Geothermal startup Fervo Energy plans to raise up to $1.3 billion through its initial public offering, valuing the company at up to $6.5 billion.

This comes on the heels of X-energy’s successful IPO, which raised $1 billion and saw a valuation close to $8 billion.

Fervo Energy's project, Cape Station, aims to reduce electricity generation costs from $7,000 per kilowatt to just $3,000 as it seeks to compete with natural gas power plants. The surge in demand for clean energy is driven by tech companies racing to secure supplies for their AI data centers.

The scramble has also pushed prices of new natural gas power plants up by 66% over the past two years. Fervo Energy hopes that its ambitious cost reduction will make geothermal a viable alternative, but some may wonder if we can keep up with such rapid technological and financial growth in energy markets.