Funding Notice: Next-Generation Geothermal Field Tests and Geothermal Resource Characterization and Confirmation

Photo of a drill rig between trees in the foreground, with rolling hills extending into the background.
Drilling for steam at Bottle Rock in California
Betsy Phillips, via the Geothermal Rising photo contest

 

 

Office: Office of Geothermal  
NOFO number: DE-FOA-0003472 
Link to apply: Apply on Exchange
NOFO Amount: Up to $171.5 million (Topic Area 1: up to $100M; Topic Area 6: up to $71.5M)
Letters of Intent Due: March 27, 2026  
Full Applications Due: April 30, 2026 

Check out the Notice of Funding Opportunity (NOFO) Quick Guide to determine eligibility and learn how to apply to this NOFO today!

On February 25, 2026, the U.S. Department of Energy’s (DOE) Office of Geothermal (OG) announced up to $171.5 million to support next-generation geothermal field tests, as well as characterization and confirmation drilling for next-generation and conventional hydrothermal resources.  

These projects will target (1) next-generation, field-scale tests at depths and temperatures appropriate for full-scale project development and (2) exploration drilling activities to support characterization and potential confirmation of promising next-generation and hydrothermal prospects for electrical power production. The activities enabled by this NOFO will fill important gaps in technology, innovation, and geothermal exploration.  

Under this Notice of Funding Opportunity (NOFO), OG anticipates making as many as 28 awards in the first round of applications. Individual awards may range between $4 million and $25 million. This NOFO may remain open for up to 72 months, with review cycles occurring approximately every 12 months, while funding lasts and subject to Congressional appropriations. Projects are part of OG’s research and development (R&D) on enhanced geothermal systems and hydrothermal resources.

 

Objective

OG supports research, development, and demonstration projects to facilitate technology validation and demonstration, reduce cost, and improve performance for geothermal energy. This includes work to develop next-generation geothermal technologies, enable detailed understanding of the subsurface, and help the United States tap its abundant heat resources.  

The Next-Generation Geothermal Field Tests and Geothermal Resource Characterization and Confirmation NOFO targets field-scale tests at depths and temperatures appropriate for full-scale project development. These tests are intended to support R&D, testing, and evaluation of next-generation development technologies and approaches, and the applicability of those approaches in select real-world in situ conditions. Additionally, the NOFO targets exploration drilling activities required to gather data to support the characterization and potential confirmation of promising next-generation and hydrothermal prospects for electrical power production. These projects will directly support DOE’s emphasis on learning-by-doing, help to identify and focus R&D priorities, and derisk technologies and resource exploration for industry.  

Strategic goals for this NOFO are derived from OG’s GeoVision and Multi-Year Program Plan

 

Topic Areas  

The Topic Areas in this NOFO cover next-generation approaches to geothermal development for potential electricity generation as well as a single Topic Area for resource exploration, characterization, and confirmation for next-generation and hydrothermal resources. For the purposes of this NOFO, the term “next-generation geothermal” is used to refer to both enhanced geothermal systems (EGS) and closed-loop geothermal technology spaces.  

For the first round of applications, two of six topics will be open; Topics 2, 3, 4, and 5 are not open at this time. Any future rounds are subject to funding appropriations.  

  • Up to $100M, 4‒10 awards expected 

    Field tests at sites with potential for eventual electric power generation using EGS approaches.

  • Field tests at sites with potential for eventual electric power generation using closed-loop approaches where new well drilling or additional drilling in an existing well will be required.

  • Field tests at sites with potential for eventual electric power generation using closed-loop approaches where existing wells are used with no additional drilling (workover operations are allowed).

  • Field tests using next-generation approaches (EGS or closed loop) at locations where superhot/supercritical temperatures (>375°C) are expected.

  • Field tests at sites using next-generation approaches (EGS or closed-loop) where the eventual application would be direct use of the thermal energy and not electric power generation.

  • Up to $71.5M, 8‒18 awards expected

    Drilling of resource exploration, characterization, and confirmation well(s) into target formations to gather data for next-generation or hydrothermal development where sufficient site-specific data are available to suggest the potential for geothermal energy production.

 

Key Dates (Subject to Change) 

This NOFO may remain open for up to 72 months, with review cycles occurring every 12 months, pending funding appropriations.

Dates for the first round of applications—under Topic Areas 1 and 6 only—are in the subsequent table. Topic Areas 2, 3, 4, and 5 are closed for this round.

NOFO Issue DateFebruary 25, 2026
Submission Deadline for Letters of IntentMarch 27, 2026
Submission Deadline for Full ApplicationsApril 30, 2026
Expected Date for SelectionsJuly 30, 2026

 

Additional Information