The U.S. Bureau of Land Management (BLM) has sold 5 parcels in a recent geothermal lease sale in Nevada. Four of the parcels were sold to Ormat Nevada and one to Presco Energy.
Last week, the U.S. Bureau of Land Management (BLM) Nevada “generated $28,982 during its competitive geothermal lease sale held in Reno on Jan. 29, selling five parcels, two in Churchill County, two in Humboldt County and one in Pershing County, that comprised 7,056 acres. The high sale bid on each of the five parcels was $2 per acre. Four of the parcels were sold to Ormat Nevada Inc ., and one was sold to Colorado-based Presco Energy, LLC.
Geothermal leases are issued for a 10-year primary term. Annual rental for a competitive lease is $2 per acre for the first year, and $3 per acre for lease years 2 through 10. Annual rental for a noncompetitive lease is $1 per acre for lease years 1-10. Additional environmental analysis would need to be conducted to receive permits to drill or build a facility to develop the energy from the geothermal source.
The BLM offered 7 parcels totaling 10,024 acres. A complete summary of the parcels offered and the winning bids is available online at: www.blm.gov/nv. (note: the summary is not to be found there, but should be up soon)
Source: BLM Press Release