California’s Geothermal Gold Rush: Public Lands Auction Yields Staggering $117 Per Acre

While the Golden State is known for its tech industry and agriculture, California is experiencing a new kind of rush – this time for clean energy that comes from deep underground. The Bureau of Land Management (BLM) recently auctioned 13 parcels of public land for geothermal energy development, bringing in over $2.7 million in revenue.

The August 2025 auction covered 22,685 acres across Imperial, Lassen, and Modoc counties. It marked the first such sale in nearly a decade, with an impressive average winning bid of $117 per acre. Individual bids ranged from $2 to $247 per acre, showing the varied potential of different locations.

Dozens of buyers participated in the competitive online auction through EnergyNet. Twelve parcels were located in the Salton Sea Basin of Imperial County, with one parcel in Lassen and Modoc counties. The high prices reflect growing interest in geothermal as a reliable renewable energy source.

The revenue from these sales will be shared widely. California will receive 50%, while the counties where the land is located will get 25%. The remaining 25% goes to the U.S. Treasury. This arrangement supports both state and local economies.

Geothermal energy offers unique advantages compared to other renewables. Unlike solar or wind power, it provides constant “baseload” electricity regardless of weather conditions. With an impressive availability factor of 95%, geothermal power remains unaffected by weather variations or time of day. The technology typically involves drilling wells to access hot water or steam, which then powers turbines to generate electricity.

California already hosts the world’s largest geothermal field at the Geysers and has major resources at the Salton Sea. These new leases could help the state reach its goal of carbon neutrality by 2045. Geothermal projects also cause less land disturbance than wind or solar farms.

The BLM has scheduled additional geothermal lease auctions in Idaho and other western states for late 2025. The upcoming Idaho auction on September 9 will offer 20,615 acres for development. These sales support American energy independence while helping reduce reliance on fossil fuels. Companies like Google and Microsoft have recently shown growing interest in using Enhanced Geothermal Systems to power their energy-intensive data centers.