News
Mar 31, 2011CanGEA Member Magma Energy Awarded Two Geothermal Concessions in Italy
VANCOUVER, March 30 /CNW/ - Magma Energy Corp. (TSX: MXY) is pleased to announce that its Italian subsidiary has been awarded, in a competitive bidding process, two geothermal exploration concessions in Italy, known as PR Mensano ("Mensano") and PR Roccastrada ("Roccastrada").
Both Mensano and Roccastrada are in western Tuscany near the town of Larderello, a globally renowned geothermal power production region. The world's first geothermal power plant started in the region in 1911, and currently the region has 32 operating geothermal power plants with a combined capacity of 790 MW. The 21,256 hectare Mensano concession lies to the east of Larderello, while the 27,190 hectare Roccastrada concession is to the south of the town. Both Mensano and Roccastrada exhibit the area's typical sedimentary and metamorphic rock formations and overlie a large inferred heat source that powers the major regional geothermal system.
Dr. Catherine Hickson, Magma's Vice-President Exploration and Chief Geologist, said, "Magma is very pleased to have won these concessions. This is one of the world's largest geothermal power regions and we are confident there is abundant potential for the discovery of additional resources. Italy also has excellent incentives in place for green energy, with power prices as high as €180/MWh, and I look forward to these concessions forming the basis for a successful long term geothermal exploration and development business for Magma in Tuscany."
About Magma Energy Corp.
Magma Energy Corp. is a global geothermal power company which operates, develops, explores and acquires geothermal energy projects. We have an extensive portfolio of properties throughout the western United States, Iceland and Latin America, including one operating power plant in Nevada and two in Iceland.
Mar 29, 2011
Ram Power Reports Positive Drillling Results at its Geothermal Power Project in Nicaragua
CanGEA member, Ram Power, Corp. (TSX: RPG), announces 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.”
Source: ThinkGeoEnergy.com
Mar 28, 2011
CanGEA AGM: Deadline for Voting Documents is Wednesday
Announcement from CanGEA:
CanGEA Members,
The Canadian Geothermal Energy Association (CanGEA) will be hosting their 2011 AGM on Friday, April 1st, 2011 at 11 AM MST. As CanGEA members you have the opportunity to vote on the selection of an auditor, proposed by-law changes, and select nominated Directors for the CanGEA Board. The AGM will be held online as a Webinar (login information is provided below).
As the event is being held “online” as a webinar, we ask that you please submit your voting document to brian(at)cangea.ca no later than 5 PM MST on Wednesday, March 30th, 2011. Your vote will be cast at the April 1st, 2011 AGM as a proxy vote by the Board Secretary, Brian Toohey. CanGEA will also be reviewing eligible voting members on March 31st, 2011 in accordance with current CanGEA by-laws.
If you have any questions regarding the AGM, or Voting Document, please contact brian(at)cangea.ca
Mar 23, 2011
2011 Federal Budget Invests in New Clean Energy Technology Initiatives says CanGEA
The Canadian clean energy technology sector will benefit from the inclusion of new clean energy technology initiatives in the 2011 Federal Budget released yesterday.
“Some of the elements of yesterday’s federal budget are positive for development of geothermal energy projects in the country, and we were encouraged by the allocation of funds to research environmentally-friendly energy technologies. CanGEA urges the federal government to go one step further and establish a national program for geothermal energy that could unlock more than 5,000 MW of geothermal power potential in Canada, which would provide Canadians clean and renewable energy that is available around the clock,” commented Alexander Richter, Director of CanGEA.
In the 2011 federal budget, the Government of Canada included the following commitments that have implications for geothermal energy projects in the country:
• Renewed funding of $97 million for technology and innovation in the areas of clean energy and energy efficiency
• $8 million in funding for the promotion of deployment of clean energy technologies in Aboriginal and Northern communities
• $40 million allocated as part of the Sustainable Development Technology Canada (SDTC) program to support the development and demonstration of new clean technology projects on a not-for-profit basis.
• Expansion of tax support for clean energy generation through the provision of an accelerated capital cost allowance rate.
The SDTC program’s ‘new technology’ requirement limits the eligibility of the majority of geothermal projects today, but could help some projects to get off the ground. CanGEA members are currently developing 8 geothermal projects in British Columbia, Alberta, the Northwest Territories and Saskatchewan that could benefit from funds made available in this budget.
Geothermal energy, as a renewable energy source, not only provides a clean and renewable option for electricity generation around the clock, but also efficient and competitive heating options for Canadians all over Canada.
