The Geothermal Energy Association brings you this week’s leading news and member company headlines.
*GEA Applauds Senate Finance Committee Interest in Extending Credits for Geothermal Energy
*Two Dozen Countries to Be Represented as Global Geothermal Community Gathers with Policy Makers on Earth Day
*Nevada a $5 Billion Clean Energy Success Story
*GEA Director to Speak at Policy and Market Innovation Renewables Forum
*Agua Caliente: Walker Ranch to Create Jobs with 25-MW Project
*CalEnergy: Imperial Valley Economic and Development Corp Awards 2014 Company of the Year
*Ram Power: 2013 Year-End Results to be Released March 31
*US Geothermal: 2013 Year-End Results and 2014 Guidance Available
*US Geothermal: Lease Signed for Site South of Vale, Oregon
*GEA Welcomes New Member Companies Wanzek Construction, PetroLocate, Hanjin D&B, Layman Energy Associates, and Consent Energy
Above: Hundreds of skilled professionals are involved in a geothermal power plant project like the ones happening in Nevada, which has more geothermal projects under development than any other U.S. state. Our Graph of the Week shows that the range, from start to finish, is estimated to be up to a total of about 860 people needed to make a geothermal project happen, with the majority of people involved in the Design and Construction stage. Please note that this includes indirect and induced jobs along with full-time jobs. Geothermal energy has played a key role in making Nevada a leader in clean energy, which is now a $5 billion market in the state, as celebrated by U.S. Senator Harry Reid and Nevada Governor Brian Sandoval in a press conference this week. Ormat Technologies and Gradient Resources, two GEA member companies that have both brought new geothermal power plants on line in the state in recent months, creating jobs in the state, were represented at the event.
GEA Applauds Senate Finance Committee Interest in Extending Credits for Geothermal Energy
The Senate Finance Committee is planning to begin work on a tax extenders package at the beginning of April, reports Politico. The geothermal production tax credit and other energy tax breaks, which expired on Dec. 31, are included in the $50 billion package. Companies could potentially qualify for benefits retroactively since Dec. 31 if the credit is extended.
This week, the Geothermal Energy Association sent the following letter to Senators Ron Wyden and Orin Hatch:
Dear Chairman Wyden and Ranking Member Hatch,
I am writing on behalf of the members of the Geothermal Energy Association to express strong support for inclusion of an extension of the renewable energy Production Tax Credit and Investment Tax Credit in any tax extenders legislation. Unfortunately, these credits expired at the end of 2013 for new geothermal power projects and their absence is undercutting the continued growth of the industry. As you know, geothermal energy projects provide reliable renewable power and with continued support can play an important role in the nation’s electricity future.
We applaud the Committee’s interest in acting on tax extenders, and believe that an extension of these credits is important to provide for a transition until long-term tax reform can be enacted. We remain ready and willing to engage in discussions related to tax reform, and we look forward to working with you on that effort.
We urge the Committee to act quickly to extend the tax credits for geothermal and other renewable technologies.
Two Dozen Countries to Be Represented as Global Geothermal Community Gathers with Policy Makers on Earth Day
GEA Press Release (Washington, D.C.) March 26 ~ Representatives from 24 countries will come together with Washington leaders for the GEA International Geothermal Showcase in Washington D.C. on Tuesday, April 22. The Showcase will examine the outlook for the geothermal market and the policies driving geothermal development. The Geothermal Energy Association will release the results of its new annual U.S. and International Market Update exclusively to event attendees. The event is hosted by the Geothermal Energy Association and made possible by Green level sponsor POWER Engineers/Galena Advisors.
“This Showcase is an opportunity to bring global geothermal leaders from government and industry together to review accomplishments, expand collaboration and discover new opportunities,” said GEA Executive Director Karl Gawell. “Much of the world is rapidly expanding efforts to harness the Earth’s energy and they continue to see America as world geothermal power leader with strong technological know-how.”
