A report published by Project InnerSpace, in collaboration with New Mexico Tech and the New Mexico Bureau of Geology & Mineral Resources, states that New Mexico is well positioned to generate up to 163 gigawatts (GW) of geothermal energy. This level of output would represent more than 15 times the state’s current energy capacity. The document highlights a range of recommendations and public initiatives that could support large-scale deployment of the technology.
Abundant geothermal resources across the state
New Mexico’s subsurface shows temperatures above 100 °C at 3,000 metres deep in nearly every county, including Tribal lands. Nearly the entire western half of the state is considered suitable for geothermal energy generation. The report also mentions the potential for data centres powered by this energy source.
The authors note that converting existing oil infrastructure and leveraging the skills of the fossil fuel workforce could accelerate the development of a geothermal network. A 5 GW development target would create approximately 2,000 construction jobs, 750 indirect jobs and 125 permanent operations and maintenance positions.
Funding and legislative actions already underway
New Mexico recently tripled the funds available for the Geothermal Projects Development Fund, increasing it from $5mn to $15mn. Additionally, legislation now allows the conversion of oil and gas wells into geothermal or energy storage wells. These measures aim to facilitate large-scale project adoption while reusing existing infrastructure.
The report outlines 15 additional recommendations to support the sector, including the establishment of a stable regulatory framework, expansion of tax incentives and implementation of public training programmes tailored to geothermal technologies.
Broad-based support from public authorities
New Mexico Governor Michelle Lujan Grisham emphasised the state’s commitment to working with industrial, tribal and community stakeholders to structure a sustainable development strategy. Melanie A. Kenderdine, Secretary of the New Mexico Energy, Minerals and Natural Resources Department, noted that national laboratories and local universities possess advanced knowledge of subsurface resources.
Elected officials from both parties also back geothermal development. Republican Senator Pat Woods and Democratic Representative Tara L. Lujan both highlighted the urgency of using available growth levers, focusing on employment, energy reliability and responsible resource use.