With the expected resource potential of Canada, electricity generated by geothermal energy could replace approximately 10 nuclear power plants and provide up to 10% of Canada’s total electricity generation as of today. It could provide more than 9,000 permanent jobs and approximately 30,000 temporary manufacturing and construction employment.
For more information contact:
Alexander Richter, CanGEA Director,
.(JavaScript must be enabled to view this email address)
Phone: (011) 354 618 5304
Website: http://www.cangea.ca
About the Canadian Geothermal Energy Association (CanGEA)
CanGEA is the collective voice of Canada's geothermal energy industry. As a non-profit industry association, CanGEA represents the interests of our member companies with the primary goal of unlocking the country's tremendous geothermal energy potential. Geothermal energy can provide competitively priced, renewable, round-the-clock energy to the Canadian and U.S. markets
Mar 21, 2011
Final Call for Papers: CanGEA Invites Members to Submit Papers to the Geothermal Forum at the WPC
The Canadian Geothermal Energy Association (CanGEA), invites its members to participate in the Geothermal Session Forum at the 2011 World Petroleum Congress, December 4th - 8th, 2011, in Doha, Qatar.
CanGEA chair, Alison Thompson, has been selected as the Geothermal Forum Chair for the event. The Geothermal Session Forum will focus on geothermal power development as it continues to increase in importance in the international energy market " This is a great opportunity for our member companies to communicate their expertise and interest in geothermal at the world’s most important petroleum conference. This year, the WPC puts extra focus on complimentary energy sources and future energy and there are places to be awarded to the best papers and posters. Over 5000 delegates will be attending this monumental cross-industry event, so it is an important platform for the geothermal industry players to take part in. " said Alexander Richter, Director CanGEA.
In order to participate in the Forum, a 300 word abstract must be submitted by March 31st, 2011. Abstracts will be reviewed by Forum Chair, Alison Thompson. For more information, and to submit your abstract online, please visit the 20th WPC website
Mar 18, 2011
Last Business Day for CanGEA 2011 Board Nomination
Reminder to send in board nominations for 2011
On March 11th, CanGEA announces the 2011 Annual General Meeting, which will be held April 1, 2011. Nominations for the 2011 CanGEA Board of Directors will close March 20, 2011. Please send your nominations to .(JavaScript must be enabled to view this email address)
After all nominations are received voting will commence and all voting forms must be received by March 30, 2011 at the end of business day Pacific Standard Time
Mar 16, 2011
Call for Expression of Interest: Development of 800MW Geothermal Plant in Kenya
Geothermal Company Limited call for expressions of interest in Bogoria-Silali block phase 1. Development of 800 MW geothermal plants.
1. Introduction
Geothermal Development Company Limited (GDC) is a 100% state-owned corporation, tasked with accelerating development of geothermal resources in Kenya. GDC is supporting development of at least 10,000MW by 2030 in line with Vision 2030 targets.
GDC is undertaking steam field development in the Bogoria-Silali Block which comprises Bogoria, Baringo, Arus, Korosi, Chepchuk, Paka and Silali prospects. Detailed surface studies estimates the Block’s potential to be about 3000 MW. The current plan is to develop 2000 MW within this Block in four phases; Phase I- 800 MW by 2017, Phase II-400 MW by 2019, Phase III-400 MW by 2021 and Phase IV-400 MW by 2023.
2. Status and Electricity Demand
The current peak power demand stands at about 1,200 MW and is projected to grow by 10% to at least 17,000 MW over the next 20 years.
3. Project Development Plan
The 800MW Bogoria-Silali Phase I Geothermal Project in configurations of 8x100MW power plants is projected to be completed by 2017. A total of 200 wells will be drilled using 8 rigs starting in January, 2012.
4. Project Status
Detailed surface studies have been completed and acquisition of regulatory licenses is in progress. Infrastructural development will start from July, 2011.
5. Objective of EoI
GDC intends to short list potential investors to develop 8x100MW power plant units at its Bogoria-Silali Block.
6. Investment Scope
6.1 GDC
Under this project, GDC will undertake Resource Development and Management Covering the Development of Civil Infrastructure, Exploration and Appraisal Drilling, Feasibility Studies, Production Drilling, Reservoir, Condensate and Brine System Management.
