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Geothermal lease sale successfully concluded in the state of Nevada

Ubehebe Crater, Esmeralda, Nevada (source: flickr/ Bill Ward, creative commons)
Alexander Richter 24 Oct 2017

Ten out of 20 available geothermal leases have been successfully sold in a geothermal lease sale in the state of Nevada, with the largest parcel having been bought by Ormat Nevada.

As reported today, the U.S. Bureau of Land Management, managing federal land in the United States, received bids on geothermal leases in Nevada that brought in $78,444 in total receipts during an online auction held yesterday.

Twenty parcels totaling 38,308.46 acres were offered during the lease sale. Bids were received on 10 parcels, totaling 19,208.66 acres. The parcels were located in Churchill, Elko, Eureka, Esmeralda, Lander, Mineral and Washoe counties.

All parcels sold for $2 an acre. The largest amount received, $20,472, was from Ormat Nevada Inc. for a 5,078 acre parcel in Esmerelda County.

“By providing opportunities for energy development, the BLM is supporting job creation and the economy of local communities,” said Marci Todd, Acting BLM Nevada State Director.

Geothermal leases are for an initial 10-year period with 50 percent of the funds disbursed to the state, 25 percent disbursed to the county the lease is located in and 25 percent to the U.S. Department of the Treasury.

In Fiscal Year 2016, Nevada received approximately $3.9 million from royalties, rentals and revenues for geothermal leases.  Statewide, more than 26,000 jobs are tied to mineral and energy development on BLM-managed public lands. The previous geothermal sale was held on October 26, 2016.  That sale generated $130,522, selling 14 parcels, covering approximately 32,075 acres.

The next geothermal lease sale for Nevada is scheduled for October 23, 2018.

Source: BLM release