10 Biggest Geothermal Companies in the World

Published on November 17, 2022 at 2:55 pm by Ramish Cheema in Lists, News

In this piece, we will take a look at the ten biggest geothermal companies in the world. For more companies, head on over to 5 Biggest Geothermal Companies in the World.

The energy industry is all that the investing world can talk about these days. The Russian invasion of Ukraine laid bare the fragility of the energy supply chain and exposed the world’s reliance on traditional energy sources; just as the race and interest in renewables had started to pick up the pace.

However, just because oil prices are rising and supply is constrained does not mean that the renewable sector has been pushed to the backdrop. Instead, investor interest in clean fuels such as natural gas and liquefied natural gas (LNG) is also growing — due to the twofold benefits of lesser emissions and growing demand from Europe. Another clean energy source is geothermal energy, which harnesses the heat from the Earth’s crust to generate electricity.

While geothermal is not as popular as other energy mediums, such as say solar or wind power, the sector is still worth billions of dollars. For instance, a research report from Fortune Business Insights estimates that the industry was worth $59.4 billion last year. It grew to $63 billion this year, and will head on to grow at a compounded annual growth rate (CAGR) of 6.3% from this year to 2029 and will be worth $96 billion by the end of the forecast period. The research firm believes that the growth in the interest in renewables will drive this change, especially since geothermal power plants have 99% fewer emissions than their traditional, fossil fuel-based counterparts. However, it warns that the difficulty in accessing sources of geothermal energy will prove to be a limiting factor for the industry’s growth. Another hurdle is the vast capital requirement for setting up new plants, with the estimated cost of setting up one plant with one megawatt of capacity sitting at a painful range of $2 million to $7 million.

Another research report, this time from IMARC Group, takes a look at the power generation capacity of the geothermal sector. It concludes that the industry generated 104 gigawatt-hours (Gwh) in 2021, and this will grow at a CAGR of 3.1% until 2027. By then, the sector will have grown to churn out 126 Gwh. The firm outlines that technology is aiding industry growth, as methods such as horizontal drilling techniques are letting companies drill deeper and reduce their costs at the same time. Additionally, it mentions that the growth in artificial intelligence is enabling companies to generate new insights for both operating their plants and for drilling new sites.

Overall, the geothermal sector is facing some tailwinds, and today we will take a look at some of the largest companies that are operating in it. Out of these, the top three are Berkshire Hathaway Inc. (NYSE:BRK-A), Chevron Corporation (NYSE:CVX), and Enel SpA (BIT:ENEL.MI).

10 Biggest Geothermal Companies in the World

Our Methodology

In order to pick out the top geothermal companies in the world, we first had to identify which firms are focusing their efforts on renewable energy. After this, their portfolio was further analyzed to determine whether they also produce electricity from geothermal sources. Finally, the companies were ranked through their market capitalization. However, since some large companies are also private, they have also been included alongside relevant details such as the total energy that is geothermally generated.

10 Biggest Geothermal Companies in the World

10. Calpine Corporation

Market Capitalization as of November 14, 2022: N/A

Calpine Corporation is an American energy company that is headquartered in Houston, Texas. The firm claims to be America’s largest generator of electricity through natural gas and geothermal sources, and it was set up in 1984 in the aftermath of the global oil crisis that spurred investment into alternative energy companies.

Calpine Corporation operates the world’s largest geothermal plant, which covers 29,000 acres. This facility is located in Mayacamas Mountains in California, and it consists of 18 power stations and a total generation capacity of a whopping 1,590 megawatts. Called The Geysers, it also represents half of California’s total geothermal electricity output. Calpine Corporation owns an 87% stake in the facility, while the rest is owned by utilities. The bulk of Calpine Corporation’s power plants are located in the Western half of the United States, and the firm’s total power generation capacity is close to 26,000 megawatts.

The Geysers plant is also one of the oldest geothermal power generation facilities in the world after it first started to generate electricity in 1960. At that time, a single power unit to generate 11 megawatts of electricity was set up at the facility. Calpine Corporation acquired a power plant at the facility in 1998, with a power generation capacity of 72 megawatts. The firm also has a strong retail presence that sees it serve 20 states through its energy services and solutions division.

Chevron Corporation (NYSE:CVX), Berkshire Hathaway Inc. (NYSE:BRK-A), and Enel SpA (BIT:ENEL.MI) are met by Calpine Corporation in our list of the world’s largest geothermal companies.

