Alternative Energy / Geothermal Energy

• Incredible Geothermal Energy Potential in the United States

  USGS estimates 500,000 MWe of EGS geothermal resource potential lies beneath the western United States. This is approximately half of the current installed electric power generating capacity in the United States. _EERE PDF The US could be producing 32 million times more geothermal electrical power than it does at present. The U.S. produces more than 100,000 gigawatt-hours per year of geothermal electricity already, but it could produce as much as 3.2 trillion gigawatt-hours. ...the Earth's heat never stops—meaning a geothermal power plant can produce electricity as regularly as a nuclear power plant can. And it also has nearly no emissions…

• Financiers Bullish on Geothermal, But Industry Must Address Drilling Risks

  Renewable energy financiers are bullish on the geothermal sector, but resource and drilling risks still make them skittish. Total investment in the clean energy sector reached a record $243 billion in 2010, but only $1.8 billion, or 0.76%, was directed at the geothermal sector, Mark Taylor, head of the finance team at Bloomberg New Energy Finance, told attendees of the Geothermal Energy Finance Forum in New York on Wednesday. The US geothermal sector will need $29 billion in financing over the next six years, said Arni Magnusson, executive director of international industries for Iceland-based Íslandsbanki, which finances geothermal projects worldwide.…

• US Geothermal Sector Set for Significant Growth in 2011

  The US geothermal power sector is poised for significant growth in 2011, thanks to the economic stimulus package. Approximately 500MW to 700MW of geothermal power projects will enter the final construction phase next year, an increase from 162MW in 2010 and 125MW in 2009, according to the Geothermal Energy Association’s (GEA) market update. Many of these projects would not have proceeded without government stimulus because of the recession, said Karl Gawell, GEA’s executive director. “Stimulus has been good news for geothermal energy,” he added. The Treasury grant provisions of the stimulus bill have played a key role in the geothermal…

• Major Step for the Geothermal Sector

  U.S. Geothermal announced this week a strategic partnership with Enbridge, one of North America's largest operators of oil and liquids pipelines. Under the deal, Enbridge will invest $23.8 million toward the development of Geothermal's Neal Hot Springs project in Oregon. The buy-in will net Enbridge a 20% direct ownership in the operation. This is another major step for the junior geothermal sector (they seem to be coming faster and faster these days). Endorsement from a company the size of Enbridge is striking in and of its self. Even more intriguing is the fact Enbridge is stepping well outside of its…

• Is Japan Next for Geothermal?

  Geothermal giant Ormat announced this week it's going to Japan. Ormat signed a cooperation agreement with Japanese construction conglomerate JFE Engineering. The deal calls for the two companies to work together in building geothermal power plants in Japan. Ormat supplies the equipment, and JFE does the work. This is a telling move from one of the world's largest geothermal players. There are a number of reasons Japan could be big for geothermal. The nation is a volcanic island. Like Hawaii, the Philippines, Kenya and New Zealand (all of which have significant geothermal development), it's relatively easy to locate geothermal systems…

• Geothermal Elbowing its Way into the Mainstream

  As I've mentioned a few times, geothermal looks to be approaching a rolling boil. A few more positive indicators on the sector presented themselves over the past week. First came news last week that the state of Alaska will reduce royalty rates for geothermal projects on state lands. Previously, state geothermal royalties had been set at a towering 10 to 15% of gross revenues. Under the new legislation, this will fall to 1.75% during the first ten years of income-generating production. After ten years, the rate increases modestly to 3.5%. This is a major boost for Alaskan geothermal. A 10%…

• Signpost Event Signals the Geothermal Business is Ready for Prime Time

  Scenario planners like Peter Schwartz often talk about "signpost" events. These are happenings, often small in and of themselves, which suggest a larger change rippling through the ether of a business, industry or nation. There have been a number of signpost events in the geothermal sector recently. A few months ago I discussed the emerging trend of advanced-stage geothermal projects being bought by major players in the sector such as Ormat. Yesterday came another important indicator. Oil-field services major Schlumberger buying out California-based GeothermEx consultants. GeothermEx is one of the top groups in the geothermal space doing project feasibility assessments.…

• U.S. Geothermal Projects Increase in Year, Extend to Gulf Coast

  The number of geothermal energy projects in the U.S. grew by 26% last year, to 188, as development of the alternative energy source spread from the western states to the Gulf Coast. Mississippi, Louisiana and Texas reported their first geothermal projects in 2009, according to a new report from the Geothermal Energy Association in Washington, while Utah quadrupled the number of projects, New Mexico tripled them and Idaho doubled them. Other states with projects are Alaska, Arizona, California, Colorado, Hawaii, Nevada, Oregon, Washington and Wyoming. Nine states currently are generating electricity from geothermal energy. In all, said the association, 15…

• New Framework for European Geothermal Industry Encourages Exploration Companies to Investigate New Resources

  I’ve received a copy of a new regulation framework for geothermal energy in Europe. Handed to me by a colleague last week, whose associate led the drafting of the document. Geothermal is still an infant industry. In many countries, governments lack even a basic mechanism for granting licenses on geothermal projects. There just isn't any legal-work around giving a company rights to hot groundwater. The new framework attempts to address this and several other issues for European governments. Giving them suggestions on how to administer and foster geothermal projects within their borders. Much of the document is straight-forward. The licensing…

• A Guide to Geothermal Energy

  What is Geothermal energy Geothermal energy is produced by utilising the heat from water reservoirs deep underground which have been heated by hot magma that lies close to the earth’s surface. The majority of Geothermal resources are normally found along tectonic plate boundaries where a large amount of volcanoes and earthquakes are concentrated. There are various methods in use by geologists in locating these reservoirs, but the only way to be certain is to drill a well and test the temperature. In the past we had been limited to fairly shallow reserves, but with recent advances in geothermal systems, which…