geothermal

Dig Energy Raises $5 Million to Advance Cost-Competitive Geothermal Heating and Cooling

Dig Energy has raised $5 million in venture financing to bring its patented geothermal-specific drilling technology into pilot installations. The round was co-led by Azolla Ventures, a leading climate investor, and Avila VC, with participation from Conifer Infrastructure Partners, Suffolk Technologies, Mercator Partners, Koa Labs, and preseed investors Baukunst and Drew Scott.
Dig Energy leadership team (L-R): Dan Jepeal, Dulcie Madden, Thomas Lipoma
Dig Energy leadership team (L-R): Dan Jepeal, Dulcie Madden, Thomas Lipoma

Dig has also won additional support from programs including Suffolk Technologies' BOOST accelerator and the U.S. Department of Energy's EPIC Prize.

Heating and cooling account for 35% of all energy consumption, largely powered today by fossil fuels. With rising energy prices and increasing stress on the grid, the Dig founding team set out to find a scalable alternative. They focused on geothermal heating and cooling, which taps the earth's stable temperature a few hundred feet underground to heat and cool buildings through geothermal heat pumps, effectively turning the earth into a giant thermal battery.

Shallow geothermal is a well-vetted system, and routinely cited as the most energy efficient way to heat and cool buildings, yet adoption has remained stagnant at just 1% in the US. Geothermal boreholes connect seamlessly to heat pumps and can scale up or down to heat and cool buildings of any size or type. Drilling costs are the biggest barrier to widespread adoption. Current geothermal projects rely on oversized drills designed for oil and gas, and these rigs are expensive, overpowered, and limited in where they can go.

To make geothermal cost competitive with fossil fuels and air source heat pumps, without reliance on incentives or policy changes, Dig is addressing these drilling cost barriers directly. The company has developed a compact, purpose-built drill that uses high-pressure fluid drilling instead of traditional, expensive carbide drill bits. The system reduces drilling costs by up to 80%, massively expanding the geothermal heat pump market opportunity.

"The heat beneath our feet is abundant, reliable, and always on," said Dulcie Madden, Dig Energy CEO. "Our purpose-built, reliable, robust drill finally unlocks the most efficient on-site source of heating and cooling for buildings. By making geothermal heating and cooling simple, scalable, and cost competitive with less efficient approaches such as delivered fuels and air source heat pumps, we can deliver true energy independence to buildings everywhere."

"Dig holds potential to finally make geothermal heat pumps – by far the most efficient way to heat and cool buildings – cost effective to install. They've developed a new drilling method that imparts minimal added costs to the overall HVAC system," said Johanna Wolfson, co-founder and General Partner at Azolla Ventures. "Next, pilot installations will show that Dig's technology is the missing link to unlock geothermal as a mainstream solution for heating and cooling."

With the new funding, Dig will advance from field testing into its first pilot installations, while raising awareness of geothermal across all potential customers. The company's mission is to provide a global solution for developers, building owners, utilities, and municipalities with a reliable, cost-competitive path to unlock abundant, low-cost, reliable energy while decarbonizing heating and cooling at scale.

Baterías con premio en la gran feria europea del almacenamiento de energía
El jurado de la feria ees (la gran feria europea de las baterías y los sistemas acumuladores de energía) ya ha seleccionado los productos y soluciones innovadoras que aspiran, como finalistas, al gran premio ees 2021. Independientemente de cuál o cuáles sean las candidaturas ganadoras, la sola inclusión en este exquisito grupo VIP constituye todo un éxito para las empresas. A continuación, los diez finalistas 2021 de los ees Award (ees es una de las cuatro ferias que integran el gran evento anual europeo del sector de la energía, The smarter E).