Geothermal Energy

Global Geothermal Leaders to Convene in Washington on Earth Day 2014

2014-02-19T17:23:00.000-05:00

Leading figures in geothermal power development will be participating in the GEA International Geothermal Showcase in Washington, D.C. on Earth Day, April 22. This includes speakers engaged in projects in Kenya, Tanzania, Switzerland, Romania, Turkey, Italy, Japan, Indonesia, Guatemala, El Salvador, Nevis, Colombia, the United States, Iceland and more.

“With over 30 speakers already confirmed, the Showcase will present participants a view of the tapestry of geothermal developments around the world,” commented Karl Gawell, GEA’s Executive Director. To emphasize the clean energy attributes of geothermal power, the program is being held on Earth Day. Ali Zaidi, Deputy Director for Energy Policy, White House Domestic Policy Council, will present keynote remarks and Senate Majority Leader Harry Reid (D-NV) will present a video opening greeting to attendees.

In addition to examining geothermal power projects around the world, panels will present leading market analysis discussing the state of the geothermal sector, a top level expert discussion of geothermal project risk reduction, and presentations from leading financial institutions including the World Bank, the Export-Import Bank of the U.S., and the Overseas Private Investment Corporation.

The event will also mark the release of GEA’s 2014 Global Market Update. In the 2013 report, over 70 countries were identified with geothermal power projects or prospects. “We expect 2014 to be an exciting year, with new projects coming on line every month,” noted Ben Matek, GEA Industry Analyst.

GEA is pleased to be holding the Showcase with support from the U.S. Trade and Development Agency, the Overseas Private Investment Corporation, the U.S. Agency for International Development, the U.S. Department of State, the International Trade Administration, U.S. Energy Association, Export-Import Bank of the U.S., and the U.S. Department of Energy Geothermal Technologies Office.

Energy Department Announces $3 Million to Identify New Geothermal Resources

2014-01-31T12:52:00.000-05:00

The U.S. Department of Energy today announced $3 million to spur geothermal energy development using play fairway analysis. This technique identifies prospective geothermal resources in areas with no obvious surface expression by mapping the most favorable intersections of heat, permeability, and fluid. While commonly used in oil and gas exploration, play fairway analysis is not yet widely used in the geothermal industry. By improving success rates for exploration drilling, this data-mapping tool could help attract investment in geothermal energy projects and significantly lower the costs of geothermal energy.

The U.S. Geological Survey estimates that 30 gigawatts of undiscovered hydrothermal energy potential exist untapped beneath the Earth's surface – nearly 10 times the current installed capacity of geothermal energy in the United States. One of the keys to tapping this clean resource is reducing the cost and risk of locating it. By quantifying and reducing the risk of exploratory drilling, play fairway analysis projects could unlock significant geothermal energy resources and accelerate industry-wide adoption of this tool.

The Energy Department will support one-year collaborative research and development projects, especially in new, unexplored areas, that adapt play fairway analysis to geothermal exploration. These projects will focus on using existing geologic and geophysical data to develop maps that identify areas with a higher probability of containing a geothermal resource. The research seeks to develop a methodology for exploration of geothermal resources in a particular region, or play. Learn more about this funding opportunity announcement or register for an informative webinar to learn more about the play fairway technique and this opportunity.

The Energy Department's Office of Energy Efficiency and Renewable Energy (EERE) accelerates development and facilitates deployment of energy efficiency and renewable energy technologies and market-based solutions that strengthen U.S. energy security, environmental quality, and economic vitality. EERE supports innovative technologies that reduce both risk and costs of bringing geothermal power online. Learn more about the Department's efforts to develop geothermal energy.

The Geothermal Resources Council Announces 2014 Amateur Photo Contest

2014-01-29T14:16:00.001-05:00

The Geothermal Resources Council (GRC) is pleased to announce this year’s Amateur Photo Contest. The purpose of the contest is to showcase quality photography featuring geothermal energy around the world.

The winners will be announced at the GRC Annual Member Meeting and Awards Luncheon, the climax to the 38th GRC Annual Meeting & GEA Geothermal Energy Expo being held at the Oregon Convention Center, Portland, Oregon, USA from September 28 –October 1. The theme for this year’s meeting is “Geothermal: A Global Solution”.

The first place winner will receive $150, second place - $100, and third place - $75. Honorable Mention photos will receive certificates.

Photographs on any subject related to geothermal energy can be submitted such as geothermal energy production, EGS, Direct Use and geothermal heat pumps. These can include photos of well testing, drilling, operation of geothermal equipment, newly developed equipment, or plant operation, construction of a geothermal plant or plant site, and geological areas or surface manifestations (holding potential for geothermal exploration or development).

More information on the GRC Amateur Photo Contest, including a submission form, can be found on the GRC website. The deadline for submissions is August 31, 2014.

Geothermal Resources Council Announces New Board of Directors

2014-01-27T09:39:00.000-05:00

The Geothermal Resources Council (GRC) is governed by a Board of Directors, elected by the general membership to 2-year terms. To provide continuity, half of the Board is elected every year. All GRC members are eligible for election to the Board of Directors.

The global GRC membership took part in the ballot in the late fall, and the result was that four new members of the Board were elected:

Anna Carter: Has worked in geothermal exploration and development for over 30 years and has served several terms on the GRC Board of Directors.

Dennis Kaspereit: Vice President of Geothermal Resources, Terra-Gen Power, LLC, Dennis has over 38 years in the geothermal, oil and gas industries.

William (Bill) Rickard: President of Geothermal Resource Group, Inc., Bill has been involved in the geothermal industry for over 35 years.

Gene Suemnicht: CEO and a Principal for EGS Consulting Inc., Gene has more than 35 years of professional experience in the geothermal industry with Unocal Geothermal and ORMAT Technologies.

Anna Carter, Dennis Kaspereit, Bill Rickard and Gene Suemnicht join the six other members who have been re-elected to the Board of Directors: Toni Boyd, Patrick Hanson, Stuart Johnson, Andy Sabin, Elaine Sison Lebrilla and Karl Urbank.

At the end of 2013, the GRC membership stood at almost 1,500 from 49 different countries.

Ormat Completes the Don A. Campbell Geothermal Power Plant

2014-01-20T19:54:00.001-05:00

Ormat Technologies, Inc. announced recently that it had completed the Don A. Campbell geothermal power plant in Mineral County, Nevada. The plant is producing its full capacity of 16 megawatts (net) and performing as expected as of December 6, 2013.

The Don A. Campbell facility, formerly Wild Rose, is receiving a full rate of $99 per megawatt hour with no annual escalation under the terms of the Power Purchase Agreement with Southern California Public Power Authority (SCPPA). SCPPA is reselling the power to Los Angeles Department of Water and Power (LADWP) and Burbank Water and Power (BWP). Ormat wheels the power from the Don A. Campbell plant to SCPPA over NV Energy’s transmission grid including the new One Nevada Transmission Line (ON Line) recently placed in service, making Ormat the first independent power producer to use the ON Line to export renewable energy to customers in California.

“Completing the Don A. Campbell geothermal power plant and reaching full capacity is a historical milestone in our continued partnership with SCPPA to bring reliable, renewable geothermal power to California’s ratepayers,” said Yoram Bronicki, president and chief operating officer at Ormat. “We commend NV Energy for their success in making statewide transmission in Nevada a possibility, thereby allowing resources in northern Nevada to serve customers not only in southern Nevada but also in southern California through ON Line’s completion.”

With a low resource temperature of approximately 260 degrees Fahrenheit, the Don A. Campbell geothermal power plant features Ormat Energy Converter (OEC) technology, allowing for cost-effective power generation from one of the lowest temperature geothermal resources ever deployed on a utility scale by Ormat. The power plant was completed in nine months from start of mechanical construction to full output.

