s growth and diversify the clean energy mix worldwide.

Building a Sustainable Energy Future

Ormat Technologies’ Chief Executive Officer Doron Blachar expressed similar enthusiasm for the collaboration, highlighting how the partnership aligns with Ormat’s mission to deliver scalable, sustainable energy solutions in a rapidly changing energy landscape.

“Ormat is pleased to partner with SLB to accelerate the development and deployment of integrated geothermal assets and next-generation EGS solutions,” Blachar said. “As the global energy transition progresses and AI-driven demand increases, scalable and sustainable energy solutions are more critical than ever. By bringing together the world’s leading experts in subsurface and geothermal power plant technologies, Ormat and SLB will accelerate the path to rapid deployment of commercial-scale EGS facilities.”

Blachar noted that a successful EGS pilot could enable Ormat to expand its development pipeline significantly, advancing its leadership in geothermal energy. The company remains committed to delivering reliable, sustainable, and efficient power to meet rising global electricity demand—particularly from sectors like AI, cloud computing, and data centers, which increasingly seek renewable baseload energy sources.

Transforming the Geothermal Landscape

The upcoming demonstration project marks a pivotal step for the geothermal industry. It will bring together cutting-edge subsurface technologies, drilling innovations, and power plant integration techniques to establish a new benchmark for EGS performance.

By optimizing the interaction between the subsurface reservoir and surface facilities, SLB and Ormat aim to maximize both production efficiency and sustainability—reducing costs while improving the overall reliability of geothermal energy systems.

If successful, this collaboration could redefine the commercial viability of geothermal power, making it a core contributor to the world’s renewable energy portfolio. It also reinforces how cross-industry partnerships—bridging oilfield technology, renewable development, and energy storage expertise—can unlock entirely new pathways for global decarbonization.

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