6.2 Investors
The Investors role will include financing, design, construction, operation and maintenance of the power plants. In addition, subject to positive feasibility study, GDC will require the selected investors to partner in financing the steam development. Funds obtained from the investors, on terms and conditions to be agreed, will be a loan to GDC which will be repaid from steam sales revenues. While steam field is under development, the investor will have the opportunity to install wellhead generation units for early power generation. The Government of Kenya will not provide sovereign guarantees relating to this investment and therefore the investors should seek other alternatives such as MIGA (World Bank)
7. Bidding Timeline
This Expression of interest will result in short listing of interested investors who will be invited to submit proposals. It is expected that the short listing will be completed by September, 2011 followed by request for detailed proposal. The Selection of preferred investors will be completed by December, 2012. The award to the preferred investors will be subject to the investor successfully negotiating a Power Purchase Agreement (PPA) with Kenya Power and Lighting Company Limited (power off-taker), securing a generation license from the Energy Regulatory Commission, conclude a steam (fuel) supply agreement with GDC, obtain ESIA license for power generation from NEMA and conclude financing within ONE (1) YEAR from December 2012. A period of 30 months will be provided for power plant construction.
8. Evaluation Criteria
Interested Investor(s)/Consortium must provide information indicating that they are qualified to successfully undertake the envisioned development. Short listing of Investor(s)/Consortium will be based on the following:
i. Capability to mobilize adequate financing for the power plant. The expected capital structure for the power plants is at least 25% equity and 75% debt. The interested investor(s)/consortia shall establish that they have the capability to raise at least US$ 400 million for the development of each 100 MW supported by letters from credible financier(s).
ii. Certified copies of audited annual reports for the last five years, articles and memorandum of association and certificate of incorporation will be required.
iii. Evidence of experience in geothermal/thermal project implementation with at least one project of a size not less than 30 MW implemented in the last 10 years.
iv. A list and CV’s of the consultants/ contractors they propose to employ for the development including names of their lead project managers within their organizations, contractors and consultants.
v. A list of names, location, current power plant(s) status and size of geothermal/thermal projects undertaken by themselves or their proposed consultants and contractors in the last 10 years including indicative project costs.
iv. Declaration of all pending litigation(s) against the investor(s)/consortia which shall in total not represent more than 10%, (ten percent) of the investor(s)/consortia’s net worth.
Interested investors may request in writing for further information and clarifications on this matter at the following address:
Mr. Abraham K. Saat
Manager, Supply Chain
Geothermal Development Company Limited
Taj Tower, 9th Floor, Upper Hill Road, Upper Hill
P.O. Box 100746 – 00101
NAIROBI,
KENYA
E-mail: .(JavaScript must be enabled to view this email address) and copy to .(JavaScript must be enabled to view this email address)
Tel: + 254 (20) 2427516 or +254 (719) 036000
Any updates on this EOI will be posted on the GDC website
9. Submission of Expressions of Interest
One (1) Original and two (2) Copies, of Expressions of Interest in English and in a sealed envelope, superscribed “Expressions of Interest, - Bogoria – Silali Block Phase I: Development of 800 MW Geothermal Power Plants” and bearing the address below, must be deposited in the Tender Box on the 1st Floor, GDC Riverside Office, Riverside Drive, Nairobi no later than 14:00hrs on August 8th, 2011. All late submissions will be rejected.
The Managing Director & CEO
Geothermal Development Company Limited
Taj Tower, 9th Floor, Upper Hill Road, Upper Hill
P.O. Box 100746 – 00101
NAIROBI, KENYA
E-mail: .(JavaScript must be enabled to view this email address)
GDC reserves the right to reject any or all Expressions of Interest without engaging any investor whatsoever.
Mar 15, 2011
Ormat Signs Power Purchase Agreement with NV Energy
Ormat Signs Power Purchase Agreement with NV Energy Under 20-Year Agreement, Northern Nevada Geothermal Power Plant to Supply 30MW
(RENO, Nev.) March 15, 2011 – Ormat Technologies, Inc. (NYSE: ORA) announced today 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.”
For further information contact Ormat
Mar 11, 2011
Announcement of AGM; Call for Board Member Nominations
CanGEA is pleased to announce the 2011 Annual General Meeting, which will be held April 1, 2011. Nominations for the 2011 CanGEA Board of Directors are now open and will close March 20, 2011. Please send your nominations to .(JavaScript must be enabled to view this email address)
After all nominations are received voting will commence and all voting forms must be received by March 30, 2011 at the end of business day Pacific Standard Time.