“Ormat’s holistic approach to geothermal development, matching power plant design to the specific characteristics of the geothermal resource through rigorous exploration and field development, allowed our team of experts to work together to develop this successful project,” Bronicki added. “The short construction timeline, followed by just one week of startup operation from initial synchronization to full power, is a testament to the quality of our products and our ability to execute on time and on budget.

“I’d like to extend gratitude to the Ormat team for their great effort that made this project a success and, with its completion, a symbol commemorating our late colleague Don A. Campbell. His talent and experience in the geothermal industry led to the identification of this very special field. He will truly be missed.”

Geothermal Energy in 2013: Expanding Global Growth

2014-01-04T12:49:00.000-05:00

As the geothermal industry wraps up an exciting and challenging year, the sector has positioned itself to grow more by 2020 than ever before. “We are seeing new technology developments move forward and new projects being announced in every region of the world,” remarked Karl Gawell, Executive Director, Geothermal Energy Association. “Despite slow growth in the United States, the global market continues to gain steam. So, many American geothermal companies are using their industry know-how in friendlier economic and political climates overseas.”

Industry milestones: This year, the industry surpassed 12,000 MW of geothermal power operational, with about 600 MW of new geothermal power coming online globally. New geothermal power came on line in Kenya, New Zealand, Nicaragua, Turkey, and Mexico, as well as Oregon, Nevada and Utah in the United States. New announcements in the United States, Ethiopia, Kenya, the Caribbean and others have increased the developing resource of geothermal power to about 30,000 MW.

As 2013 comes to a close, U.S. companies are seeing strong geothermal growth in new places around the world. In September, GEA identified 70 countries moving forward with nearly 700 geothermal power projects, compared to a similar report from 2007 that showed only 46 countries developing or actively considering geothermal projects.

International opportunities: The international geothermal power industry is poised to place between 500 and 1,000 MW on line per year for the rest of the decade. This year new geothermal geologic studies or exploration moved forward in places as diverse as American Samoa, Argentina, Armenia, Australia, Azerbaijan, El Salvador, Ethiopia, Indonesia, Japan, Malaysia, Rwanda, Saudi Arabia, St. Vincent and the Grenadines, Taiwan, Thailand, Uganda, the United States, and Yemen.

As states and nations consider fossil fuel replacements, geothermal energy’s unique benefits make it a worthy contender in the changing power sector. At the same time, projects abroad are providing the industry’s top companies, many of which gained their expertise within the United States, with opportunities to stay competitive. Regional financial institutions, country and provincial governments as well as executives in both small and large businesses who are considering energy choices would do well to take a look at geothermal power. There is a growing global consensus that geothermal means clean, reliable energy.

Financing and early development: Financing was announced for projects in Costa Rica, Dominica, Djibouti, Ethiopia, Indonesia, Japan, Kenya, Mexico, Tanzania, and the United States, while projects in drilling and start-of-construction phases made headway in Chile, Germany, Guatemala, Italy, Japan, Montserrat, The Philippines, Rwanda, and Zambia.

GEA member commitments to financing and development stages included MidAmerican’s $1 billion pledge to extend the life of its Salton Sea, California geothermal fields. Additionally, Alstom will build the 25-MW Los Humeros III in Mexico, and Alterra Power announced drilling would begin at its Mariposa, Chile site next year. US Geothermal is building the El Ceibillo geothermal power plant in Guatemala, and Ram Power is at work on the Jacinto-Tizate geothermal power project in Nicaragua.

Technology advancements: The industry’s knowledge about Enhanced Geothermal Systems (EGS) increased in 2013. Successful EGS projects in the U.S. were led by Calpine Corp., Ormat Technologies and AltaRock Energy. Elsewhere, Australia put its first EGS pilot plant, a 1-MW trial, on line at Habanero. In Europe, there were EGS advancements in Hungary, the United Kingdom and Switzerland.

Additionally, the 22-MW Neal Hot Springs, Oregon plant received the GEA Honors Technological Advancement Award in 2013 for being the first commercial, supercritical Organic Rankine Cycle (ORC) binary power plant. It was built by US Geothermal and TAS Energy.

Policy: At the beginning of 2013, geothermal tax credits were adjusted to qualify projects at the construction stage. There are a number of projects that will benefit from this that might not have been built otherwise. While national energy policy was gridlocked, several individual U.S. states opened up new opportunities in 2013:

Hawaii Electric Light Company completed a geothermal Request for Proposals and is soon expected to announce the winner out of six bidders.
In California, the Imperial Irrigation District announced plans to develop 1,700 MW of new geothermal as part of an initiative supporting restoration of the Salton Sea.
In Nevada, NV Energy is looking to replace coal plants with 300 MW of renewable energy, including geothermal.
Other states are also looking to replace fossil fuel plants in order to meet new federal standards on environmental cleanliness.

Only in the last month of the year have there been signs of change in Washington D.C., with a bipartisan, bicameral budget deal in the Congress and a new clean energy tax proposal by Senate Finance Chair Max Baucus (D-MT). “The budget deal could open the door to finishing appropriations bills, which could reinvigorate the DOE research program,” Gawell said. “And the Baucus tax paper breathes new life into efforts to establish long-term incentives for geothermal and other clean power technologies.”

Outlook

GEA President Craig Mataczynski of Gradient Resources has challenged the industry to reach 5 percent of total U.S. electricity production. To reach this goal it will take advancements in geothermal technology and recognition of the full value of geothermal power. “As policy makers at the state and federal level move to address global warming and need to achieve significant emissions reductions, geothermal power’s unique abilities to replace baseload fossil fuels or firm intermittent resources provides premium value to fulfill state Renewable Portfolio Standard requirements and meet federal environmental standards,” Gawell said.

Events in 2014

GEA hosted several events throughout 2013 that brought together the international geothermal market and helped companies and individuals form partnerships that advance the sector. GEA Events in 2014 will include:

International Geothermal Energy Forum (Washington, DC): April 22, 2014
National Geothermal Summit (Reno, NV): August 5–6, 2014
Geothermal Energy Expo 2014 (Portland, OR): September 28–October 1, 2014

Utah Geothermal Power Plant Begins Operation

2013-12-08T19:38:00.001-05:00

Enel Green Power completed and connected to the grid the Cove Fort geothermal power plant, its first plant in the State of Utah (USA).

Cove Fort is a medium-enthalpy geothermal plant, which uses innovative binary cycle technology. The facility is owned by Enel Cove Fort, LLC, a subsidiary of EGPNA Development Holdings, LLC.

The installed capacity of the Cove Fort geothermal plant amounts to 25 MW. The operating facility will be able to generate up to 160 GWh of power per year, therefore avoiding the emission of around 115,000 tons of CO2 into the atmosphere each year.

Construction of the plant, in line with the growth targets set by Enel Green Power’s 2013-2017 Business Plan, required a total investment of approximately 126 million US dollars, financed through the Enel Green Power Group’s own sources.

The power plant is supported by a 20-year power purchase agreement (PPA) for the energy produced by the facility. The agreement was signed with company Salt River Project. Over more, the project is expected to qualify for the Section 1603 Renewable Energy Treasury Grant Program, therefore accessing the fiscal incentives envisaged by said regulation.

In North America, Enel Green Power also owns the geothermal plants of Stillwater and Salt Wells, which are located near Fallon, Nevada. These plants also use the medium enthalpy, binary cycle technology, which is among the most advanced in the sector. Last year, a 26 MW photovoltaic facility was added to the Stillwater geothermal power plant, therefore creating the first hybrid plant in the world with these characteristics.