Countries that will be represented at the event will include the Philippines, Nicaragua, India, Belgium, Germany, Nigeria, Colombia, Fiji, Iceland, Commonwealth of Dominica, Tanzania, Japan, Switzerland, Uganda, Kenya, Taiwan, New Zealand, Ethiopia, Indonesia, Romania, Turkey, Italy, United States and Slovakia. Additional country participation is anticipated.
GEA’s new U.S. and International Market Update will report that international geothermal power market is booming, with nearly 700 geothermal projects under development in 76 countries. And after a recent lull in production, the United States is poised to experience significant growth from new initiatives in Nevada, California and Oregon.
The International Showcase will feature keynotes from Ambassador Carlos Pascual, Special Envoy and Coordinator for International Energy Affairs, U.S. Department of State and Ali Zaidi, Deputy Director for Energy Policy, White House Domestic Policy Council. The program will also host international leaders including Jorg Baumgartner, Managing Director, Bestec; Horst Kreuter, Director, Geothermal Power Tanzania; Sanusi Satar, Senior Management Representative, Star Energy Holding Ltd.; Eng. Stanley Kamau, Director, Public Private Partnership (PPP) Unit, Ministry of Finance, Kenya; Dr. Silas Simiyu, Managing Director, Geothermal Development Company; Gosaye Mengistie Abayneh, Director, Energy Studies and Development, Ministry of Water, Irrigation and Energy, Ethiopia; Dr. Markus O. Häring, Geo Explorers Ltd.; Hiroshi Asanuma, National Institute of Advanced Industrial Science and Technology (AIST); and more.
For more information or to register, please visit http://www.geo-energy.org/events/April_22_2014_International%20GEA_Forum.aspx. For questions regarding sponsorships, please contact Kathy Kent at Kathy@geo-energy.org. A media availability on GEA’s new U.S. and International Market Update will be held at the Showcase at 12:00pm ET. To request media credentials, please contact Shawna McGregor, The Rosen Group, 917 971 7852 or firstname.lastname@example.org.
Nevada a $5 Billion Clean Energy Success Story
Press Release (LAS VEGAS, NV) March 20 ~ Clean energy investment in Nevada has accelerated rapidly in the past five years thanks to Nevada’s widespread leadership and support for the clean energy economic sector, reaching at least $5.5 billion just since 2010, according to a new report available at cleanenergyprojectnv.org.
“Las Vegas and Nevada are leading the way on deploying clean renewable energy,” U.S. Senate Majority Leader Harry Reid said today during a press conference at the famous “Welcome to Fabulous Las Vegas” sign (entirely solar-powered since January). “These technologies are creating thousands of jobs. And they are strengthening our state’s electricity supply. But, there is more we must do. From providing predictable and fair tax incentives that level the playing field, to quickly approving permits for projects on public lands, we can help clean energy grow in Nevada and nationwide.”
Gov. Brian Sandoval stated, “Nevada is a leader in renewable energy production, leveraging our natural resources to bring large-scale economic investment and high-paying jobs to our state. Through the dedication and leadership of our local, state, and federal officials, Nevada has repeatedly demonstrated its commitment to renewable energy development and is now well-positioned to lead the nation in this emerging industry.”
Senator Reid and Governor Sandoval were joined by the Las Vegas-based Clean Energy Project and industry leaders, Tom Kiernan, CEO of the American Wind Energy Association, and Ken Johnson of the Solar Energy Industry Association, in releasing a new report documenting Nevada’s success story, Renewable Energy Powers Silver State as a Clean Energy Industry Hub.
“Investing in clean energy is investing in Nevada’s future,” said Lydia Ball, Executive Director of the Clean Energy Project. “As our state’s government, business and community leaders continue to work together, the $5 billion investment in utilizing Nevada’s abundant solar, wind and geothermal resources is only the beginning of the state’s strong clean energy industry.”
