Eavor, a Canadian geothermal energy startup, signed a contract with KCA Deutag, a drilling and engineering service provider, where KCA will provide two drilling rigs for the construction of Eavor’s first commercial Eavor-Loop system.

Drilling and facility construction on the project, which is located in Geretsried, Germany, is set to begin in 2023. KCA’s drilling rigs will drill separate wellbores intersecting 5000m underground to provide continuous water circulation to draw heat from the subsurface rock and surface the energy. 

The first system is expected to be completed in one year, after which three more Eavor-Loops are planned, creating a total subsurface length of around 60km. This provides an estimated continuous output of up to 9 MWe and thermal capacity of up to 65 MW in the first development phase. This can heat or power up to 30,000 homes or businesses.

  Analyst QuickTake: The innovative Eavor-Loop system uses conduction to retrieve heat from the earth’s subsurface to provide long-term, reliable and independent, renewable, and sustainable energy with no exploration risk. The company partnered with Deep Energy Capital, a renewable energy investment house, in December 2021 to deploy Eavor-Loop. Both companies collectively committed EUR 15 million to finance the deployment in Europe.