Skip to main content

Texas Reaches New Energy Milestone with First Permitted Geothermal Well

A Historic Moment for Geothermal Energy in Texas
By: Robert Buluma

In a groundbreaking development for Texas’ renewable energy landscape Rail Road Commision (RRC) has issued its first permit for a deep geo-pressured geothermal well. The permit, granted to Sage Geosystems for a site in Atascosa County, marks a pivotal shift in the state's approach to energy diversification. This milestone represents a significant advancement in geothermal energy in Texas, further cementing the state's reputation as a leader in energy innovation.

The well, located in the Anaconcho Formation south of San Antonio, is the first of its kind since regulatory authority over such projects transitioned from the Texas Commission on Environmental Quality to the RRC. The project, in partnership with San Miguel Electric Cooperative, will supply electricity while demonstrating the potential of geo-pressured geothermal energy as a viable renewable resource.

What Is Geo-Pressured Geothermal Energy?

Understanding Geo-Pressured Systems

Geo-pressured geothermal systems differ from conventional geothermal energy sources by harnessing a unique combination of high-pressure water, heat, and dissolved methane trapped deep beneath the Earth’s surface. This energy can be used for electricity generation and energy storage, making it an innovative solution for grid stability and renewable integration.

Why Geo-Pressured Geothermal Matters

  1. Renewable Energy Potential – Unlike solar and wind, which depend on weather conditions, geothermal power provides consistent, baseload electricity.
  2. Energy Storage Capabilities – The high-pressure fluids found in these reservoirs can be used in energy storage applications, helping balance fluctuations in electricity demand.
  3. Decarbonization of Texas' Energy Sector – As Texas transitions towards cleaner energy sources, geothermal power can play a significant role in reducing reliance on fossil fuels.

Sage Geosystems and San Miguel Electric Cooperative: A Strategic Partnership

The collaboration between Sage Geosystems and San Miguel Electric Cooperative highlights how traditional energy players are investing in geothermal energy in Texas. The partnership involves the development of a 3-megawatt Geo-pressured Geothermal System Energy Storage Facility, which will provide electricity to San Miguel Electric Cooperative customers.

This project demonstrates how Texas' oil and gas expertise can be repurposed for geothermal energy development, utilizing similar drilling technologies and workforce skills.

The Role of the Railroad Commission of Texas (RRC) in Geothermal Development

Streamlining Permits for Geothermal Energy

Historically, Texas' regulatory framework focused on oil and gas, but the recent transfer of geothermal permitting authority to the RRC has streamlined the approval process for such projects. According to RRC Executive Director Wei Wang, the commission is committed to adapting regulations to support the growth of emerging energy technologies while ensuring environmental and public safety standards.

Ensuring Environmental and Safety Compliance

The RRC’s regulatory framework ensures that geothermal projects:

  • Meet stringent environmental guidelines.
  • Maintain safe drilling and operational standards.
  • Support Texas’ long-term energy goals.

Geothermal Energy: The Future of Texas’ Energy Mix?

Texas’ Growing Interest in Geothermal Power

Texas has long been known for its dominance in oil and gas production, but geothermal energy is gaining momentum as a viable alternative. The state possesses deep sedimentary basins with high geothermal gradients, making it an ideal location for scalable geothermal projects.

Ex-Oil and Gas Workers Transitioning to Geothermal

One of the biggest advantages of geothermal energy in Texas is that it allows former oil and gas workers to transition into the renewable energy sector. Many of the drilling, well completion, and reservoir management techniques used in oil and gas can be directly applied to geothermal development.

Potential for Large-Scale Deployment

The Sage Geosystems project is a significant step forward, but it is just the beginning. With more investment and regulatory support, Texas could become a national leader in geothermal energy. Research from institutions like the University of Texas at Austin suggests that geo-pressured resources in the Gulf Coast region could generate gigawatts of clean energy.