Department of Energy Awards More Than $11 Million to Advance Innovative Geothermal Energy Technologies

2011-06-23T18:37:00.001-04:00

U.S. Energy Secretary Steven Chu today announced that eight projects in five states - California, Connecticut, Louisiana, Texas, and Utah - have been selected to receive up to $11.3 million to support the research and development of pioneering geothermal technologies. The projects selected today will foster innovation in the technologies and methods used to generate geothermal energy, which will help strengthen U.S. energy security and increase America's competitiveness in the global clean energy economy. Continued innovation and technical advances will also help geothermal energy to play an important role in achieving President Obama's goal of generating 80 percent of U.S. electricity from clean energy sources by 2035.

"Through these eight projects, the Department of Energy is investing in new technologies that will further develop the nation's geothermal resources and help diversify our energy portfolio," said Secretary Chu. "By investing in geothermal research and development, we are investing in our nation's energy future and creating opportunities for energy innovation in the U.S."

The projects aim to develop fundamentally new ways of producing electricity from the Earth's heat. Selected projects will conduct feasibility studies in Phase I, including technical and economic modeling and component design for technologies that recover geothermal heat for electricity production. If selected for Phase II, projects will then validate the designs in real-world environments. The selected projects are part of the Department's comprehensive efforts to reduce the cost of geothermal energy to be competitive with conventional sources of electricity.

Selected awardees are as follows:

GeoTek Energy, LLC (Midland, Texas) - up to $2.85 million
The Gravity Head Energy System project will study the technical feasibility of a new generation of gravity-driven downhole pump.

Gtherm, Inc. (Westport, Connecticut) - up to $200,000
The Single Well Engineered Geothermal Systems project will investigate the technical feasibility, heat extraction potential, and cost impact of a single well geothermal system.

Lawrence Berkeley National Laboratory (Berkeley, California) - up to $4.99 million
The Geothermal Energy Coupled with CCS: Heat Recovery Using an Innovative High Efficiency Supercritical CO2 Turboexpansion Cycle project will develop new ways to produce electricity from superheated and pressurized carbon dioxide (CO2) in deep geothermal formations.

Lawrence Livermore National Laboratory (Livermore, California) - up to $874,000
The Active Management of Integrated Geothermal - CO2 Storage Reservoirs: An Approach to Improve Energy Recovery and Mitigate Risk project will study the technical and economic feasibility of integrating geothermal energy production with carbon capture and storage.

Louisiana State University (Baton Rouge, Louisiana) - up to $997,000
The Zero Mass Withdrawal, Engineered Convection and Wellbore Energy Conversion project will evaluate the technical and economic feasibility of technologies that circulate reservoir fluids to increase heat extraction.

Physical Optics Corporation (Torrance, California) - up to $200,000
The Heat Extraction from Geothermal Systems project will investigate the technical feasibility, heat extraction potential, and cost impact of an innovative wellbore condenser technology. This technology converts hot vapor into cooler liquids at high efficiencies, which could help generate greater geothermal power.

Terralog Technologies USA, Inc. (Monrovia, California) - up to $541,000
The Advanced Horizontal Well Recirculation Systems for Geothermal Energy Recovery project will investigate and develop advanced geothermal well designs that optimize combinations of vertical and horizontal wells.

University of Utah (Salt Lake City, Utah) - up to $671,000
The Novel Development of Geothermal Systems in the United States project will assess the electric generating capacity, economics, and environmental impacts of developing deep sedimentary and crystalline reservoirs throughout the entire United States.

DOE's Geothermal Technologies Program works in partnership with U.S. industry to establish geothermal energy as an economically competitive contributor to the U.S. energy supply.

Ormat Technologies Awarded BOT Agreement for 45 MW Geothermal Power Project in New Zealand

2011-06-22T15:36:00.001-04:00

Ormat Technologies, Inc. today announced that its subsidiary has entered into a Build, Operate and Transfer Agreement ("BOT Agreement") with Tikitere Geothermal Power Limited ("TGL") to explore, develop, supply, construct, own and operate a geothermal power plant in the Tikitere geothermal area near Rotorua, New Zealand. Ormat was awarded the project following a competitive bidding process initiated by TGL.

TGL was established as a joint venture vehicle for the various Maori trusts that own and administer the land. TGL's shares are held by the Tikitere Trust. The field from which the energy will be drawn is owned by the Tiki Tere Trust, Paehinahina Mourea and Tiki Tere A (Aggregated) and the Manupirua Ahu Whenua Trust. The wells will be sited on land owned by the Paehinahina Mourea Trust.

Under the BOT Agreement, the parties will jointly develop a geothermal power plant with an estimated capacity of approximately 45 MW. The project will be operated by Ormat, which shall be the project's beneficiary for an initial period of 14 years following commercial operation and then 100 percent of ownership interests in the project shall be transferred to TGL. During the BOT period, TGL will receive an income stream while a coordination committee, comprised of representatives from both parties, will monitor the operations of the project in order to protect and promote the heritage and cultural values of the Maori land owners.

The project will utilize Ormat's generating units, similar to those already deployed in 12 geothermal projects in New Zealand, totaling approximately 260 MW.

The BOT Agreement is conditional upon receiving regulatory approval. Construction of the power plant will commence following the obtaining of local permits, as well as satisfactory feasibility results following exploration and development activities to be carried out by Ormat.

Jim Gray, Director of TGL, said, "Following the competitive bidding process we ran to find the most suitable project partner, we are pleased to be joining forces with Ormat on this project, the true value of which goes far beyond its economic and commercial success. Through the involvement of Ormat Technologies, and the human, cultural and community values shared by all those involved, this is truly a paradigm shift for New Zealand Maori in the fulfillment of our vision."

"We thank TGL and the trusts for their confidence in Ormat," said Lucien Y. Bronicki, Chairman of the Board and Chief Technology Officer of Ormat Technologies. "As the first BOT project for Ormat in New Zealand, this will diversify Ormat's portfolio that today includes operations in the U.S., Guatemala, Nicaragua and Kenya. Upon completion, it will expand our existing portfolio by approximately 8 percent. As with previous developed projects in New Zealand, Ormat will maintain close cooperation with local contractors and engineering firms."

The new plant will optimize energy utilization by converting the heat of both geothermal steam and brine from geothermal wells into electrical power. Like all Ormat plants in New Zealand, the Tikitere plant will reinject 100 percent of the geothermal fluid by using air cooling without any water consumption. The 100 percent reinjection serves both to sustain the reservoir and produce electrical power with virtually no environmental impact.

Ormat Technologies Offered Conditional Commitment for DOE Loan Guarantee

2011-06-10T00:13:00.001-04:00

Ormat Technologies, Inc. today announced its subsidiary, Ormat Nevada Inc. (“Ormat Nevada”) received an offer of a conditional commitment from the DOE that would provide a partial guarantee for up to a $350 million loan to support a geothermal power project expected to generate up to 121 MW of power from three Nevada based facilities built in two phases.

The three facilities -- McGinness Hills, Jersey Valley and Tuscarora -- will provide clean and baseload power through 20-year power purchase agreements with Nevada Power Company, a subsidiary of NV Energy.

Dita Bronicki, CEO of Ormat Technologies said, “The DOE 1705 program provides us with financing terms that enables us to finance a portfolio of facilities that are being developed in two phases. This innovative approach to project finance was made possible thanks to the DOE loan guarantee. We are thankful to the DOE’s Loan Programs Office and the rest of the team that moved the project thus far, and will continue working towards the closing of this transaction.”

The facilities utilize Ormat’s proprietary OEC technology, which are commercially proven and installed in approximately 1,370 MW of geothermal power plants and other electricity generating systems around the world. The OEC employs a binary organic Rankine cycle, with hot water drawn from wells deep below the Earth’s surface. The water’s thermal energy is used to heat a secondary fluid that is vaporized and then forced through a turbine to generate electricity.

