For next-gen geothermal to scale, drilling costs must drop. Startup Hephae says its novel tech can make that happen — and developers like Fervo are giving it a try.

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Jesus Arriaga, operations manager for Hephae Energy Technology, opens a toolbox at Fervo Energy’s geothermal site in Utah. (Hephae Energy Technology)

Thousands of feet beneath the desert valley of southwest Utah, a slender tool tucked inside a drill pipe is barreling through hot granite. The rod-shaped device, built by the startup Hephae Energy Technology, is a tracker of sorts, wirelessly sending data to help operators above steer the drill below and to measure rock conditions.

The work is underway at Fervo Energy​’s Cape Station, the largest project in the nation using nascent techniques to tap earth’s heat for clean energy. The 500-megawatt endeavor could usher in an era of next-generation geothermal development — but only if the industry can bring down drilling costs.