Challenges and Opportunities in Texas’ Geothermal Sector

Challenges

  1. High Initial Costs – Geothermal drilling is capital-intensive, requiring significant upfront investment.
  2. Regulatory and Market Barriers – Despite progress, geothermal energy still faces challenges in market adoption and grid integration.
  3. Public Awareness – Many Texans are unfamiliar with geothermal energy’s benefits, making education and advocacy crucial.

Opportunities

  1. Leveraging Oil and Gas Expertise – Texas has the drilling technology and skilled workforce necessary for rapid geothermal deployment.
  2. Government and Private Sector Support – Increasing investment from both public and private entities is driving geothermal growth.
  3. Integration with Other Renewables – Geothermal can complement solar and wind power by providing a stable energy source.

Conclusion: A New Era for Texas Energy

The first permitted geo-pressured geothermal well in Atascosa County is a major milestone for Texas. It highlights the state’s commitment to diversifying its energy mix while utilizing existing expertise from the oil and gas sector.

With continued investment, regulatory support, and public awareness, Texas could become a global leader in geothermal energy. The success of Sage Geosystems and San Miguel Electric Cooperative’s project will serve as a blueprint for future geothermal development, paving the way for a more sustainable energy future.

Key Takeaways

  • Texas’ first permitted deep geo-pressured geothermal well signals a new era in the state's energy sector.
  • Sage Geosystems and San Miguel Electric Cooperative are leading the way in geothermal energy adoption.
  • The RRC’s regulatory support ensures that geothermal projects are developed safely and efficiently.
  • Geothermal energy offers a reliable, renewable energy source with enormous potential for Texas.

This historic milestone is just the beginning. Geothermal energy in Texas is poised for exponential growth, positioning the state as a leader in the global clean energy transition

Related: Sage Geosytems partnered with ABB in fasttracking Geothermal Energy

Source:Alphaxioms

Connect with us:LinkeidinX

Comments

Hot Topics 🔥

Vulcan Energy's G-LEP Plant in Landau Paves the Way for Europe's Sustainable Lithium Revolution

Breaking Ground: Vulcan Energy's G-LEP Plant in Landau Paves the Way for Europe's Sustainable Lithium Revolution By: Robert Buluma In the heart of Germany's Rhineland-Palatinate region, a groundbreaking ceremony marked the laying of the foundation stone for the first optimized Geothermal and Lithium Extraction Plant (G-LEP) in Landau, spearheaded by Vulcan Energy Resources, an Australian-German company. As Petra Dick-Walther, State Secretary in the Ministry for Climate Protection, Environment, Energy, and Mobility of Rhineland-Palatinate, described in her recent social media post, this project represents a "quantum leap into the future." It enables the simultaneous extraction of climate-neutral lithium and generation of renewable energy from the hot thermal beds of the Upper Rhine Graben, opening new avenues for Germany's energy transition, supply security, and Europe's sovereignty over critical resources. Lithium, a key component in batteries for electri...

Geo Dipa's Game-Changing Leap: Commercial Silica and Lithium Production from Geothermal Brines by 2028

Geo Dipa's Ambitious Leap: Extracting Silica and Lithium from Geothermal Brines by 2028 Introduction In an era where the global energy transition demands sustainable sources of critical minerals, Indonesia's state-owned PT Geo Dipa Energi ( Persero ) is positioning itself at the forefront of innovation. By 2028, Geo Dipa plans to commence commercial production of silica and lithium extracted from geothermal brines, a byproduct of its geothermal power operations. This initiative not only diversifies the company's revenue streams but also aligns with Indonesia's broader goals of enhancing renewable energy capacity and supporting the electric vehicle (EV) battery supply chain.  Geothermal energy, harnessed from the Earth's heat, produces hot brines rich in dissolved minerals like lithium and silica. Traditionally viewed as waste, these brines are now seen as valuable resources. Geo Dipa's strategy builds on years of feasibility studies and international partnershi...

