News
Dec 19, 2008Sierra Geothermal Power Drops Pumpernickel Option
VANCOUVER, BRITISH COLUMBIA—(Marketwire - Dec. 16, 2008) - Sierra Geothermal Power Corp. (SGP) (TSX VENTURE:SRA) announces that it has decided not to exercise its option to earn a 50 percent interest in the Pumpernickel Project in Nevada. Under the terms of its option agreement with Nevada Geothermal Power dated October 12, 2004, SGP could have exercised the option on or before December 15, 2008, by providing $4 million for work commitments, paying a $70,000 option payment and issuing 200,000 of its common shares to Nevada Geothermal Power.
Gary Thompson, CEO of SGP, said that “When we considered this project in light of the current state of our economy and our stock markets, to say nothing of how it relates to our total portfolio, we determined that it was not in our best interest to exercise the option. Although the Pumpernickel Project remains an attractive geothermal target, our potential 50 percent interest comprised a very small portion of our total portfolio and power output estimates. We have determined that it is more prudent to conserve capital and focus on our wholly owned projects. We have approximately $4 million on hand and no debt as of December 15, 2008. We own a 100% interest in the remainder of our portfolio of projects subject to a US$151,000 payment due April 2009.”
Dec 19, 2008
BBC News: “Drillers break into magma chamber”
It has been described as a geologist’s dream - a unique opportunity to study up close the volcanic processes that built the Earth’s continents.
Drillers looking for geothermal energy in Hawaii have inadvertently put a well right into a magma chamber.
Molten rock pushed back up the borehole several metres before solidifying, making it perfectly safe to study.
Magma specialist Bruce Marsh says it will allow scientists to observe directly how granites are made.
“This is unprecedented; this is the first time a magma has been found in its natural habitat,” the Johns Hopkins University, Baltimore, professor told BBC News.
To read the full article: http://news.bbc.co.uk/1/hi/sci/tech/7780873.stm
Dec 16, 2008
CanGEA FAQ #2: Geothermal - Depleting the Earth’s Resource?
Another common geothermal question CanGEA receives.
Q: Will geothermal energy usage deplete the earth’s heat resource?
A: The geothermal heat flux from Earth’s interior is about 42 x 10^12 W(t) – an almost limitless resource. We can exploit the resource at a higher rate if we wish, the aforementioned flux is only the leakage rate, not any limit to exploitation. At current leakage rates, it will take over 9 billion years for the Earth to cool (geological time of this magnitude makes geothermal, like solar, renewable energy). The many forms of geothermal energy can exploit this resource and offer the prospect of near limitless energy without affecting our atmosphere the way exploiting fossil fuels does.
Dec 15, 2008
California: 33% RPS by 2020
California has signed into law a 33% RPS by 2020. This is crucial news for geothermal and renewable energy producers.
Governor Schwarzenegger’s been keeping busy on California’s big-ticket environmental issues. Yesterday the Governor’s office issued Executive Order S-14-08, with the laudable goal of accelerating the development of renewable energy resources
Executive Order S-14-08 calls for California to get 33% of our electric energy from renewable sources by 2020. The current Renewable Portfolio Standard (RPS), instituted in SB 107 in 2006, requires that 20% of California’s power come from renewable sources by 2010. Unlike the current RPS, the Governor’s new target applies to both investor-owned utilities and public utilities.
To read the full article: Click Here
Dec 15, 2008
Alison Thompson joining BC Innovative Clean Energy Fund Review Team
CanGEA Chairman and Executive Director Alison Thompson has been invited to join the external review team for British Columbia’s Innovative Clean Energy Fund. The BC Innovation Council, a Crown agency of the Province of British Columbia, Canada, is currently seeking industry leaders and experts in the field of clean energy, to assist in evaluating proposals being received under the Province’s $25 million Innovative Clean Energy Fund. The program is designed to support clean energy projects in rural communities within British Columbia that have the potential to solve real, everyday energy and environmental issues and create significant socio-economic benefits.