Mar 10, 2011
Capricorn Announces Caldera Geothermal Inc.‘s Appointment of Zohrab Mawani as CEO
Capricorn Business Acquisitions Inc. (TSX Venture: CAK.P, “Capricorn”) is pleased to announce that Mr. Zohrab Mawani has been appointed as the Chief Executive Officer of Caldera Geothermal Inc. (“Caldera”), effective February 14, 2011. Mr. Mawani has been a director of Caldera since December 2010. Capricorn has signed a binding letter of intent to complete a Qualifying Transaction (the "Qualifying Transaction") with Caldera as most recently disclosed in Capricorn's press release dated December 9, 2010. It is proposed that, on completion of the Qualifying Transaction, Mr. Mawani will assume the position of Chief Executive Officer of Capricorn (subject to the approval of TSX Venture Exchange).
Since 2002, Mr. Mawani has been active in development and M&A for wind, solar, geothermal, biomass and hydro. From November 2009 to January 2011, he led Canadian business development activities in renewable energy for Samsung C&T where his focus was the implementation of the 2,500 MW Green Energy Investment Agreement between the Government of Ontario, Samsung C&T and Korea Electric Power Corporation. Mr. Mawani’s role included strategy, acquisitions, Greenfield development, equipment supply and power purchase agreement negotiations, as well as government relations.
Previously, Mr. Mawani held a management position with GDF SUEZ North America from 2004 to 2009. Mr. Mawani played a key role in the development of several utility scale wind farms in Canada. Three of these are now in operation and the West Cape Wind Farm (99 MW), in early 2007, became the first Canadian wind energy facility to export power to the United States. Mr. Mawani was instrumental in the growth of Ventus Energy, a Canadian junior wind development company, and the subsequent sale of the company in 2007 to GDF SUEZ for approximately $140 Million. Mr. Mawani is a professional geoscientist registered with the Association of Professional Geoscientists of Ontario. Mr. Mawani completed an honors bachelor of science degree at Queen’s University in 1994 and studied Geographic Information Systems at the British Columbia Institute of Technology in 1995. "I am very excited to join Caldera at this stage of the company’s growth,” said Mr. Mawani. “Caldera’s technical expertise and expanding project opportunities, in particular McGee Mountain, will contribute to this growth and I look forward to leading the company in its objective of advancing its pipeline of geothermal projects to operation.”
Lewis Reford, Chairman of Caldera, commented: "We are delighted that Mr. Mawani is joining the company, especially as Caldera is at an inflection point in terms of its project development and its capital markets profile. Mr. Mawani brings exceptional experience and expertise in taking early stage renewable energy projects through to the production stage in addition to navigating the complexities of corporate business development, joint ventures and the like. The geothermal industry has entered a phase where joint venturing and asset monetization is becoming more mainstream, and the Board is confident that Mr. Mawani’s skillset is ideally suited to position Caldera in the middle of this considerable activity ."
Michael Newman will be retiring as Caldera's CEO, and will remain as a director of Caldera. Lewis Reford stated: “We wish to thank Michael for his invaluable leadership over the past year. He was instrumental in the company’s growth and I know he will continue to play an important and active part in the company through his role on the board.”
About Caldera Geothermal Inc.
Caldera is a geothermal exploration and development company focused on the Great Basin region of the western United States. The Great Basin is attractive for geothermal development because it possesses proven geothermal resources, it is close to large markets for renewable power, and it benefits from a favourable regulatory environment. Caldera uses an innovative exploration approach to discover new geothermal systems while mitigating technical and financial risk in the early and middle phases of resource identification. Caldera currently controls approximately 20,000 acres of geothermal leases in Nevada including its McGee Mountain project in northwestern Nevada, for which Caldera was awarded a $1.6 million Department of Energy grant to further develop the property, and its Teels Marsh property.
About Capricorn Business Acquisitions Inc.
Capricorn is a TSX Venture Exchange listed company and classified as a Capital Pool Corporation as defined in the TSX Venture Exchange Policy 2.4. Capricorn’s principal business is the identification and evaluation of assets or businesses with a view to completing a Qualifying Transaction within the meaning of Exchange policies.
For further information, please contact:
Capricorn Business Acquisitions Inc.
Yvan Routhier President and Director
(514) 352‐5546
.(JavaScript must be enabled to view this email address)
Caldera Geothermal Inc.
Zohrab Mawani
Chief Executive Officer
(416) 557‐6922
.(JavaScript must be enabled to view this email address)
Source: Caldera Geothermal Inc.
