Feb 23 2025 22 mins 11
Geothermal energy has been utilized by humans for millennia. While the first-ever use may be a mystery, we do know the Romans tapped into it in the first century for hot baths at Aquae Sulis (modern-day Bath, England). Since then, many other people and cultures have found ways to use the Earth’s underground heat to their benefit.
Geothermal resources were used for district heating in France as far back as 1332. In 1904, Larderello, Italy, was home to the world’s first experiment in geothermal electricity generation, when five lightbulbs were lit. By 1913, the first commercial geothermal power plant was built there, which expanded to power the local railway system and nearby villages.
However, one perhaps lesser-known geothermal concept revolves around energy storage. “It’s very much like pumped-storage hydropower, where you pump a lake up a mountain, but instead of going up a mountain, we’re putting that lake deep in the earth,” Cindy Taff, CEO of Sage Geosystems, explained as a guest on The POWER Podcast.
Sage Geosystems’ technology utilizes knowledge gleaned from the oil and gas industry, where Taff spent more than 35 years as a Shell employee.
“What we do is we drill a well. We’re targeting a very low-permeability formation, which is the opposite of what oil and gas is looking for, and quite frankly, it’s the opposite of what most geothermal technologies are looking for. That low permeability then allows you to place a fracture in that formation, and then operate that fracture like a balloon or like your lungs,” Taff explained. “When the demand is low, we use electricity to power an electric pump. We pump water into the fracture. We balloon that fracture open and store the water under pressure until a time of day that power demand peaks. Then, you open a valve at surface. That fracture is naturally going to close. It drives the water to surface. You put it through a Pelton turbine, which looks like a kid’s pinwheel. You spin the turbine, which spins the generator, and you generate electricity.”
Unlike more traditional geothermal power generation systems that use hot water or steam extracted from underground geothermal reservoirs, Sage’s design uses what’s known as hot dry rock technology. To reach hot dry rock, drillers may have to go deeper to find desired formations, but these formations are much more common and less difficult to identify, which greatly reduces exploration risks.
Taff said traditional geothermal energy developers face difficulties because they need to find three things underground: heat, water, and high-permeability formations. “The challenge is the exploration risk, or in other words, finding the resource where you’ve got the heat, the large body of water deep in the earth, as well as the permeability,” she said. “In hot dry rock geothermal, which is what we’re targeting, you’re looking only for that heat. We want a low-permeability formation, but again, that’s very prevalent.”
Sage is now in the process of commissioning its first commercial energy storage project in Texas. “We’re testing the piping, and we’re function testing the generator and the Pelton turbine, so we’ll be operating that facility here in the next few weeks,” Taff said. Meanwhile, the company has also signed an agreement with the California Resources Corporation to establish a collaborative framework for pursuing commercial projects and joint funding opportunities related to subsurface energy storage and geothermal power generation in California. It also has ongoing district heating projects in Lithuania and Romania, and Taff said the U.S. Department of Defense has shown a lot of interest in the company’s geothermal technology. Additionally, Meta signed a contract for a 150-MW geothermal power generation system to supply one of its data centers.
Geothermal resources were used for district heating in France as far back as 1332. In 1904, Larderello, Italy, was home to the world’s first experiment in geothermal electricity generation, when five lightbulbs were lit. By 1913, the first commercial geothermal power plant was built there, which expanded to power the local railway system and nearby villages.
However, one perhaps lesser-known geothermal concept revolves around energy storage. “It’s very much like pumped-storage hydropower, where you pump a lake up a mountain, but instead of going up a mountain, we’re putting that lake deep in the earth,” Cindy Taff, CEO of Sage Geosystems, explained as a guest on The POWER Podcast.
Sage Geosystems’ technology utilizes knowledge gleaned from the oil and gas industry, where Taff spent more than 35 years as a Shell employee.
“What we do is we drill a well. We’re targeting a very low-permeability formation, which is the opposite of what oil and gas is looking for, and quite frankly, it’s the opposite of what most geothermal technologies are looking for. That low permeability then allows you to place a fracture in that formation, and then operate that fracture like a balloon or like your lungs,” Taff explained. “When the demand is low, we use electricity to power an electric pump. We pump water into the fracture. We balloon that fracture open and store the water under pressure until a time of day that power demand peaks. Then, you open a valve at surface. That fracture is naturally going to close. It drives the water to surface. You put it through a Pelton turbine, which looks like a kid’s pinwheel. You spin the turbine, which spins the generator, and you generate electricity.”
Unlike more traditional geothermal power generation systems that use hot water or steam extracted from underground geothermal reservoirs, Sage’s design uses what’s known as hot dry rock technology. To reach hot dry rock, drillers may have to go deeper to find desired formations, but these formations are much more common and less difficult to identify, which greatly reduces exploration risks.
Taff said traditional geothermal energy developers face difficulties because they need to find three things underground: heat, water, and high-permeability formations. “The challenge is the exploration risk, or in other words, finding the resource where you’ve got the heat, the large body of water deep in the earth, as well as the permeability,” she said. “In hot dry rock geothermal, which is what we’re targeting, you’re looking only for that heat. We want a low-permeability formation, but again, that’s very prevalent.”
Sage is now in the process of commissioning its first commercial energy storage project in Texas. “We’re testing the piping, and we’re function testing the generator and the Pelton turbine, so we’ll be operating that facility here in the next few weeks,” Taff said. Meanwhile, the company has also signed an agreement with the California Resources Corporation to establish a collaborative framework for pursuing commercial projects and joint funding opportunities related to subsurface energy storage and geothermal power generation in California. It also has ongoing district heating projects in Lithuania and Romania, and Taff said the U.S. Department of Defense has shown a lot of interest in the company’s geothermal technology. Additionally, Meta signed a contract for a 150-MW geothermal power generation system to supply one of its data centers.
