U.S. Geothermal Inc. provides a positive review of its 2012 operations and activities and its operating and development goals for 2013 for its U.S. operations and its Guatemala project.
Geothermal development company U.S. Geothermal Inc. just published a review on its 20122 activities and “planned milestones moving forward thru 2013.
During 2012, the Company’s management and operating teams were focused on improving operations at Raft River, Idaho and advancing both the San Emidio, Nevada and Neal Hot Springs, Oregon projects into commercial operations. Commercial operations were successfully achieved at San Emidio in May 2012 and at Neal Hot Springs in November 2012.
Both development projects experienced construction delays due to the innovative use of existing technology in a novel configuration. These innovations have successfully produced the geothermal power industry’s first commercial, supercritical organic rankine cycle binary power plant using R134a as a motive fluid. R134a is a non-flammable, non-toxic compound used in the power cycle. The two projects have successfully moved non-commercial, significantly enhanced technology to commercial viability and are now generating electricity. The performance tests of the innovative plants showed that they produce significantly more electrical power than originally forecast. Due primarily to the colder winter temperatures, current total output of net base load power to our customers recently was 49 MW with San Emidio at 9.4 MW, Neal Hot Springs at 29.7 MW and Raft River at 9.9 MW.
Daniel Kunz, CEO and Director, said, “With one of the best development and operating teams in the business, we overcame a number of bureaucratic, capital market, and technical obstacles to successfully achieve our goals for 2012. In addition to achieving sustainable cash flows, revenues and earnings from the three operating power projects, we have ambitious technical and development goals for 2013.”
Operating and Development Goals for 2013:
- Close long term financing for takeout construction loan for San Emidio
- Expand San Emidio to 10 MW net output with transmission upgrade and existing higher temperature well
- Close construction loan for Neal Hot Springs
- Apply for and receive the 30% ITC cash grant at Neal Hot Springs
- Complete the sale of and receive $7.4 million Oregon tax credit at Neal Hot Springs
- Receive $1.0 million remaining ITC cash grant at San Emidio
- Complete equity calculations for Enbridge at Neal Hot Springs
- Evaluate installation of solar power for parasitic load at Neal Hot Springs
- Receive 10% ITC cash grant for well improvements at Raft River
- Drill production wells to complete exploration grant at San Emidio
- Make a go or no go construction decision for second unit at San Emidio
- Complete PPA for El Ceibillo
- Close equity partner arrangement for El Ceibillo
- Receive environmental permits for El Ceibillo
- Complete geophysical surveys and reservoir confirmation drilling for El Ceibillo
Source: Company release via Marketwatch