The 2025 U.S. Geothermal Market Report published by the National Laboratory of the Rockies & Geothermal Rising

The 2025 U.S. Geothermal Market Report published by the National Laboratory of the Rockies (NLR, formerly NREL) in collaboration with Geothermal Rising and supported by the U.S. Department of Energy's Geothermal Technologies Office (GTO), provides a comprehensive update on the geothermal sector since the 2021 report.  By:  Robert Buluma Released in 2025 (with data through mid-2025), it expands coverage to include geothermal heat pumps (GHPs) for single-building and district applications, alongside power generation and direct use. The report highlights steady growth in installed capacity, accelerating investment in next-generation technologies like enhanced geothermal systems (EGS) and closed-loop geothermal (CLG), cost declines, policy support, and emerging opportunities driven by demand for reliable, 24/7 clean energy. Geothermal Power Generation: Steady Growth and Momentum U.S. geothermal power has seen consistent expansion, with nameplate installed capacity reaching 3,96...

FINANCING STRATEGIES FOR GEOTHERMAL PROJECTS LEVERAGING TAX CREDIT INCENTIVES

FINANCING STRATEGIES FOR GEOTHERMAL PROJECTS LEVERAGING TAX CREDIT INCENTIVES Aligning Policy, Risk Mitigation, and Investor Capital to Unlock Geothermal Growth Geothermal energy stands at a unique crossroads in the global energy transition. It is one of the few renewable resources capable of delivering continuous, baseload power and heat, independent of weather conditions. Unlike solar and wind, geothermal offers grid stability, industrial heat, and long-term energy security. Yet despite its immense potential, geothermal deployment has historically lagged behind other renewables due to high upfront capital costs, geological uncertainty, and complex financing requirements. In recent years, governments and financial institutions have increasingly turned to **tax credit incentives as a strategic lever to overcome these barriers. By reducing capital expenditure, improving cash flow profiles, and attracting institutional investors, tax credits are reshaping how geothermal projects are fina...

Switch's Bold Move: 13MW Geothermal PPA with Ormat in Nevada – Game-Changer

Switch's Bold Move: Signing a 13MW Geothermal PPA with Ormat Technologies in Nevada – A Game-Changer for Sustainable Data Centers Image: Ormat Power Plant Posted by Alphaxioms Geothermal News on January 12, 2026 Welcome back to Alphaxioms Geothermal News, your go-to source for all things geothermal energy, innovation, and sustainability. As we kick off 2026, the intersection of renewable energy and high-tech industries is heating up—literally. Today, we're diving deep into a groundbreaking announcement that's set to reshape how data centers power their operations. Global data center operator Switch has inked a 20-year Power Purchase Agreement (PPA) with Ormat Technologies for 13MW of geothermal power from the Salt Wells geothermal power plant in Nevada. This isn't just another deal; it's a pivotal step toward carbon-free, reliable energy for the AI-driven future. In this comprehensive blog post, we'll unpack the details of this agreement, explore the technolog...

13 States Launch Initiative to Accelerate Geothermal Power Development

NASEO Launches Multistate Geothermal Power Accelerator: A Major Step Toward Clean, Reliable Energy By:  Robert Buluma In a significant boost for America's clean energy future, the National Association of State Energy Officials (NASEO) announced on December 18, 2025, the launch of the NASEO Geothermal Power Accelerator. This collaborative initiative brings together 13 states to fast-track the development of geothermal power in partnership with the private sector. Funded by the U.S. Department of Energy’s Geothermal Technologies Office and NASEO itself, the Accelerator aims to unlock the vast potential of geothermal energy a reliable, firm, and flexible source of clean power available around the clock. The participating states are Arizona, California, Colorado, Hawaii, Idaho, Louisiana, Montana, Nevada, New Mexico, Oregon, Pennsylvania, Utah, and West Virginia. These diverse regions, spanning traditional geothermal hotspots in the West to emerging opportunities in the East, will wo...

