A Geothermal Energy Stock for Investors
The 1883 eruption of Krakatoa was among the most severe volcanic explosions of modern times with energy released equivalent to 200 megatons of TNT – about 4X that of the world’s largest nuclear device, Tsar Bomba. Why not use all that pent up energy to produce electricity which we can then use to mine cryptocurrencies that will eventually become worthless?
It’s called geothermal energy, and in a recent article we looked at how it might compete with other renewable and non-renewable energy sources. While geothermal costs more than wind – the cheapest energy source based on Lazard’s Levelized Cost Of Energy (LCOE) analysis – newly built geothermal power plants are still competitive with both carbon-based and sustainable energy resources. While wind and solar lead alternative energy investments, geothermal power plants can diversify the weather risk of other renewables since they use the natural heat of Earth’s core to generate electricity or heat – something that is stable and independent of surface conditions. But it’s much less commonplace than you might think.
