An opinion piece written by Eavor’s Chief Business Development Officer Paul Cairns was recently published in The Future Economy, highlighting the vast potential of investing in Eavor’s technology.
In the context of a growing energy demand worldwide, the International Energy Agency stated that the world requires an excess of C$20 trillion of investment in energy supply to meet this pressing demand. Furthermore, BlackRock has stated that the Sustainable Development Goals are calling for an increase in renewable energy investment by the end of this decade to address this issue.
Yet, despite this, Cairns argues that many investors remain reluctant to invest in the energy sector. He suggested multiple possibilities as to the reason for this hesitancy, from profitability uncertainty, high upfront costs, relatively high interest rates for renewables, skepticism about new technology, and even the hesitancy to be the first to invest in something new.
According to Cairns, these preconceived factors contributed to skepticism about Eavor’s projects. However, due to bold investors recognizing potential in new clean technology, Eavor was able to secure a plethora of new investments to sustain commercialization, including the most recent Series B equity from OMV, the Microsoft Climate Innovation Fund, the Canada Growth Fund, and more.
He emphasized that one of Eavor’s advantages is the ability to repurpose established oil and gas technology for heat extraction. By drilling into hot rock in the Earth’s subsurface, Eavor harnesses a clean and perpetual energy source via conduction. Cairns argues that this method significantly reduces the risk of failure, appealing to investors seeking reliable ventures.
Cairns further adds that Eavor-Loop™ technology also appeals to investors because it doesn’t share the obstacles that wind and solar encounter. While wind and solar are commonly emphasized as leaders in the future of renewable energy, they are subject to fluctuations in power output.
“The wind doesn’t always blow, and the sun doesn’t always shine. Their power output changes unpredictably. They are relatively cheap, but they are not baseload forms of energy,” says Cairns.
In contrast, an Eavor-Loop™ operates continuously and can deliver power on demand, providing a reliable energy source whenever needed. With its minimal surface footprint and geographical versatility, Eavor-Loop™ installations can utilize locally sourced materials and labor, ensuring resilience against disruptions caused by weather or geopolitical instability. This presents significant opportunities for municipalities, military bases, and businesses to achieve scalable energy independence.
Eavor’s heat-to-power facility will continue to convert Earth’s energy into electricity for local distribution. While Eavor’s first commercial power plant is being constructed, Cairns expresses confidence that it will dispel doubts about funding large-scale clean projects, and will attract greater investments in the future.
