Swedish geothermal developer Baseload Capital has announced the closing of its €53m Series B round of financing.
The Series B round was led by an investment from infrastructure fund ENGF, whose main investor is Ingka Investments.
Other shareholders participating in this round include energy technology company Baker Hughes – whose investment was announced in 2023 – Nefco, Breakthrough Energy Ventures, and Gullspång Invest.
Baseload Capital aims to address under-utilised resources and building a global collaborative portfolio of geothermal projects to scale the entire industry.
Funds will be used to commercialise the company’s current portfolio of projects.
Baseload Capital aims to unlock largely unexploited global geothermal potential, estimated at 200GWe and 5000GWth with existing technology.
Installed global capacity today is 16.3GWe and 173GWth.
According to the US Department of Energy, geothermal resources leveraged by technologies from the oil and gas industry could provide 90GW-300GW of clean firm capacity by 2050 in the US alone.
While the geothermal industry drills about 800 wells a year, it lags far behind the oil and gas industry that drills about 60,000-70,000 annually.
Baseload Capital and its Baseload Power subsidiaries operate in mature geothermal markets like Iceland, the US, and Japan, as well as in emerging markets like Taiwan.
In the latter, it is taking an active part in shaping the first-ever geothermal policies.
Baseload Capital chief executive Alexander Helling said: “The trust these renowned partners place in us is a testament both to what we at Baseload can achieve and to the fact that the geothermal industry is ready to scale up globally.”
ENGF managing director Oskar Backman added: “We are delighted to be working with Baseload Capital and the other investors on this important energy infrastructure platform.
“We strongly believe in the sector as it offers stable and carbon-free baseload electric capacity to the grid.
“Baseload has demonstrated its capabilities to develop a portfolio of geothermal projects, and we are thrilled to support the company through its next phase in commercializing its pipeline.
“As a business we are committed to help support the green transition and this partnership helps us deliver on our promise.”