Duisburg-Based Factor2 Energy Raises €7.7M Funding For Innovative Geothermal Technology

The round was led by At One Ventures, with participation from High-Tech Gründerfonds (HTGF), Gründerfonds Ruhr, Verve Ventures, and Siemens Energy Ventures.

“Our approach enables emission-free, efficient, and baseload-capable electricity production, which is ideal for traditional oil and gas companies looking to diversify their operating assets,” said CEO and Co-founder Felix Boehmer. “And in fact, the entire system leverages proven technologies from the oil and gas sector, with its long history of drilling and geologic expertise.”

Factor2 Energy, founded in 2025 and led by Michael Wechsung, Joerg Strohschein, and Felix Boehmer former colleagues at Siemens Energy has developed a reportedly more efficient method for geothermal energy, using CO₂ instead of water or brine. The Seed funding will advance this technology and support a pilot plant to showcase scalability.

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Kendra Rauschenberger, General Partner at Siemens Energy Ventures stated, “I am pleased to see this technology progressing toward commercialisation, following its development within Siemens Energy Ventures. Geothermal energy is a reliable and renewable power source, and we will work with Factor2 Energy to tailor our turbines to meet the specific needs of this emerging market.”

Factor2 Energy’s technology can operate at natural CO₂ reservoirs or sites used for Carbon Capture and Storage. CO₂ natural or captured is injected into deep, porous rock formations, where it heats up, becomes less dense, and rises through production wells via the thermosiphon effect, eliminating the need for pumps.

At the surface, the heat drives a direct CO₂ turbine to generate electricity. The CO₂ is then cooled and reinjected, creating a closed-loop system that provides continuous power while storing CO₂ long-term.

This method can reportedly deliver up to twice the power of conventional water-based geothermal systems under similar conditions, with lower CAPEX and reduced mechanical complexity.

Helen Lin, Partner at At One Ventures, comments: “As a cornerstone for enabling broader electrification, the need for cost-effective baseload power has never been more urgent. The fluid physics of CO₂ as a geothermal working fluid enables a 2x increase in power output while operating at the same depths/temperatures as conventional geothermal, translating to efficiencies in both capex and opex.

“These technoeconomics combine to form a favorable LCOE at sites that would previously have been economically unviable. We are excited to support Factor2 to bring this crucial technology to market to unlock the potential of geothermal as a more prevalent source of green baseload.”

In addition to providing reliable, 24/7 green power, using CO₂ allows Factor2 Energy to access a wider range of geological sites, including those unsuitable for conventional geothermal systems.

This approach enables the use of shallower, cooler sites, reducing drilling costs and expanding potential plant locations. The system delivers competitive Levelized Cost of Electricity while simplifying operations by eliminating secondary fluids and complex binary cycles. By utilizing both natural CO₂ reservoirs and sites designated for Carbon Capture and Storage (CCS) Factor2 Energy turns these formations into active energy-producing assets.

Timo Bertsch, Investment Manager at HTGF, comments: “We invested in Factor2 Energy because their innovative technology dramatically expands global geothermal potential and uniquely enables the transformation of CCS sites into energy-generating power plants. Their successful proof of concept in a geologically complex environment demonstrates the robustness and scalability of their approach. We believe Factor2 Energy is well positioned to play a pivotal role in the global energy transition.”

About Factor2 Energy

Factor2 Energy pioneers geothermal power using CO₂ as the working fluid, producing efficient, emission-free, baseload electricity. By repurposing natural CO₂ reservoirs and CCS sites, the technology transforms passive storage into active energy, unlocking more viable locations than conventional geothermal without fracking, new drilling methods or complex infrastructure.