Lender-applicant, John Hancock Life Insurance Company (USA) submitted the application under the Financial Institution Partnership Program (FIPP).

Ormat Technologies Secures $20 Million Contract for its Product Segment Backlog

2011-05-14T15:08:00.001-04:00

Ormat Technologies, Inc. announced this week that its subsidiary entered into a supply contract with Norske Skog Tasman Limited of New Zealand ("Norske Skog") to supply a new geothermal power plant that is to be constructed in the Kawerau Geothermal Field in New Zealand. The contract is valued at a total of approximately $20 million and delivery of the power plant is expected to be completed within 13 months from the contract date.

Norske Skog is a world leader in the use of renewable energy in the production of newsprint, with a history of over 50 years of utilization of geothermal energy from the Kawerau field in New Zealand. This new project will mean a substantial proportion of the Mill's electricity needs will be provided directly or indirectly from renewed geothermal energy.

Dita Bronicki, CEO of Ormat Technologies, said, "This new contract is Ormat's fourth geothermal installation in the Kawerau field. We are excited for the opportunity to once again supply our equipment in New Zealand and take part in the efforts to achieve the New Zealand government's target for greenhouse gas emissions reductions to between 10% to 20% below 1990 levels by 2020 and increased renewable electricity generation to 90% by 2025."

Ms. Bronicki concluded, "This contract increases our products backlog as of March 31, 2011 to $104 million. We view this contract as a demonstration of the reliability of Ormat's solutions and it further reinforces the applicability of our renewable energy solutions to the world electricity markets."

Ormat has been actively designing and supplying geothermal power solutions in New Zealand since 1986. The Norske Skog plant will mark over 250 MW, and the 13th geothermal power plant, built by Ormat in New Zealand. The new plant will use air-cooled condensers and allow 100% geothermal fluid reinjection, which serves both to sustain the reservoir and to produce electrical power with virtually no environmental impact. The geothermal power plant will utilize the hi-performance, hi-efficiency ORC turbine developed by Ormat for geothermal and recovered-energy applications.

World Geothermal Leaders Come Together for International Agreement

2011-05-04T17:52:00.001-04:00

The members of several leading national geothermal trade and business associations have joined together to establish an international geothermal business coalition in conjunction with the Geothermal Energy Association (GEA) 2011 Geothermal Energy Technology and International Development Forum.

The new International Geothermal Business Coalition, founded by the European Geothermal Energy Council, the US Geothermal Energy Association, the Canadian Geothermal Energy Association, the Australian Geothermal Energy Association, and the Chilean Geothermal Energy Association, will represent the leading companies involved in developing geothermal resources to meet energy needs across the world.

“Supporting a range of government policies that can provide support for the development of geothermal resources is our priority,” said Philippe Dumas of the European Geothermal Energy Council. “We will call upon each country to assess the potential of geothermal and develop effective long-term incentives and policy supports for this growing renewable industry.”

Geothermal power presently supplies the world with 10,715 Megawatts of electricity in 24 countries on six continents. The potential to use geothermal resources is much greater. With the technology available today and under development for the future, geothermal resources could supply more than 300,000 Megawatts of power, while producing far fewer carbon emissions than from legacy sources.

"Geothermal energy can provide competitively priced, renewable, round-the-clock energy to the markets our organizations represent and beyond that. At the same time geothermal energy can be a part of the solution to growing concerns about securing sustainable, cost-effective energy sources," said Alexander Richter, Director of the Canadian Geothermal Energy Association. "We are therefore looking very much forward working together as part of this international geothermal business coalition, to promote the vast potential of geothermal energy worldwide, but also the tremendous market opportunity for companies participating in the growth of the industry."

The new geothermal coalition will work to expand efforts to utilize these valuable geothermal resources in every nation. With the vast potential that geothermal has to create clean, renewable baseload energy and bring jobs to the nations that embrace it, the coalition leaders will work to ensure that geothermal resources are not ignored in national and international energy plans.

“International and multi-national organizations will also be vital to supporting geothermal resource assessment, technology development, and the development of global policies and financial incentives to expand the use of geothermal resources,” said Fernando Allendes, President of the Chilean Geothermal Energy Association, ACHEGEO

The GEA International Forum, where this new coalition was announced, brought over two hundred industry leaders, foreign diplomats, financiers and government officials together to participate in discussions on the geothermal market today, projects under development in the U.S. and internationally, and the outlook for the future of the geothermal market.

“This gathering has again shown the importance of the growing global geothermal market and how supportive government policies are key to fueling its growth,” said Karl Gawell, GEA Executive Director and Chairman of the Department of Commerce Renewable Energy and Energy Efficiency Advisory Committee. “As we see people across the globe clamoring for safe, clean, and renewable power, the geothermal industry can help meet those demands if government policies recognize the potential of geothermal energy.”

“Given its unique and wide ranging benefits including its baseload capability, relative low cost to other generation technologies and that it doesn’t produce waste materials that need to be dealt with by future generations, it is vital that governments provide funding and support to develop their geothermal industries equal to, if not greater than, that provided to other technologies,” said Susan Jeanes, Chief Executive of the Australian Geothermal Energy Association.

U.S. Department of Commerce and U.S. Department of Energy Join with GEA for Geothermal Energy Technology and International Development Forum

2011-04-20T23:11:00.001-04:00

Geothermal industry leaders from the United States and abroad are set to come to Washington, DC on Wednesday, May 4 for the Geothermal Energy Association (GEA) 2011 Geothermal Energy Technology and International Development Forum at The Ronald Reagan Building and International Trade Center. The event, hosted by GEA with participation by the U.S. Department of Commerce and U.S. Department of Energy, will paint a clear picture of the rapidly growing geothermal markets at home and abroad.

“Geothermal markets continue to grow at a strong pace even as some other technologies have faltered lately,” said Karl Gawell, GEA Executive Director and Chairman of the Department of Commerce Renewable Energy and Energy Efficiency Advisory Committee. “The baseload power that geothermal creates safely and renewably 24 hours a day is in increasingly high demand across the world. It’s a smart solution to our energy needs and that is being recognized more and more.”

Along with The U.S. Department of Commerce, the U.S. Department of Energy and industry partners including Gold Level Sponsor Atlas Copco and conference sponsors Enel Green Power, Pratt and Whitney, GeothermEx, and the Institute of Earth Science and Engineering, the forum will be widely attended with over two hundred industry leaders, foreign diplomats, financiers and government officials expected to participate.

The program will showcase geothermal projects, trends, and governmental policies in the U.S. and around the world, including the geothermal market today, projects under development in the U.S. and internationally, outlook for the future of the geothermal market, jobs and money, new technologies, and federal agency support at home and abroad.

The forum will feature speakers from the U.S. Senate Energy & Natural Resources Committee, Chadbourne & Parke LLP, University of Nevada at Reno, Gradient Resources, US Geothermal, Ormat, Export-Import Bank, USAID, U.S. Trade and Development Agency, and many others.

For more information, including the full agenda, visit: http://www.geo-energy.org/events/May2011_ShowcaseForum.aspx.

Mustang Geothermal Launches New Website

2011-04-11T12:07:00.001-04:00

MUSTANG GEOTHERMAL CORP announced today the launch of its redesigned corporate website that delivers the very latest information about the Company and its exploration and development activities. The new website address is www.mustangeothermal.com.

Richard Bachman, the President and CEO of the Company stated, "We want our website to provide a snapshot of the Company and an up to date description of our most advanced projects as they move forward. There is significant interest in the renewable energy industry generally, and specifically in the geothermal energy segment, so, we are very pleased to launch our website with a new look and comprehensive navigation to facilitate our commitment to communicate with our shareholders."

