U.S. Geothermal wins 46 MW Idaho Power contract

Canada and Idaho-based U.S. Geothermal has been named the successful bidder for Idaho Power Company's request for geothermal electricity.

Negotiations for a 25-year power purchase agreement for an annual average of 45.5 megawatts will now begin, according to Daniel Kunz, President and CEO of U.S. Geothermal.

U.S. Geothermal was Idaho Power Company's selection for final negotiations regarding Idaho Power's request for proposals for up to 100 megawatts of geothermal power. A number of competing proposals were submitted in response to Idaho Power's August 2006 request for proposals.

U.S. Geothermal's proposal to develop an annual average of 45.5 megawatts, with a seasonal peak of 52 megawatts, includes:

• Full output for 26 megawatts from U.S. Geothermal's Neal Hot Springs property in eastern Oregon.
• Full output for 13 megawatts from Unit 1 of U.S. Geothermal's Raft River project, a 13-megawatt power plant under construction that will be online later this year. Idaho Power already signed a Power Purchase Agreement with U.S. Geothermal for the first 10 megawatts of electricity from that plant.
• Full output from June through November for 13 megawatts from Unit 3 of the Raft River project.

While U.S. Geothermal's proposals are contingent upon the viability of geothermal resources at Raft River and Neal Hot Springs, the company said current drilling results and other technical studies of the resources show promise of surpassing the requirements for the proposals.

"Flow tests and other studies of the Raft River hot water reservoir is consistent with our early modeling and seems to be quite promising," Kunz said. "We're optimistic development of this resource and Neal Hot Springs will yield strong returns for our investors."

Cleantech developments making news in the past 24 hours

• Econcern partners on €863M Chinese wind farm deal
• Behind the scenes at Cleantech Forum Shanghai
• Infinite Power raises $13M to ramp thin-film batteries
• Hawaii becomes next stop for Better Place
• Thar Technologies looks at India's karanj, jatropha for biodiesel

View the last week of cleantech developments here | Subscribe to full feed