Governor announces XGS Energy, Meta geothermal partnership – Nation-leading 150 MW geothermal project on its way to New Mexico
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# Governor announces XGS Energy, Meta geothermal partnership – Nation-leading 150 MW geothermal project on its way to New Mexico
Jun 12, 2025 | [Press Releases](https://www.governor.state.nm.us/press-releases/)
SANTA FE – Gov. Michelle Lujan Grisham today announced that XGS Energy and Meta have entered into an agreement to develop 150 megawatts of advanced geothermal energy in New Mexico.
This landmark partnership showcases how next-generation technology can drive clean energy innovation, create high-quality jobs, and meet the state’s growing electricity demands with minimal water usage.
“New Mexico is one of the nation’s leading sources of clean energy, and we’ve worked hard to ensure our state remains at the forefront of the energy transition,” said **Gov. Lujan Grisham**. “Today’s announcement demonstrates that geothermal is a promising new energy frontier in New Mexico. This partnership shows how our state can meet the demand of new industry with clean power.”
A new report by Project InnerSpace outlines the scale of New Mexico’s geothermal potential and practical steps to develop it. XGS Energy and Meta’s 150 MW project strengthen our grid with reliable baseload power and position our state as a national leader in next-generation renewable energy.
The project will use XGS Energy’s proprietary technology to generate geothermal electricity without using operating water — critical in an arid state like New Mexico. The electricity will power Meta’s New Mexico data center operations and be delivered through the PNM electric grid. This project alone has the potential to increase geothermal generation in New Mexico tenfold, tapping into one of the most underutilized and powerful renewable resources beneath our feet.
“We’re pleased to support Meta’s ambitious AI objectives and accelerate access to new round-the-clock power supplies,” said **Josh Prueher, CEO of XGS Energy**. “More broadly, the state of New Mexico is a growing hub for data center development. We are eager to feed clean, water-independent geothermal power into the New Mexico market at a scale uniquely possible with XGS technology.”
Meta, one of the world’s largest corporate clean energy buyers, sees geothermal as a key piece of their growing energy portfolio.
“Advances in AI require continued energy to support infrastructure development,” said **Urvi Parekh, Global Head of Energy at Meta**. “With next-generation geothermal technologies like XGS ready for scale, geothermal can be a major player in supporting the advancement of technologies like AI as well as domestic data center development. We’re excited to partner with XGS to unlock a new category of energy supply for our operations in New Mexico.”
The two-phase project is expected to be fully operational by 2030, with the first phase launching on a smaller scale and the second expanding to full capacity. Both phases will be located in New Mexico, strengthening the state’s grid and helping meet its ambitious clean energy goals.
“We’re proud to support this innovative, carbon-free project from Meta and XGS Energy,” said **PNM President and CEO Don Tarry**. “This project is a meaningful step toward meeting New Mexico’s clean energy goals and demonstrates the power of advanced technology to shape our energy future.”
The announcement coincides with the release of a new report, “The Future of Geothermal in New Mexico,” authored by Project InnerSpace, New Mexico Tech, and the New Mexico Bureau of Geology and Mineral Resources. The report identifies over 160 gigawatts of untapped geothermal potential in the state, highlighting a once-in-a-generation opportunity to diversify New Mexico’s energy economy.
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The Office of Governor Michelle Lujan Grisham is located on the fourth floor of the New Mexico State Capitol in Room 400.
Address: 490 Old Santa Fe Trail Room 400 Santa Fe, NM 87501
Phone: (505) 476-2200 Toll free: (833) 520-0020
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