Geothermal energy refers to the power generated using heat from the Earth's core. It is considered renewable energy because this energy captures the nearly infinite heat that is generated by ongoing heat-processes at the molten core of our planet. The world's first geothermal power plant was constructed in 1911 in Larderello, Italy, and continues to generate power to the present day!

It is Mustang's objective to discover, develop, and operate a geothermal power plant within the next three years. Mustang owns a 100% interest in 6,620 hectares (16,350 acres) of Federal geothermal leases in five project areas in the State of Nevada.

In 2010 the State of Nevada had 19 privately owned, geothermal power plants, producing a total 2.06 million megawatt hours (MWH) of renewable electrical power for sale, providing the power needs to approximately 180,000 households for one year. The value of geothermal power generated in Nevada in 2010 is estimated at 268 million dollars based on price of $0.13 per kilowatt-hour paid by the average Nevada household.

Nevada ranks second in geothermal electrical power production in the United States behind California. Mustang is planning for the commencement of exploration activities on high priority targets identified on its geothermal properties in Nevada. The Company is negotiating with contractors on the availability of a drill rig for the 2011 field season in Nevada. Additionally, the Company has mobilized geologic field teams for ground truthing and water testing of thermal springs on its Nevada properties.

Ormat Signed 20-Year Power Purchase Agreement for 36MW expansion of Olkaria III Complex in Kenya

2011-04-05T14:33:00.001-04:00

Ormat Technologies, Inc. announced that its subsidiary, OrPower 4, Inc., signed a 20-year power purchase agreement (PPA) amendment with Kenya Power and Lighting Company Limited (KPLC) to purchase an additional 36 megawatts (MW) of clean energy output from a new power plant at the Olkaria complex. The new plant will be constructed adjacent to the existing 48MW Olkaria III geothermal power plant near Lake Naivasha, Kenya. The new power plant is scheduled to come online in 2013.

The PPA amendment includes an option to increase the combined 84MW capacity from the new and existing plants to up to 100 MWs subject to monitoring and assessment of the geothermal reservoir capacity. Ormat built the first 48 MW plant in three stages in parallel to the resource development, allowing the Company to advance revenue generation and long-term resource testing at commercial conditions. The first stage commenced in August 2000 with 8MW and was developed as part of the initial appraisal of the Olkaria III reservoir. This was followed by commercial well drilling and construction of a second and third stage to reach the 48MW target capacity, which was achieved in January 2009.

“Gradual development of a geothermal resource reduces a number of risks as data is continuously refined while the process moves forward. Using this phased approach, a power plant’s final design and future drilling programs are based on reliable resource data derived from long-term and on-going operation of the geothermal wells at commercial conditions rather than the short term tests that are customary in the geothermal industry.” said Dita Bronicki, Chief Executive Officer of Ormat. “Ormat continues to believe in Kenya’s economy and is proud to have the opportunity to expand Olkaria III by additional 36 MW. Our accomplishments in Kenya have been achieved through the hard work and dedication of our plant’s operation team that has consisted entirely of skilled local employees, managed by Eng. Ernest S. Mabwa, since the complex’s earliest stages.”

The first plant has been in continuous operation since 2000 and has achieved very high availability factors. Similar to the technology used in the existing plant, the new plant will utilize Ormat’s air cooled technology, which does not consume any water.

Geothermal Energy Association Yearly Update: Industry Poised for Ascendant Growth, Continuing Regional Expansion

2011-03-30T17:58:00.001-04:00

With new developments and pioneering technology, geothermal energy is spreading throughout the United States, as described in the yearly update on the geothermal industry from the Geothermal Energy Association (GEA). The Annual GEA U.S. Geothermal Power Production and Development Report shows that in 2011, the geothermal industry is producing clean power in nine states and developing 146 projects across 15 states, with the total number of geothermal projects and prospects under development increasing 12 percent.

The United States ranks No. 1 in geothermal energy production and continues to be one of the leading countries in geothermal growth. The total installed capacity of the U.S. is approximately 3,102 MW, enough to power over 2 million homes -- or the residential populations of San Francisco, Portland and Seattle combined. Currently, geothermal electric power generation is occurring in nine U.S. states, including: Alaska, California, Hawaii, Idaho, Nevada, New Mexico, Oregon, Utah and Wyoming. Bringing the geothermal resource capacity GEA identifies on-line would triple U.S. geothermal power production.

“The geothermal industry has an exciting year ahead, as there are numerous projects switching from development phases to full-fledged geothermal power plants,” said GEA Executive Director Karl Gawell. “And a second wave of development is on its way. This report reveals that many projects are entering the drilling and production phase, which is where the majority of geothermal job creation is.”

As the majority of the industry remains concentrated in the western U.S., pilot projects are beginning to show development potential further east. New projects are focusing on generating geothermal electricity from low temperature fluids left over as a byproduct from oil and gas production and harnessing electricity from geothermal fluids under high geological pressure along the Gulf of Mexico.

“We are building new plants in places that have never had geothermal power before, giving people in these states the clean and renewable power we need,” said Gawell.

Many projects currently undergoing advanced stages of production are located in Nevada and California, with additional projects nearing construction in Oregon, New Mexico, Idaho, and Hawaii, Alaska, Louisiana and Mississippi.

“While the government incentive programs may have given the geothermal space a lift in terms of initiating new activity, it’s going to take additional support from Private Investment that will fuel the majority of the growth in years to come,” said Saf Dhillon, Investor Relations, U.S. Geothermal Inc.

While the number of states with geothermal installed capacity and projects in development is significant, the reach of the geothermal industry is even more extensive. A total of 43 states have companies involved in geothermal development operations.

“Atlas Copco’s involvement in the geothermal industry has grown steadily over the past three decades. All three of our divisions (Industrial Technique, Compressor Technique and Construction and Mining Technique) provide machines and tools for geothermal development and power generation. From geothermal well exploration, to the Hurricane® power booster, and finally the binary cycle tureboexpander generators, Atlas Copco plays a key role in providing clean geothermal energy to the nation’s power grid,” commented Behrooz Ershaghi, Manager of Technology for Atlas Copco Mafi-Trench Company LLC.

For the first time, the Annual GEA U.S. Geothermal Power Production and Development Report was produced under a reporting system known as the Geothermal Reporting Terms and Definitions in order to increase the accuracy and value of the information presented. The Geothermal Reporting Terms and Definitions act as a guideline to project developers in reporting geothermal project development information to the GEA.

“The new system increases the precision of our reports,” said GEA Research Associate Dan Jennejohn. “By providing the industry and public with a lexicon of definitions and a guideline to determine phases of development, we can better asses a geothermal project’s position in the development timeline.”

Geothermal leaders will gather in Washington DC on Wednesday, May 4 for the Geothermal Energy Association (GEA) 2011 Geothermal Energy Technology and International Development Forum. The event, developed in conjunction with the U.S. Department of Energy and the U.S. Department of Commerce, will be held at The Ronald Reagan Building and International Trade Center. For more information about the event, please visit http://www.geo-energy.org/events/May2011_ShowcaseForum.aspx.

The full report can be accessed at http://www.geo-energy.org/.

Northern California Power Agency Approves Power Purchase Agreement for Ram Power's Geysers Geothermal Power Plant

2011-03-29T20:17:00.001-04:00

Ram Power, Corp. announced today that the Northern California Power Agency (NCPA) has approved an amended and restated power purchase agreement with the Company's subsidiary, Western GeoPower, Inc. (WGP), for the purchase of all energy and available environmental attributes from WGP's geothermal power plant at The Geysers Geothermal Field in Northern California. The Company anticipates that the 26 MW (net) Project will be completed by the end of 2013.