Nevada’s emergence as a renewable energy hub will also be symbolized by four major trade conferences being held this year in Nevada:
*The Solar Energy Industries Association will hold its flagship annual event, Solar Power International, at the Las Vegas Convention Center, Oct. 20-23, 2014. Registration at http://www.solarpowerinternational.com
*The American Wind Energy Association will bring North America’s leading wind energy conference and exposition, WINDPOWER, to the Mandalay Bay in Las Vegas, May 5-8, 2014. Registration and details http://www.windpowerexpo.org
*The Geothermal Energy Association will hold its National Geothermal Summit in Reno, Aug. 5-6, 2014. See http://www.geo-energy.org
*The National Clean Energy Summit 7.0 will be held in Las Vegas in early September 2014. Senator Reid will be announcing the event soon. Registration and details (once announced) at http://www.cleanenergysummit.org
“As the sunniest state in the nation, Nevada has unlimited potential to expand its use of clean, reliable solar energy, which will create even more new jobs and help to power the state’s economy,” said Ken Johnson, Vice President for Communications of the Solar Energy Industries Association. “Today, Nevada ranks sixth in the United States in installed solar capacity, representing an investment of more than $2.3 billion – and that number is growing every day,”
Tom Kiernan, CEO of the American Wind Energy Association, remarked that “Las Vegas is the perfect place to celebrate how affordable and widespread wind energy has become, since Nevada’s first utility-scale wind farm is part of this $5 billion renewable energy boom for the state, and more wind energy is on the way. We’re happy to be coming back in six weeks to host North America’s largest wind energy conference and exhibition in Las Vegas, May 5-8.”
Several of the private investors and companies who have invested over $5 billion to Nevada recently were represented at the event, and are available for follow-up interviews:
*Kathy Weiss, VP of Federal Affairs, and James Woodruff, VP of State and Local Affairs, FirstSolar
*Paul Hemsath, Vice President Corporate Assets & Control, Gradient Resources (geothermal)
*Heidi Bethel, Public Relations Manager, Ormat Technologies Inc. (geothermal)
*George Hardie, developer of Pattern Energy’s Spring Valley Wind Farm, the first in Nevada
For a copy of the new report, Renewable Energy Powers Silver State as a Clean Energy Industry Hub, please see cleanenergyprojectnv.org
GEA Director to Speak at Policy and Market Innovation Renewables Forum
GEA’s Executive Director, Karl Gawell, will speak this week at ACORE’s National Renewable Energy Policy Forum. Geothermal energy will play an important role in the future of energy markets in the U.S.
U.S. renewable energy and fossil fuel energy markets are rapidly evolving as industry innovates and deploys new technology, paving the way for a rebirth of U.S. energy production leadership. The U.S. renewable energy industry is one of the fastest growing sectors of the US economy presenting important economic and environmental security opportunities. Since 2008, surpassing all other sources, more than 37% of all new U.S. power capacity has been generated by renewable energy resources. Renewable fuels and electric vehicles are enabling customer choice and breaking our century long dependence on a single fuel source. A combination of private sector investment and innovation, as well as, federal and state policy has driven substantial renewable energy cost reduction, scale-up and an expanding value chain throughout the country.
As these power and transportation markets develop, policy needs to evolve to keep up with the pace of and foster even greater innovation. Industry needs a consistent and long-term policy to optimize investment, development and use of the nation’s abundant and cost-competitive renewable energy resources. ACORE’s National Renewable Energy Policy Forum will convene the renewable energy industry to chart the path forward for pro-growth, constructive and bipartisan renewable energy policy that will foster additional private sector investment and innovation.
Renewable energy leaders and policy makers from Capitol Hill and across the country will assess renewable energy market growth and make the case for a coherent, long-term and consistent federal policy framework to accelerate the transformation of our nation’s energy sector. Learn more about the Forum at http://acorepolicyforum.com/. GEA members receive a 20% discount at http://www.cvent.com/d/94qpjj/4W. When registering, please select “Supporter” as the registration type and enter your Discount Code SPT20GE on the payment page.
