Eavor, a Canadian geothermal energy startup, reported the first close of its Series B equity round which was led by OMV AG, an energy and chemicals company, with a EUR 34 million (~USD 37 million) investment. The two companies also entered a commercial agreement to pursue large-scale deployment of Eavor-Loop technology in Europe and other nations.

The agreement makes OMV a key partner with preferred licensing terms, access to services, and development support. As such, OMV will begin with the deployment of Eavor-Loop in Austria, Romania, and Germany. 

There was also involvement from existing partners during the funding round including bp Ventures, Eversource Energy, and Vickers Venture Partners. Furthermore, concurrently with the raise, Chubu Electric Power converted its debenture.    

Analyst QuickTake: Eavor is set to begin drilling operations at its Eavor-Europe geothermal project in Bavaria, Germany, in July 2023, following the provision of funding from the European Innovation Fund to support operations. This will be the world’s first commercial implementation of an Eavor-Loop. An organic Rankine cycle (ORC) power plant is also being developed alongside the drilling operations in partnership with Turboden, a Mitsubishi Heavy Industries group company developing ORC systems. Energy production at the facility is expected to begin in Q4 2024.