9. Kenya Electricity Generating Company Ltd (KEGN:NAI)

Market Capitalization as of November 14, 2022: $176 million (1 KES = 0.0082 USD)

Kenya Electricity Generating Company Ltd (KEGN:NAI) is a Kenyan state owned enterprise. The firm is the largest energy provider in the country and is responsible for two thirds of Kenya’s power generation. It is headquartered in Nairobi, Kenya.

Kenya Electricity Generating Company Ltd (KEGN:NAI) generated 1,904 megawatts of electricity as of July 2022. Out of this, nearly half came through geothermal sources, as it accounted for 799 megawatts of power generation. The geothermal output grew over 2020, when the firm generated 713 megawatts. Kenya Electricity Generating Company Ltd (KEGN:NAI) has six geothermal power generation plants, which are located in Okaria and Eburru. The firm is also expanding its power generation capabilities, and it signed a memorandum of understanding (MOU) with Toshiba for more geothermal plants in August 2022.

8. First Gen Corporation (OTCMKTS:FSGCY)

Market Capitalization as of November 14, 2022: $952 million

First Gen Corporation (OTCMKTS:FSGCY) is a Philippine-based energy company. The firm generates electricity through natural gas, hydroelectric, and geothermal plants. It also sells its electricity to industrial clients and utilities. First Gen Corporation (OTCMKTS:FSGCY) is headquartered in Pasig, the Philippines.

First Gen Corporation (OTCMKTS:FSGCY) operates 12 different geothermal electricity generation plants in its home country. These allow it to generate 1,179 megawatts of electricity. The plants are located in Leyte, Bicol, Negros Island, and North Cotabato. The largest facility is the 250 megawatt Maltibog power plant in Leyte, and most of its plants are also located in the same region. First Gen Corporation (OTCMKTS:FSGCY) also has a strong focus on remaining carbon free, with its vice president and head of strategy for power planning Mr. Jay Joel L. Soriano stressing in October 2022 that the firm has experienced first hand the calamities of climate change, and it will not be one to contribute to the hazards.

7. Ormat Technologies, Inc. (NYSE:ORA)

Market Capitalization as of November 14, 2022: $5.6 billion

Ormat Technologies, Inc. (NYSE:ORA) is an American company that is headquartered in Reno, Nevada. The firm generates geothermal electricity and it operates all over the world in countries including Turkey, New Zealand, Kenya, Chile, and Indonesia. The firm also sells electricity and provides equipment for geothermal power generation.

Ormat Technologies, Inc. (NYSE:ORA) is one of the largest geothermal companies in the world when it comes to its power generation portfolio. As of November 2022, its portfolio was capable of generating a whopping 1.1 gigawatts of geothermal electricity, through its roughly 200 power plants that are located all over the world. Ormat Technologies, Inc. (NYSE:ORA) is America’s third largest geothermal power producer, and it has also repurposed its machines to recover electricity from industrial waste.

Ormat Technologies, Inc. (NYSE:ORA)’s largest shareholder is Ian Simm’s Impax Asset Management which owns 1.9 million shares that are worth $166 million.

6. Fuji Electric Co., Ltd. (OTCMKTS:FELTY)

Market Capitalization as of November 14, 2022: $6.1 billion

Fuji Electric Co., Ltd. (OTCMKTS:FELTY) is a Japanese electrical equipment company. The firm provides a host of different power generation equipment, including those for nuclear, solar, and geothermal. Fuji Electric Co., Ltd. (OTCMKTS:FELTY) is also one of the oldest companies in the world as it was set up in 1923 and is headquartered in Tokyo, Japan.

Fuji Electric Co., Ltd. (OTCMKTS:FELTY) provides packaged and large capacity geothermal units. The former is capable of generating up to 30 megawatts of electricity and designed to reduce set up time. The latter can generate up to 140 megawatts of electricity and is among the largest geothermal units in the world. Fuji Electric Co., Ltd. (OTCMKTS:FELTY)’s machines made their latest appearance in New Zealand’s Tauhara power generation facility. This facility aims to generate up to 168 megawatts of electricity, and the company delivered its equipment in September 2022.

Fuji Electric Co., Ltd. (OTCMKTS:FELTY) is one of the largest geothermal companies in the world, alongside others such as Berkshire Hathaway Inc. (NYSE:BRK-A), Chevron Corporation (NYSE:CVX), and Enel SpA (BIT:ENEL.MI).

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