Nabors Industries Ltd. has completed a $35 million strategic equity investment in Quaise Energy, Inc., strengthening its position in advanced geothermal drilling technology. The transaction makes Nabors the largest shareholder in Quaise with a fully diluted ownership stake of 14 percent. The move reflects Nabors' broader strategy to extend its drilling, automation, and well-construction capabilities into adjacent energy markets while supporting the commercialization of next-generation geothermal systems.
Investment Details and Shareholder Position
The investment was completed through the issuance of approximately 392,000 shares of Nabors common stock. It forms part of Quaise's Series B financing round and deepens a longstanding relationship between the two companies. By increasing its ownership, Nabors gains meaningful potential value creation from Quaise's millimeter-wave drilling platform as the technology moves toward commercial deployment.
Drilling Technology and Market Potential
Quaise has developed a hybrid platform that combines conventional rotary drilling with high-power millimeter-wave technology. The system is designed to reach deeper and hotter geothermal resources that are otherwise inaccessible using standard methods. Successful deployment could broaden the addressable market for geothermal power and create future opportunities for Nabors' rigs, drilling services, engineering, and automation solutions.
Leadership Perspectives
Anthony G. Petrello, Chairman, President and Chief Executive Officer of Nabors, said the investment brings together strategic commitment and one of the most compelling opportunities in geothermal energy. He noted that Quaise's technology aligns closely with Nabors' core strengths in global operations, technical expertise, and field execution. Petrello added that pairing Quaise's innovation with Nabors' platform could help accelerate industry adoption while supporting long-term value creation.
Quaise's Growth Strategy
Carlos Araque, Chief Executive Officer and President of Quaise Energy, described Nabors' increased investment as a strong endorsement of the company's technology and growth strategy. He emphasized that Nabors combines world-class drilling, advanced technology, field execution, and a global operating footprint. Araque said the companies are excited to move forward together to advance the technology and bring the world's first superhot geothermal power plant to life.
Technology Platform and Project Obsidian
Quaise's gyrotron-powered drilling platform ablates rock using millimeter-wave energy transmitted downhole through a waveguide. This approach reduces reliance on complex downhole equipment in extreme-temperature environments. By integrating the technology with established drilling practices, infrastructure, and supply chains, Quaise is pursuing a scalable pathway to access deeper and hotter geothermal resources.
A Nabors PACE-B rig is currently drilling at Quaise's Project Obsidian in Oregon, giving Nabors a direct role in field execution. The planned first phase targets 50 megawatts of reliable power, with subsequent phases targeting up to one gigawatt of additional capacity. Project Obsidian is intended to become the first commercial deployment of a superhot enhanced geothermal system.
Strategic Framework and Future Opportunities
The investment establishes a strategic framework that includes an exclusivity arrangement for Nabors to provide drilling services in support of Quaise's geothermal projects. Following the transaction, both companies expect to continue evaluating additional opportunities in drilling-system integration, rig engineering, field deployment, automation, and global project development. These opportunities could extend Nabors' participation beyond its current ownership and support potential future revenue as Quaise progresses toward broader market adoption.
By increasing its stake in Quaise Energy, Nabors reinforces its commitment to technology-enabled growth in the geothermal sector. The investment aligns Nabors' established drilling expertise with an emerging platform that could unlock previously inaccessible superhot resources. As Project Obsidian advances and the commercial pathway becomes clearer, the partnership may offer both companies a meaningful position in the next generation of geothermal power.