The Power Purchase Agreement amends a power purchase agreement entered into in 2008. Among other things, the Power Purchase Agreement updates the milestones for completion of the Project, adjusts the expected capacity of the Project to approximately 26 MW (net), revises the purchase price per MW, and extends the term of the agreement from 20 to 25 years. NCPA's Commission approved the Power Purchase Agreement on March 24, 2011. Subject to approval by the five NCPA members which are receiving power from the Project, it is anticipated that the Power Purchase Agreement will be signed in April 2011.

"Our commitment to explore and develop innovated and effective 'green power' energy programs is reflected in this agreement," said Jim Pope, general Manager of NCPA. "By securing the geothermal power from the Western GeoPower Unit 1, our member communities in Northern and Central California will continue to benefit from what we consider to be the prime source of reliable, sustainable energy compared to the cleanest natural gas-fired sources. The inclusion of this unit to our resources now expands our geothermal production from four to five plants at The Geysers."

"We are extremely pleased with the results of the NCPA negotiations," stated Antony Mitchell, Executive Chairman of Ram Power. "NCPA has again recognized Ram Power's continued desire to develop the Geysers project thereby delivering clean, renewable geothermal energy to their customers into the future."

The Geysers Geothermal Field, located 75 miles north of San Francisco, California, is the largest producer of geothermal electricity in the world. Commercial geothermal power has been generated continuously at The Geysers Field since 1960, the present generation level being about 900 megawatts of clean, base load electricity. WGP owns or leases all of the geothermal rights necessary to develop the Project. The Project's steam field is situated in the southwestern region of The Geysers Field in Sonoma County. A commercial power plant of 62 megawatt (gross) capacity, known as PG&E Unit 15, operated at the steam field during 1979-1989.

NCPA, located in Roseville, California, is a joint powers agency providing clean, renewable energy to its 17 member communities and districts in Northern and Central California. Founded in 1968, NCPA owns and operates power plants that together comprise a 95% emission-free generation portfolio. NCPA owns and operates geothermal power plants, hydroelectric plants, simple combustion turbine plants and steam injected combustion turbine plants.

Ram Power Announces Successful Drilling Results at San Jacinto-Tizate

2011-03-24T22:25:00.001-04:00

Ram Power, Corp. announced today the successful re-drill and initial evaluation of production well SJ12-1, and the successful flow test results of production well SJ12-2 at San Jacinto-Tizate.

As previously announced, to achieve production in wells SJ 12-1 and SJ 12-2, the Company had decided to re-drill both wells. The re-drills were expected to correct the problems encountered in the original drilling and reach the originally planned intersection of deep production zones. In February 2011, the Company re-appointed Sinclair Knight Merz ("SKM"), a leading global consulting firm in the geothermal industry, which has extensive experience in drilling and analyzing the resource at San Jacinto-Tizate where they successfully drilled 40MW. SKM's expertise in well targeting contributed to better definition of inclination and azimuth angles for directional wells. SKM's experience with the San Jacinto-Tizate resource field led to optimal selection of drilling fluids, flow rates, and drilling penetration rates and greater use of perforated liner which were successfully utilized in previous drilling at the resource field. In addition, SKM has a drilling engineer and a scientist on site and is actively evaluating the techniques used for drilling to reduce drilling costs and frequency of drilling incidents. Forking or side-tracking of existing wells has achieved production earlier and at less expense than drilling new wells.

Under SKM's direction, the Company commenced the re-drill of well SJ 12-1 ST1 (a sidetrack recovery of the SJ12-1 well) in February 2011. The well was completed in March 2011 to a depth of 8,544 ft., and upon completion was immediately evaluated with an injection test designed to determine permeability. A standard three-step injectivity test was conducted by pumping water to depth in the well at high rates for an extended period of injection. The injectivity index which measured 20 t/h/bar indicates moderate to good permeability for the well. Typically wells with similar injectivity index measurements drilled at San Jacinto-Tizate are commercial producers and SKM estimates that the capacity of the well is expected to be in the 5 - 10 MW range. After a heat up period, a long-term flow test which involves the connection of well SJ12-1 ST1 to a test separator will be performed and the results will be certified according to the project lenders protocols in May 2011 by GeothermEx, Inc.

The Company completed the initial drilling of SJ 12-2 in January 2011. The well was drilled to a depth of 7,532 ft. at which point a drill rig power failure resulted in the drill string becoming stuck in the well. At that time the well was experiencing a total loss of circulation of drilling fluids which provided an indication of high permeability. After several attempts to free and retrieve the drill string, the drill string was severed at a depth of 7,228 ft. After four days of initial flow testing, despite having 276 ft. of stuck drilling apparatus at the bottom, the well produced separated steam at a rate of 31 t/hr at design pressures for the turbine inlet with production from a down hole zone that exceeded 510°F. These initial results confirmed that well SJ12-2 will be a production well with an estimated capacity of about 4 MW. In order to maximize the potential production from this well, the Company plans to fork SJ12-2 while retaining this initial productive leg of the well. Drilling of the SJ12-2 fork will commence by the end of this month and completion of the drilling is expected in May 2011.

The San Jacinto-Tizate exploration drilling program is focused on developing the geothermal resources needed for the phased power plant expansion designed to increase production from the current 10 MW to 72 MW. Currently, the Company has 60 MW of certified resource in San Jacinto-Tizate. With the successful re-drill of SJ 12-1 ST1, the flow test results and subsequent fork of SJ 12-2, and the planned acid wash of well SJ 9-3 (currently certified at 4.8MW) the Company anticipates these three wells will increase the certified resource capacity by 12 to 25MW.

Greg Ussher, Geophysicist, Manager Generation Clients at SKM, stated that, "Our team is very pleased to again be working with the Ram Power team on the San Jacinto geothermal project. It is encouraging to have early indications of success with both SJ12-1 ST1 and SJ12-2, which gives us confidence for the on-going production and reinjection drilling program."

Walt Higgins, interim President and CEO of Ram Power, stated, "We are extremely pleased with these results. The addition of SKM, combined with the Company's strategic change in the drilling program has produced positive results and we look forward to our continued working relationship with SKM."

Ormat Signs 30 MW Power Purchase Agreement with NV Energy

2011-03-19T01:19:00.001-04:00

Ormat Technologies, Inc. announced recently that it signed a 20-year power purchase agreement (PPA) with NV Energy to purchase 30 MW of clean, renewable energy generated from the Dixie Meadows geothermal project. Ormat is currently in the exploration phase of the Dixie Meadows development project, which is located in Churchill County, Nev. The PPA has been submitted for approval to the Public Utilities Commission of Nevada.

Upon successful development, the Dixie Meadows geothermal project will further increase the 127 MW that Ormat is currently operating in the state and approximately 90 MW that are in construction. If the Dixie Meadows project reaches completion by the end of 2013, it would also be eligible for an ITC cash grant.

“This is another step in our long cooperation with NV Energy to provide clean and reliable renewable energy to northern Nevada,” said Yoram Bronicki, president and chief operating officer of Ormat. “The exploration efforts in Dixie Meadows are an investment in the development of the rural areas in the state and a successful project will have a positive economic impact through its contract life.”

Michael Yackira, president and chief executive officer of NV Energy, said “We are pleased to be working with Ormat on this project and to be taking another step forward in utilizing Nevada’s abundant geothermal resources for the benefit of our customers and for the environment.”

