RRC Reaches New Energy Milestone with First Permitted Geothermal Well

AUSTIN – The Railroad Commission of Texas has issued its first permit for a deep geo-pressured, geothermal well to Sage Geosystems in Atascosa County.

Located south of San Antonio in the Anaconcho Formation, this well permit marks a significant milestone in Texas’ energy sector as the first deep geo-pressured, geothermal permit issued since the Texas Legislature transferred regulatory authority for these types of wells from the Texas Commission on Environmental Quality to the RRC.

The well will be utilized in electricity generation by the San Miguel Electric Cooperative to serve its customers. Sage Geosystems has entered into a land use agreement with the cooperative to develop a three-megawatt Geopressured Geothermal System energy storage facility.

“Texas has been at the forefront of energy regulation and innovation for more than a century, and this transition has streamlined the permitting process for geothermal wells and reinforced the Commission’s leadership in emerging energy technologies,” said RRC Executive Director Wei Wang. “We remain dedicated to adapting our regulatory approach to facilitate the growth of new energy technologies while upholding the highest standards of environmental and public safety as we have done for more than a century.”

The RRC’s regulatory framework ensures that all geothermal projects adhere to rigorous environmental and safety standards while helping develop this emerging industry which has substantial skill and technology overlap with oil and gas industry.