Agua Caliente: Walker Ranch to Create Jobs with 25-MW Project
(Edited 3/27/14) A Twin Falls, Idaho newspaper reports: Agua Caliente has drilled three successful production wells at the Walker Ranch site, on the Raft River aquifer, where the company is looking to build a 25-MW geothermal power facility and bring it into service by 2016. The project cost is $150 million and it is expected to be a strong job creator. Walker Ranch is near U.S. Geothermal Inc.’s 10-MW Raft River project.
“Things are going well, so that means the technology they used and the data they obtained is valid, and it’s cool to see that happening,” Steve Lubinski, geologist for the U.S. Bureau of Land Management’s Burley field office told press. “Out at Raft River, you’ve got hundreds of small fractures in the rock, if not thousands. You’ve got faults that offset different areas. And so it’s a lot more complex to try to analyze all that data and it takes a lot more (data).”
CalEnergy: Imperial Valley Economic and Development Corp Awards 2014 Company of the Year
Press Release, March 19 ~ The Imperial Valley Economic and Development Corporation (IVEDC) recognizes CalEnergy Operating Corporation as the 2014 Company of the Year. On March 14, Tom Topuzes, IVEDC board member, presented the Imperial Valley Renewable Energy Corporate Leadership Award to CalEnergy Operating Corporation representatives at the Imperial Valley Renewable Energy Summit in Southern California.
The annual award is presented to an organization that has contributed significantly to growing the renewable energy industry to the benefit of the region.
“With more than 25 years of strong performance providing geothermal-generated electricity to customers and communities in the southwestern U.S., IVEDC recognizes the achievements and local commitment CalEnergy has demonstrated year after year,” Topuzes said.
“CalEnergy is honored to receive this award,” said Steve Larsen, president, CalEnergy. “We are committed to the local community and more than 240 employees. We recently renewed our long-term commitment to the area with an announcement to invest more than $1 billion in capital improvements to our existing facilities to sustain the geothermal energy generation for California and surrounding areas for the next 30 years. It is great to have the community support behind us as well.”
“CalEnergy represents the single-largest tax revenue provider in Imperial County and the largest customer of the Imperial Irrigation District,” said Jim Hanks, Imperial Irrigation District board member. “Geothermal generation and its development in the Imperial Valley are essential components of the future success of our community and safeguarding of the environment. We are thankful CalEnergy is doing its part to facilitate growth in the local economy.”
The Imperial Valley Economic Development Corporation is a partnership of private enterprise and local government that is united by the common vision of expanding and diversifying the local economy. Its investors include public and private organizations that benefit from the growth of the regional economy.
Ram Power: 2013 Year-End Results to be Released March 31
Ram Power Press Release (RENO, NV) March 24 ~ Ram Power, Corp. (TSX: RPG), a renewable energy company focused on the development, production and sale of electricity from geothermal energy, today announced that it will release its financial statements for the fiscal year ended December 31, 2013 on March 31, 2014. Management will discuss 2013 financial results and other matters during a conference call and live audio webcast on April 7, 2014 at 10:00 am EDT (7:00 am PDT).
To access call, please dial: 1-866-696-5910, Pass code: 1658549. Webcast: http://bell.media-server.com/m/p/xvc6oofu. Replay (available until April 14, 2014): 1-800-408-3053, Access code: 7851167. A transcript of the call will be available at www.ram-power.com.
US Geothermal: 2013 Year-End Results and 2014 Guidance Available
Company Press Release (Boise, Idaho) March 26 ~ U.S. Geothermal Inc. (NYSE MKT: HTM, TSX: GTH), a leading renewable energy company focused on the development, production, and sale of electricity from geothermal energy, announced today its financial and operating results for the 12 months ending December 31, 2013 (the “Year End”), and provided updated guidance for 2014, along with notable achievements for 2013. This earnings release should be read in conjunction with U.S. Geothermal’s financial statements, and management’s discussion and analysis, which are available on the Company’s website at http://www.usgeothermal.com and have been posted on SEDAR at http://www.sedar.com and at the U.S. Securities and Exchange Commission website at http://www.sec.gov.
