Baker Hughes and MantleReach Develop 500 MW Geothermal

en.Wedoany.com Reported - Energy technology company Baker Hughes (NYSE: BKR) and specialized geothermal developer Mantle Reach Power have entered into a new commercial agreement aimed at advancing the large-scale commercial deployment of geothermal energy in North America. The agreement integrates technology, development, and financing resources to establish a repeatable and bankable business model, accelerating project execution and enhancing pre-construction bankability.

The announcement underscores a commitment to advancing clean, reliable baseload power to meet the round-the-clock energy demands of rapidly growing sectors such as electrification, artificial intelligence, and hyperscale computing. Under the agreement, Baker Hughes will serve as an integrated subsurface solutions provider, while Mantle Reach Power, leveraging the power and exploration & production expertise of its investor EnCap Energy Transition Fund III, will lead project development, ownership, and financing. EnCap Investments has raised approximately $47 billion through 25 institutional funds and is one of North America's most experienced energy investment platforms. The collaboration aims to combine Baker Hughes' subsurface and surface technologies with Mantle Reach Power's development capabilities, optimizing risk allocation while enhancing project pre-construction bankability—a historically major barrier to scaling geothermal energy.

The agreement adopts a phased structure, integrating advanced technologies applicable to geothermal development, construction, and operations. As projects progress, Baker Hughes plans to provide a portfolio including subsurface technologies, surface power generation, and digital solutions to help de-risk and deliver up to 500 megawatts of installed capacity, supplying geothermal energy at industrial scale and competitive terms. Lorenzo Simonelli, Chairman and CEO of Baker Hughes, stated that geothermal is a clean power solution that strengthens U.S. energy security and supports digital infrastructure, and that this partnership provides the commercial framework the industry has been missing—a repeatable, bankable model. Tim Rebhorn, Managing Partner of EnCap Energy Transition, noted that the collaboration addresses fundamental challenges hindering private capital participation in geothermal deployment. Nick Karambelas, CEO of Mantle Reach Power, believes that combining Baker Hughes' subsurface-to-surface expertise with its own project development and financing capabilities can accelerate the company's growth as an independent power producer.

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