Evaluating the feasibility of geothermal deep direct-use in the United States

•Deep direct-use projects were evaluated for heating, cooling and thermal storage.•Performance was compared with non-geothermal systems and other countries.•Subsurface, surface and financial conditions significantly impact feasibility.•Attractive levelized costs of energy found for heating, cooling and thermal storage. This paper investigates the techno-economic feasibility of geothermal deep direct-use for heating, cooling, and thermal energy storage in the United States. The six 2017–2019 deep direct-use projects funded by the U.S. Department of Energy are reviewed and evaluated using the simulation tool GEOPHIRES, and results are compared with prior studies, existing geothermal district heating systems in Europe and the United States, as well as non-geothermal centralized and non-centralized heating, cooling, and thermal energy storage systems. Analysis indicates that deep direct-use feasibility varies widely, depending on subsurface characteristics, system design, and financial conditions. Project base case levelized cost of heat values ranged between $13 and $350/MWh; key drivers lowering the levelized cost of heat include higher reservoir temperatures, shallower reservoir depths, higher well flow rates, higher utilization rates, lower drilling costs, and lower discount rates. Incentives such as grants and an investment tax credit resulted in small improvements in project economics. Base case levelized cost of heat values for four projects fell within the range of levelized cost values for existing systems in Europe and the United States, and were comparable to values found in previous studies, including the 2019 GeoVision study. The lowest-cost projects for district heating had comparable levelized cost of heat values to existing fossil-fuel-driven district heating systems, and lower values than decentralized heating with natural gas boilers or heat pumps. Chilled water production with absorption chillers driven by a high-quality geothermal resource obtained attractive levelized cost of cooling values, in line with values from typical centralized cooling production facilities and lower than domestic decentralized cooling with air-conditioning units. Also, thermal energy storage is a potential deep direct-use application, where levelized cost of storage values can be obtained that are comparable to those of other thermal storage techniques such as borehole thermal energy storage and hot water storage tanks. Other aspects of deep direct-use, which are