As CleanTechnica reported, Texas-based startup XGS Energy has raised $13 million to expand its geothermal system, which doesn't rely on underground water or cracked rock to generate power.
The U.S. Air Force recently permitted the company to compete for clean energy projects at military bases, showing a growing interest in alternatives to dirty energy.
Most geothermal plants only work where heat, porous rock, and groundwater meet. This limits their use to places such as the Western United States.
XGS takes a different path. Its system uses a sealed pipe within a pipe, keeping fluids from touching the rock or escaping into Earth. The liquid heats up underground and returns to the surface to power equipment including heaters or generators.
Because it uses no water and works in many types of terrain, it could serve formerly off-limit areas.
Older versions of this idea were inefficient, but XGS added a key upgrade: a heat-conductive material wrapped around the pipe. It pulls additional heat to the well, "making a water-independent, geology-independent geothermal system economic for the first time," CEO Josh Prueher said.
XGS tested its system last year in California, marking its first project outside the lab.
Unlike enhanced geothermal methods that rely on high-pressure water, including those used by Fervo Energy, XGS' approach doesn't require fracturing the ground or injecting fluid. XGS avoids the risks of earthquakes or groundwater stress, and its steady output makes it well-suited for baseload power in drought-prone areas.
Geothermal energy was already getting attention from military bases. Fort Bliss is one of several sites exploring new systems to lower emissions and strengthen energy security.
XGS is part of a growing group of companies bringing fresh ideas to the field, each working toward cleaner, more dependable ways to power the grid.
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Aligned Climate Capital CEO Peter Davidson called the company's progress "unlocking a new era of geothermal scale," highlighting its potential to reduce pollution and meet the energy needs of cities, industries, and military facilities.
This push fits into a larger shift toward solving critical climate issues with clean, scalable infrastructure that supports health, safety, and long-term energy independence.
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