Chubu Electric Power acquires shares in Eavor Technologies, a Canadian geothermal start-up. This is its first investment in a geothermal energy company abroad. Eavor Technologies offers closed-loop geothermal energy at the cutting edge of development
Closed loop geothermal energy
Chubu says Eavor’s geothermal technology involves circulating water in a “closed loop.” Heat transfer fluids are circulated through the pipes and allow heat to be transferred. Thus, this system efficiently extracts heat even in areas of sufficient production.
Therefore, this geothermal technology is used in a wide range of sites. It avoids the risk of project development due to a shortage of hot water or steam in the underground. In addition, it addresses the issue of storage, a recurring problem in the field of energy.
Indeed, this technology can function not only as a base load, but also as a distributable energy source. The heat stored underground can be converted into electricity in case of high demand. For Mr. Hiroki Sato, General Manager of Chubu Electric, this type of geothermal energy seems revolutionary:
“Technology like this is a real game changer and represents a potential transformation of the global energy stack. It simultaneously addresses climate change as well as issues of energy autonomy and independence. Chubu is excited to work with Eavor and support a solution to some of the world’s most challenging problems.”
New investment opportunities
Chubu Electric wants to turn this innovative technology into a new source of business opportunities. Through this investment in Eavor, the Japanese company aims to gain knowledge in the field of geothermal energy. The company is looking to develop investment opportunities in overseas projects.
John Redfern, President and CEO of Eavor, emphasizes the importance of this technology at the local level:
“It’s also an opportunity for localized economies to get resilient, independent, self-sustaining domestic energy resources. That changes everything.”
Finally, this new investment confirms Japan’s commitment to geothermal energy. Eavor’s solution will help Chubu Electric meet its decarbonization goals.
In addition, Chubu Electric’s involvement in this partnership represents an endorsement of Eavor’s technology. The company is considering the application of this technology in Japan at a later date. Thus, it is an important step for both partners.
