Shares of Fervo Energy jumped 33.3% in the company’s Nasdaq debut on Wednesday, valuing the geothermal energy developer at $10.21 billion.

Shares of the Houston-based company opened at $36, above the offer price of $27.

The company raised $1.89 billion in a U.S. initial public offering on Tuesday, selling 70 million shares at $27 above its marketed range.

The listing comes as growing power demand from artificial intelligence and the rapid expansion of data centers strain the US grid, fueling the need for a stable energy supply.

Demand for electric vehicles and local manufacturing is also increasing electricity consumption, emphasizing the need for more reliable power.

Backed by Bill Gates’ investment firm Breakthrough Energy Ventures and shale producer Devon Energy, Furvo is one of several energy developers looking to capitalize on growing power demand from data centers.

Founded in 2017, Fervo develops advanced geothermal systems designed to generate round-the-clock, carbon-free electricity, positioning the technology as a complement or alternative to intermittent renewable sources such as solar and wind power.