Nabors takes 14% of Quaise with $35M investment in superhot geothermal drilling
What's the deal? Nabors IndustriesDealroom has a profile for this one. Try Dealroom → (NYSE: NBR) has completed a $35 million equity investment in Quaise EnergyDealroom has a profile for this one. Try Dealroom → as part of Quaise's Series B round, becoming the startup's largest shareholder with 14% fully diluted ownership. Nabors funded the deal by issuing roughly 392,000 of its common shares.
What does Quaise do? The company operates a hybrid drilling platform that pairs conventional rotary drilling with high-power millimeter-wave technology. The approach is designed to reach deeper, hotter geothermal resources that conventional methods cannot access.
What's the endgame? A Nabors PACE-B rig is already drilling at Quaise's Project Obsidian in Oregon, intended to be the first commercial deployment of a superhot enhanced geothermal system. The first phase targets 50MW of power, with later phases aiming for up to 1GW of additional capacity.
The investment also sets up a strategic framework, including an exclusivity arrangement for Nabors to provide drilling services on Quaise's projects. The companies expect to pursue further work in rig engineering, automation, and global project development.
Why now? The deal deepens a longstanding relationship as Quaise moves toward commercial deployment. "Its increased investment is a strong endorsement of our technology and growth strategy," said Carlos Araque, chief executive officer of Quaise.
What could go wrong? Nabors funded the stake by issuing new shares, implying dilution for existing shareholders. Execution toward commercial deployment remains the key open question.
The signal: At $35 million, the round sits in the upper tier of geothermal deals by size, reflecting rising interest in next-generation drilling as an adjacent market for oilfield service firms. For Nabors, it is a bet that its drilling, automation, and well-construction capabilities can find new demand beyond fossil fuels.
Read more: stocktitan.net
Image credit: ThinkGeoEnergy