Banda Baru Geothermal Tender Flops: Zero Bidders Step Forward

Banda Baru Geothermal Survey Tender Fails to Attract Bidders By:  Robert Buluma Indonesia's push toward renewable energy suffered a notable setback in late 2025 when the tender for the Preliminary Survey and Exploration Assignment (WPSPE) of the Banda Baru Sepa geothermal block closed without a single bidder. Located on the remote Seram Island in Maluku Province, this 1,989-hectare site was seen as a promising addition to the nation's geothermal portfolio, with estimated potential of around 25-30 MW. The tender, open from October 31 to December 1, 2025, aimed to assign a developer for initial surveys and exploration, but the lack of interest underscores deep-rooted challenges in attracting investment to Indonesia's geothermal sector. Seram Island, a rugged and largely undeveloped landmass north of Ambon, is characterized by dense rainforests, towering mountains, and limited infrastructure. The Banda Baru block's location amplifies logistical difficulties, making it a to...

Versailles Powers Its Historic Legacy with Deep Geothermal Energy: A Model for Sustainable Urban Heating

Versailles Embraces Deep Geothermal Energy to Decarbonize Its District Heating Network By Robert Buluma The historic city of Versailles in France's Yvelines department is taking a bold step toward sustainability. On December 18, 2025, Mayor François de Mazières and Franck Lacroix, Deputy Managing Director of Engie , signed a 32-year concession agreement. This partnership entrusts Engie with transforming, modernizing, and greening the city's district heating network, aiming to slash carbon emissions while providing reliable, renewable heat to residents. At the project's core is deep geothermal energy, harnessing the natural heat from underground aquifers. The site targets the Dogger aquifer, a limestone formation from the Middle Jurassic period, located about 1,500 meters below the Paris Basin. Water in this layer reaches temperatures of around 60°C, making it ideal for heating. The plan involves drilling a geothermal doublet two wells: one to extract hot water and another t...

GEOLOG Acquires Quad Ltd and QO Inc. to Revamp Wellsite Geology and Pore Pressure Outreach

Revolutionizing the Depths: How GEOLOG's Strategic Acquisition is Supercharging Geothermal Energy's Future By: Robert Buluma Imagine plunging miles beneath the Earth's surface, tapping into an ancient furnace of heat that never sleeps, never falters, and never runs out. This is geothermal energy—the planet's own endless battery, capable of powering civilizations with clean, reliable electricity around the clock. While solar panels go dark at night and wind turbines stand idle in calm air, geothermal delivers baseload power with capacity factors often above 90%. In a world racing toward net-zero emissions and facing exploding energy demands from data centers, electric vehicles, and industrial growth, geothermal is emerging as the sleeping giant ready to awaken. Scaling geothermal globally, however, is no simple task. Drilling deep into the crust exposes crews to extreme conditions: temperatures soaring past 300°C, highly corrosive fluids, and rock so hard it can destroy...

Rodatherm Energy: Pioneering Closed Loop Geothermal in Utah

Revolutionizing Geothermal Energy: Rodatherm's Game-Changing Approach in Utah Posted by Alphaxioms Geothermal News on January 17, 2026 Utah-based Rodatherm Energy Corporation has revolutionized the geothermal energy equation, and venture capitalists have taken note. With pilot projects planned for Millard County and Beaver County, the company has what founder and CEO Curtis Cook calls “a novel approach” to geothermal technology. In a world racing toward sustainable energy solutions, geothermal power has long been a reliable but underutilized player. Traditional geothermal systems rely on water to extract heat from the Earth's depths, often limiting their deployment to remote, sparsely populated areas due to environmental concerns and high costs. But Rodatherm is flipping the script with its innovative, waterless closed-loop system that promises efficiency, scalability, and minimal environmental impact. At the heart of Rodatherm's technology is what Cook describes as ...