Eavor, a Canadian geothermal energy startup, was awarded a EUR 91.6 million (~USD 96.9 million) grant from the European Innovation Fund.

The funding will support the company’s Eavor-Europe geothermal project under construction in Bavaria, Germany. This is the world’s first commercial implementation of an Eavor-Loop. 

Construction of the structure began in October 2022, and drilling is scheduled to begin in July 2023. The company already signed a contract with KCA-Deutag for this purpose. An organic Rankine cycle (ORC) power plant is also being developed alongside the drilling operations with Turboden, a Mitsubishi Heavy Industries group company developing ORC systems. Energy production at the facility is expected to begin in Q4 2024.

Analyst QuickTake: In January 2023 , Eavor successfully completed its next-generation geothermal demonstration project, Eavor-Deep, in New Mexico. This involved drilling a two-leg multilateral well down to a true vertical depth (TVD) of 18,000 ft at ~250°C and achieving technical milestones involving depth, temperature, bit-life, and rate of penetration in granite rock.