This is a tremendous opportunity for renewable energy and for Chairman Alison Thompson!
Dec 12, 2008
Christopher James Withdraws From Canoe Reach Geothermal Project
Christopher James Gold Corp News Release:
Christopher James Withdraws From Canoe Reach Geothermal Project
December 4, 2008
Christopher James Gold Corp. (“CJGC” or “the Company”) announces that it has decided not to exercise its option to acquire the Canoe Reach Geothermal Project based upon the interpretative analysis received on the Project from the Company’s independent geothermal consultants. This conclusion was based on recently obtained geochemistry data that suggested reservoir temperatures may not be able to meet the minimum requirements for an economically viable geothermal development.
Max Baker, President of the Company, commented, “The Company could not justify continuing under the terms of the current option agreement given this recent analysis and the limited time remaining before the final option payment was due. Since late 2007, the Company has restricted its focus to identifying and acquiring one or more quality projects which will enable the Company to survive the current downturn and recover value once the market turns. We are in an excellent position to take advantage of other acquisition opportunities in this current market environment with approximately $3 million in treasury and only $60,000 of exploration expenditures required to maintain our existing portfolio of gold properties in good standing through 2011.”
Pursuant to the Company’s news releases dated August 6 and August 15, 2008, the Company also announces the re-pricing of 225,000 incentive stock options from $0.09 per share and 4,775,000 incentive stock options from $0.08 per share to $0.10 per share, respectively, in order to align with Exchange policy
Dec 05, 2008
Western GeoPower News Release
CanGEA corporate member Western GeoPower’s news release:
WESTERN GEOPOWER’S DRILLING SUCCESS CONTINUES WITH 9 MW WELL
VANCOUVER, Canada, December 4, 2008, TSX Venture Exchange Trading Symbol: WGP – Western GeoPower Corp., a renewable energy development company, today announced that completion testing of the Company’s fourth well (WGP-4) at The Geysers Geothermal Field in California has established an initial power capacity of 9.0 MW (gross) or 8.2 MW (net). This latest well increases the power capacity placed behind pipe to 28.7 MW (gross) or 26 MW (net), representing over 70% of the initial steam resource required to supply the planned 35 MWe Western GeoPower Unit 1 plant.
Flow tests on all four wells were conducted by independent consultants GeothermEx. The initial flow rates for the four wells aggregate 463,000 lbs/hour at a design condition of a minimum flowing wellhead pressure of 87 psia. The power plant specifications call for steam requirements of 16,130 lbs/hour per MW (gross) or 17,743 lbs/hour per MW (net).
“Drilling to date continues to yield outstanding results, with well WGP-4 coming close to matching WGP-1 as the most productive well drilled at the Geysers over the past two decades,” said Dr. Subir Sanyal, President of GeothermEx. “The high well capacity achieved to date reflects the presence of high-flow-capacity areas within the leasehold, and careful targeting and drilling of the wells.”
California-based GeothermEx is a recognized international authority in the evaluation of geothermal resources and has been involved in the development of all the producing geothermal fields in the United States and over 750 projects worldwide. Their knowledge of The Geysers geothermal field is extensive, having been associated with the development of the field for over 30 years.
“We are especially pleased to report that well WGP-4 has been completed considerably under budget and over one month ahead of schedule,” said Kenneth MacLeod, President & CEO of Western GeoPower. “Significant cost savings may be realized with the drilling program if future wells continue to yield similar high productivity rates.”
Initial projections called for the drilling of a total of eight production wells and one injector. Should the drilling of the additional wells continue to yield higher than anticipated productivity, fewer wells may be required. An existing well is being assessed for re-work and may be used as a second injection well. The drilling program is scheduled for completion in late 2009 and the 35 MWe Western GeoPower Unit 1 plant is projected to start commercial operations in early 2010.
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 MWe of clean, baseload electricity. Western GeoPower’s Unit 1 project is situated in the south-western region of The Geysers field in Sonoma County.