Raser Technologies Announces Plans to Explore Strategic Alternatives

2011-03-02T07:51:00.000-05:00

Raser Technologies, Inc., a renewable energy company focused primarily on geothermal power development, announced today that, in view of its current cash resources, nondiscretionary expenses, debt and near term debt service obligations, it intends to explore all strategic alternatives to maintain its business as a going concern, including, but not limited to, a sale or merger of the Company, or one or more other transactions that may include a comprehensive financial reorganization of the Company.

Department of Energy Finalizes $96.8 Million Loan Guarantee for Oregon Geothermal Project

2011-02-25T12:41:00.000-05:00

Energy Secretary Steven Chu today announced that the U.S. Department of Energy finalized a $96.8 million Recovery Act supported loan guarantee to a project sponsored by U.S. Geothermal, Inc. to construct a 23 megawatt (net) geothermal power project in Malheur County, in southeastern Oregon. The company estimates that the project, known as Neal Hot Springs, will create approximately 150 construction jobs, over a dozen permanent jobs and many more supply chain jobs across several states, including Texas, California and Ohio.

"Increasing the supply of renewable energy through projects like U.S. Geothermal's will help us reach the President's goal of generating 80 percent of our electricity from clean energy by 2035," said Secretary Chu. "The Neal Hot Springs project will provide clean renewable energy directly from our nation's vast natural resources while simultaneously creating jobs and helping to promote energy independence."

"U.S. Geothermal's project means new jobs in Oregon communities that need them most," said Oregon Governor John Kitzhaber. "This is important step in achieving one of my top priorities - ensuring rural incomes grow along with urban incomes - and reason for optimism about a more prosperous future with Oregon leading the way in clean energy technologies."

"With the finalizing of this loan, southeastern Oregon's economy can heat up thanks to geothermal energy technology," U.S. Senator Ron Wyden said. "This loan will create more than 150 construction jobs, more than a dozen permanent jobs and will be a real economic shot in the arm and another example that when it comes to renewable energy technology, Oregon is on the right side of history."

"Right now Oregonians need jobs and that is exactly what this project will deliver," said U.S. Senator Jeff Merkley. "This is great news for Vale and for the future of clean energy jobs in Oregon. Our state can be the worldwide leader in geothermal energy production, and this project brings us closer to that vision."

The project uses an improved technology to extract energy from rock and fluids in the Earth's crust more efficiently. The technology, referred to as a supercritical binary geothermal cycle, is estimated to be more efficient than traditional geothermal binary systems, allowing lower-temperature geothermal resources to be used for power generation. Unlike coal-fired and natural gas-fired power generation plants, geothermal plants produce virtually no greenhouse gas emissions.

The project's total output will be sold to Idaho Power Company under a long-term power purchase agreement. With the 25-year agreement in place, the project is well positioned to accommodate anticipated population growth and renewable energy demand in the region.

Nevada Geothermal Power Inc. to Purchase Iceland America Assets in Imperial Valley, California

2011-02-23T23:21:00.000-05:00

Nevada Geothermal Power Inc. (NGP) and Iceland America Energy, Inc. (IAE) are pleased to announce that they have signed an agreement giving NGP the exclusive right to purchase a 100 percent ownership of IAE’s geothermal assets comprised of the New Truckhaven, East Brawley and South Brawley Projects in the Imperial Valley, Southern California, for US$4,150,000. NGP will pay US$100,000 in cash and the balance in NGP shares having a deemed value of C$0.65. Reykjavik Energy Invest hf, a subsidiary of the City of Reykjavik’s geothermal utility Orkuveita Reykjavikur (Iceland), is the majority owner of IAE with a 83.7% interest and will thus become a significant shareholder of NGP. The deal is expected to close by March 31, 2011.

The Imperial Valley is one of the world’s premier geothermal areas with highly productive, high temperature geothermal resources occurring over a large area in an active structural belt. Existing power plants operated by Cal Energy and Ormat Inc. have an aggregate capacity of approximately 560 MW. Among other current projects in the region, Energy Source is constructing the Hudson Ranch 49.9 MW geothermal power facility and Ram Power is drilling production test wells at their 50 MW Orita geothermal power project.

The New Truckhaven and East Brawley properties are advanced stage projects that fit into NGP’s business plan focusing on the U.S., expanding geographically and diversifying off-take agreements. NGP believes that a 30-35 MW steam flash or binary power plant can be developed for the low-salinity New Truckhaven resource by the end of 2013 using conventional technology. At East Brawley, commercial productivity has been demonstrated in several deep wells. Ram Power’s current drilling program is sited immediately north of NGP’s to be acquired East Brawley leases. NGP will commence work for power plant scoping studies, well permits, transmission line access and water supply for both the New Truckhaven and East Brawley projects.

New Truckhaven

The New Truckhaven property on the west side of the Salton Sea, is comprised of 6267 acres (approximately 10 square miles) of Federal and private geothermal leases covering a broad thermal anomaly identified in 1500-ft deep gradient holes and two deep production test holes. The area is largely undeveloped. It is readily accessible by paved Highway 86 and within a few miles of power transmission lines providing access to the power markets in southern California.

A high-temperature geothermal resource is confirmed in a deep test well to 8000 feet which penetrated valley basin-fill sedimentary units to 6300 feet and granite basement rocks from 6300 feet to Total Depth (TD). The maximum well temperature recorded was 392°F (200°C). Sand units between 3000-6300 feet, overlying the granite basement have formation temperatures of 350-390°F (177-199°C) and are the target geothermal reservoir formations of the NGP/IAE program. Geothermal brine sampled during flow testing showed relatively benign chemistry and low Total Dissolved Solids (TDS = 3900 ppm) in contrast to other deeper Imperial Valley geothermal reservoirs. Geothermometry from geothermal fluid collected during flow tests predicts source temperatures of 380-396°F (193-202°C) in good agreement with measured temperatures. The previously drilled well can be reopened for new production tests at relatively low cost.

A recent well by Iceland America (IAE Trk-1) penetrated sedimentary units to 6400 feet and granite basement from 6400 feet to total well depth of 7140 feet. Target sand units were intersected between 1900-3300 feet and 5150-6400 feet and temperatures up to 350°F (177°C) were recorded. It is interpreted that the IAE well is on the northern edge of the reservoir and could be used as either a production or an injection well.

NGP will commence water availability, transmission access, and scoping studies for an initial 30-35 MW power plant, which could be a steam flash plant or a binary plant, as well as work to obtain drilling and flow testing permits. Water is available from local groundwater sources and/or from a shallow artesian aquifer intersected at 625 feet in IAE-Trk-1. NGP has met with the Imperial Valley Irrigation District regarding transmission line access. The Company anticipates starting reservoir drilling in 2011 with a view to completing the project in 2013 in order to qualify for a Federal ITC/Tax grant.

East Brawley

At East Brawley, leases controlled by IAE total 6752 acres (approximately 10.5 square miles) including key leases in the central part of the East Brawley thermal anomaly immediately south of current drilling by Ram Power at the Orita project. Commercial productivity has been demonstrated in several deep wells within the East Brawley geothermal field. Temperatures greater than 500°F (260°C) occur at depths below approximately 10,000 feet. Ram Power released test results from the Orita-2 well, located ½ mile north of the IAE East Brawley property; the well was reportedly tested at 8-10 MW with resource temperatures of 570°F (299°C).

In 2011, NGP will commence work for well permits and complete geothermal reservoir and power plant scoping studies.

South Brawley

IAE has a 50% leasehold on 1920 gross acres (three square miles) in the South Brawley Geothermal Area. NGP will determine if a secure land position can be established in the South Brawley Geothermal Area. No physical work is planned in the immediate future.

Brian Fairbank, President and CEO of Nevada Geothermal Power commented, “I believe that NGP, Iceland America and Reykjavik Energy Invest will benefit immensely from the synergies created by this new agreement. The new Imperial Valley projects fit nicely into NGP’s business plan and we are looking forward to expeditiously moving these projects ahead.”