Revenue for the Year End period was $27.4 million, compared to $9.8 million for the prior year period. EBITDA for the Year End period was $14.5 million, compared to ($0.5) million for the prior year period. Net Income (Loss) for the Year End period was $4.1 million, compared to ($4.3) million in the prior year period. Net Income (Loss) attributable to U.S. Geothermal for the Year End period was $1.9 million, or $0.02 per share, compared to ($3.0) million, or ($0.03) per share in the prior year period.
“We are proud to report that our performance for 2013 exceeded our expectations, with Generation, Revenues, EBITDA, and Net Income all exceeding the high end of the guidance that we had previously provided for calendar year 2013.” said Dennis Gilles, U.S. Geothermal’s Chief Executive Officer. “Wrapping up the year with an especially strong fourth quarter performance allowed us to not only meet, but beat, the guidance we had previously provided. All three facilities are operating with availability percentages in the mid to high 90’s. Our operating team has done an outstanding job of ensuring consistently strong generation from each facility.”
U.S. Geothermal provides 2014 full-year guidance for Operating Revenue estimated between $27 and $31 million, 2014 EBITDA estimated between $13 and $16 million, and provides 2014 full-year guidance for Net Income of between $2.5 and $5.5 million.
US Geothermal: Lease Signed for Site South of Vale, Oregon
In Oregon, U.S. Geothermal and Malheur County officials have signed a lease that gives the company exclusive rights to explore for, and eventually produce and sell, geothermal potential. The 133-acre site is south of Vale, while the company’s Neal Hot Springs geothermal plant is located west of Vale. The primary term of the lease will be for 10 years with an initial payment of $3,000 and up to 30 years with a $1,500 annual payment to the county.
GEA Welcomes New Member Companies Wanzek Construction, PetroLocate, Hanjin D&B, Layman Energy Associates, and Consent Energy
Juliana Glenn, GEA staff ~ The Geothermal Energy Association extends a warm welcome to our new members. GEA is dedicated to providing our members with the valuable information, resources, and networking opportunities companies need to grow and thrive. Membership dues provide the bulk of financial support for GEA and directly facilitate our efforts to engage policy makers on key industry issues, organize events, and produce industry data, reports, and publications. We would like to thank all of our members for their support.
New GEA members in 2014 are:
Wanzek Construction is a ND based contractor with over 40 years of experience that offers turnkey solutions for the renewable energy industry and power plant design and construction services for the geothermal industry. Their website can be found here.
PetroLocate, located in WA,offers the PL14 seismoelectric technology for detection of geothermal reserves to over 6,000 feet which helps companies avoid the risk of drilling expensive wells. Their website can be found here.
Hanjin D&B, a South Korean drilling equipment and tool manufacturer,has 26 years of experience and has sold over 5000 drilling rigs. They offer many different types of drills and tools specifically for the geothermal industry. Their website can be found here.
Layman Energy Associates of CA is a geothermal consultant and geothermal project development firm that provides contract geothermal research, exploration, project feasibility and analysis, and reservoir assessment. Their website can be found here.
Consent Energy LLC, based in DC, provides financial, technical, and policy consultancy as well as engineering services for the geothermal industry. As of a December 2013, Consent Energy began a project evaluating possible geothermal power projects in Africa. Their website can be found here.
If you are not currently a member, we would like to invite you to take part in the benefits of joining our community of 100+ members. Members are listed in GEA’s searchable online Member database with links to company websites, and are privy to networking opportunities with private and federal organizations. GEA’s members have access to presentations from previous GEA events as well as additional information resources. They also receive discounts for all employees to attend GEA events, and are eligible to win major GEA Honors Awards, participate on GEA committees, and be speakers or panelists at GEA events. More information about membership options can be found here.