FRVO Stock Soars Pre-Market After Largest Ever Deal With Google – A Look At The Key Highlights

Google is set to purchase 396 megawatts of electricity from Fervo’s Cape Station project in southwestern Utah.

• Google also secured an option to add roughly 600 MW by June 2030.
• Partnership builds on the two companies’ 3 MW project in Nevada in 2023.
• Fervo expects total capital expenditures of around $850 million to $900 million in the second half of 2026.

Fervo Energy (FRVO) was on investors’ radar on Tuesday after the geothermal energy firm signed its biggest ever power agreement with Alphabet’s (GOOG, GOOGL) Google, as tech behemoths rush to secure electricity for growing AI data centers.

While FRVO stock climbed 14% higher in pre-market trading, it has largely been under selling pressure, posting a 32% slump in August.

Google Could End Up Buying 1GW Of Electricity

Under the agreement, Google will purchase 396 megawatts (MW) of carbon-free electricity from Fervo’s Cape Station project in southwestern Utah. The capacity is expected to come online in 2028 and could eventually support a new Google data center in the state. However, the data center's location has not yet been finalized.

Google also secured an option to add roughly 600 MW by June 2030, potentially expanding the agreement to nearly 1 gigawatt (GW).

Fervo-Google Partnership Expands Beyond Nevada

The latest agreement expands a partnership that began with Fervo’s 3-MW Project Red in Nevada in 2023. The companies later worked with NV Energy on a 115-MW power agreement in 2024.

“As demand for reliable electricity grows, customers like Google need energy resources that can be deployed at scale, operate around the clock, and deliver where power is needed. This new PPA (power) is part of our repeatable commercial model that enables us to meet customer needs and directly deliver clean, firm power to large electricity users,” said CEO Tim Latimer.

Earlier this month, Fervo said it expects total capital expenditures of around $850 million to $900 million in the second half of 2026.

Retail Turns ‘Extremely Bullish’ On FRVO

Retail sentiment surrounding FRVO on Stocktwits turned ‘extremely bullish’ from ‘bullish’ over the past 24 hours, amid a 500% surge in message volumes.

One user said the Google deal changes Fervo’s “commercial story.”

The stock has declined nearly 58% since its listing in May.

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