Paul Wilson, CEO, Iceland America stated, “This transaction with Nevada Geothermal Power provides a clear path forward for the development of these projects. We are confident that they will bring these projects to production on a timely basis for the benefit of our lessors, the Imperial Valley economy and in support of California’s renewable energy targets. We are pleased with the opportunity to work with the talented team at NGP.”

“We are very pleased with the transaction and the prospects it has for geothermal utilization in California. We are looking forward to providing NGP with access to Reykjavik Energy’s experience and expertise in developing and operating geothermal installations,” said Helgi Thor Ingason, CEO of Reykjavik Energy and REI COB.

MDB Capital Group, LLC is acting as independent advisor to IAE in the transaction. The agreement is subject to regulatory approval.

Puna Geothermal Venture and HELCO Sign Agreement to Deliver Additional 8MW of Dispatchable Geothermal Power

2011-02-11T17:41:00.000-05:00

Hawaii Electric Light Company, Inc. (HELCO) and Ormat Technologies, Inc. today announced the signing of a Power Purchase Agreement (PPA) to add more renewable energy, with pricing independent of oil prices, to the Hawaii Island grid.

As part of the contract, Ormat Technologies' wholly-owned Puna Geothermal Venture (PGV) agrees to provide an additional eight megawatts (MW) of dispatchable geothermal power at fixed prices for over 20 years, providing a valuable hedge against fluctuating oil prices that benefits Hawaii Island electric customers. PGV, located in the lower Puna district of Hawaii Island, currently provides approximately 30 MW under two contracts.

The PPA is subject to approval by the Hawaii Public Utilities Commission (PUC), with input from the Hawaii Division of Consumer Advocacy. The construction of the power plant is substantially complete and is expected to reach full commercial operation after HELCO completes electric grid modifications by the third quarter of 2011.

"Our continued partnership will help us reach our clean energy goals even sooner," said Jay Ignacio, Hawaii Electric Light Company president. "With long-term pricing that's not tied to the price of oil, this contract will help stabilize electricity bills as fuel prices move higher."

Hawaii Island is a world leader in renewable energy, with more than one-third of the energy supplied to its customers from geothermal, wind, hydro-electric and solar resources. Future renewable energy sources also include biomass as well as the use of sustainable biofuel in existing HELCO generating units.

"This agreement reinforces our commitment to increase our diverse portfolio of renewable energy resources," Ignacio said.

Puna Geothermal Venture has provided baseload power to the island's grid since 1993. Ormat, a world leader in geothermal technology, acquired PGV in 2004 and has been continuously investing capital to improve efficiency and environmental controls.

"We have enjoyed a long and successful relationship with HELCO and are grateful for its support of geothermal power. Ormat is committed to providing Hawaii's market with the best geothermal technology, working with the community and sharing with it the benefits of the new development," said Yoram Bronicki, president and COO of Ormat Technologies. "The power that the expansion will contribute will be generated from a more efficient utilization of the resource which allows us to reduce the overall cost of power and to provide improved stability to the overall electrical grid of the island."

DOE Leverages Fossil Energy Expertise to Develop And Explore Geothermal Energy Resources

2011-02-08T17:45:00.000-05:00

Focusing on reducing the upfront costs of geothermal development as well as improve its effectiveness, the U.S. Department of Energy (DOE) today announced plans to leverage oil and gas expertise to test the reliability and efficiency of geothermal power generation at oil and gas fields. DOE's Office of Fossil Energy and Office of Energy Efficiency and Renewable Energy will combine efforts to have experts test and validate low temperature geothermal power generation technologies at the Rocky Mountain Oilfield Testing Center (RMOTC) near Casper, Wyoming.

The goal of this project is to leverage the resources of both program offices to support state-of-the-art research and development into geothermal power generation technology using co-produced fluids from older oil and gas operations. This hybridization combines traditional fossil energy operations with emerging renewable technologies to evaluate low temperature geothermal power production from oil fields. Leveraging existing oil and gas infrastructure reduces the upfront costs of geothermal development. The potential to produce renewable energy from existing sites extends beyond the work with RMOTC to oil and gas fields worldwide.

DOE's Geothermal Technologies Program (GTP) is currently funding 17 projects demonstrating low temperature, co-produced and geopressured resources in different geological conditions to help enable online capacity of 3 gigawatts, approximately the capacity to power 2.4 million homes a year from these resources by 2020. RMOTC received funding from GTP in 2009 to develop infrastructure for future geothermal testing at the Naval Petroleum Reserve No. 3 (NPR-3).

NPR-3, located near Midwest, Wyoming, produces oil and 45,000 barrels of 190o F water per day from the Tensleep formation and 28,000 barrels of 210o F water per day from the Madison formation. The Tensleep hot water was previously treated as a waste stream. Then a test conducted with Ormat Technologies, Inc. of Reno, Nev., extracted heat from the water to operate a 250-kilowatt generator. To date, the total produced power from the unit is 1,918 megawatt hours from 10.9 million barrels of co-produced hot water. This on-going test was the first in the world to use the co-produced hot water to generate electricity in an operating oil field and will continue through 2011. There are a large number of oil and gas wells in the United States that produce hot water as well as hydrocarbon products, generally at temperatures below 220° F, which are capable of generating renewable geothermal power.

RMOTC is located within NPR-3, 35 miles north of Casper, Wyoming. NPR-3, known historically as Teapot Dome, is operated by the Department of Energy as a producing oil field and a test site for new energy technologies. The 10,000-acre facility hosts traditional oil and gas testing as well as field research into renewable technologies, including wind, solar, and low-temperature geothermal. It is managed through DOE's Office of Fossil Energy.

The Department of Energy's Geothermal Technologies Program works to establish geothermal energy as a significant contributor to the nation's future electricity generation by partnering with industry, academia, and the national laboratories to discover new geothermal resources, develop innovative discovery and generation methods, and demonstrate high-impact geothermal technologies. For more information on the Rocky Mountain Oilfield Testing Center visit the Rocky Mountain Oilfield Testing Center website. For more information on the Geothermal Technologies Program visit the Geothermal Technologies Program website.

Ormat Technologies Brings the Only Geothermal Power Plant Online in the U.S. in 2010

2011-02-01T17:24:00.000-05:00

Ormat Technologies, Inc. was successful in bringing its 15 MW Jersey Valley geothermal power plant online. Jersey Valley was the only utility-scale geothermal plant completed in the U.S. this past year, providing additional renewable energy to northern Nevada's electricity grid. The plant is currently in commissioning, operating at partial load with final completion expected in the second quarter.

"We are proud with the accomplishments of this project," said Yoram Bronicki, President and Chief Operating Officer of Ormat. "We were able to implement innovative power plant solutions and complete the construction a short time after all permits were granted."

Located at the northern end of Dixie Valley, Jersey Valley rests along the Pershing-Lander County, Nevada line. Ormat's power solutions are utilized in the plant design; this includes the Ormat Energy Converter ("OEC"), a power generation unit that converts low, medium and high temperature heat into electrical energy. The electricity being produced is sold to NV Energy under a 20-year power purchase agreement.

The Company's financial position and financing capabilities enabled Ormat to build this project with equity and corporate debt and plan to refinance it upon completion with DOE guarantee funds. This funding strategy shortened the development time and provided flexibility during construction.

"Advanced techniques and plentiful amounts of data, combined with a motivated team of skilled individuals and proven equipment brought this project to fruition," Bronicki said. "In addition to providing a new source of renewable energy, the completion of the Jersey Valley project contributes to the success of the geothermal industry as a whole and will provide essential insights for future exploration and development efforts."