A new partnership could dramatically change the energy landscape in New Mexico.
Tech giant Meta and XGS Energy have struck a deal to bring 150 megawatts of geothermal power to the state — a move that could increase New Mexico’s geothermal output tenfold.
The electricity will feed into the PNM grid and help power Meta’s data centers in the region.
The technology, developed by XGS Energy, doesn’t rely on groundwater or traditional geological conditions — a major departure from older geothermal systems.
That means energy can be generated directly from dry hot rock, unlocking new territory for development.
XGS says this approach is especially promising for New Mexico, which sits atop some of the nation’s richest hot rock resources but has only one operating geothermal plant today.
A new report out today puts New Mexico’s geothermal potential at over 160 gigawatts — considered a very large reserve of untapped clean energy.
Governor Michelle Lujan Grisham called the Meta-XGS project a step forward in diversifying the state’s energy economy, one that will bring jobs and bolster grid reliability.
Meta says its growing infrastructure demands — especially in artificial intelligence — require steady, round-the-clock energy.
Yesterday’s meeting at the capital included several state officials and leaders from XGS and Meta.
New Mexico’s Economic Development Department cabinet secretary Rob Black described the state as fertile ground for the geothermal collaboration and other clean energy projects.
"It positions New Mexico as a magnet for future growth for companies with commitments like Meta has for lowering their carbon emissions while growing their operations," Black said.
"That is what this story today tells to the rest of the world—that when you want to grow your company and you want to do it in a way that is climate responsible, New Mexico's the place that you want to invest and grow."
The full 150-megawatt system will be built in two phases, with both expected online by the end of the decade.
Lujan Grisham called the Meta-XGS project a step forward in diversifying the state’s energy economy, one that will bring jobs and bolster grid reliability.
