Californian geothermal operator orders four geothermal heat power units from Climeon
Californian geothermal operator orders four small-scale geothermal power generation units from Sweden-headquartered Climeon.
In a release, Swedish heat power technology company Climeon announces having received an order for a small-scale geothermal power plant in California. The market for small-scale geothermal plants has seen a surge in interest and is estimated to provide opportunities for development and investment with an estimated market volume of several billion dollars.
The total potential for geothermal power in the US is significant. According to the California Energy Commission, geothermal power is already delivering more than 17% of the states total renewable energy portfolio, with an installed base of 2,700 MW. If Climeon in the future would cover just 5% of the geothermal power that can be harnessed in California, it would translate into more than $1 billion worth of business for Climeon at the same time as it would create significant CO2 savings.
“We scanned the market for equipment to better utilize our resource and increase power from our 99°C geothermal resource and found Climeon to be the most attractive and flexible option that fits our needs. They offered the best technical solution and economics for us, which to a great extent derives from the high efficiency and relative operating and maintenance costs of the Climeon Heat Power system. We are now very eager to get the new power plant equipment up and running.” Peter Blood, Managing Partner of Wendel Energy Operations I.
“We are very excited to have been selected for this project. The potential for low temperature geothermal heat power is substantial and can be produced almost anywhere in the world. This new order, together with the high-volume order that we received earlier this year from Iceland, positions us as a key player in the transition from fossil fuels to renewable energy.” Thomas Öström, Founder and CEO of Climeon.
The customer, Wendel Energy Operations I, has ordered four Climeon Heat Power systems with delivery in 2018. The power plant has a fifteen years off-take agreement with a local utility and provides vital baseload power to the community. Climeon has been instrumental in structuring the financing of the project.
Wendel Energy Operations I is a small geothermal power plant operation in Susanville, California with a current installed geothermal power generation capacity of 750 kW with a PPA for up to 1 MW. The plant was bought by Cycle Power Partners from U.S. Renewable Group (USRG) back in 2014.
Sweden-headquartered Climeon provides heat power technology utilising waste heat and low-temperature geothermal energy to generate electricity with small-scale 150 kW units. These units can be put up in 7 modules of up to 1 MW or several MW in larger set ups.