News

Chile announces tender for 21 new geothermal exploration concessions

MP 3 drilling site, Chile (source: Magma Energy)
Alexander Richter 7 Sep 2010

The Chilean Ministry of Energy is announcing a tender for 21 new geothermal concession areas covering a total of 965,500 hectares and an estimated investment of US$100 million.

In a release by the Ministry for Energy in Chile, the Minister for Energy, Raineri announces a tender for 21 new geothermal concession areas.

Areas will be delivered geothermal exploration concessions covering a total area of 965 200 hectares and an estimated investment of 100 million dollars. A new legislation is also in the legislative process that is supposed to promote and help the industry.

According to the release, “The Minister of Energy, Ricardo Raineri, announced the opening of the call for a public tender process to award 21 areas of geothermal energy exploration between the regions of Tarapaca and Los Ríos. “This tender is part of the government plan to give new impetus to the development of geothermal energy, a clean and sustainable energy source that Chile needs to boost our economic growth, create jobs and eradicate poverty,” Raineri said.

The secretary of state also said the draft law amending the Law No. 19 657 on Geothermal Energy Concessions, is in first constitutional procedure in the House of Representatives. The law seeks to promote the industry by removing barriers and streamlining of procedures for the delivery of concessions for exploration and exploitation, while also ensuring that dealers engaged in such work as falls at different stages of the process.
The Minister explained that the Government’s goal is to provide more than 50 new licenses during the first year and 120 in the next two. Currently there are 24 exploration concessions and six operating force. “Geothermal energy will be one of the pillars of the development of unconventional renewable energy sources, and will have a key role in diversifying our energy mix,” said Raineri. The Minister said the government hopes that by 2020 20% of installed electricity capacity comes from URE.

Bidding Areas: The areas of the award have a total area of 965 200 hectares and an estimated investment of $ 100 million, and extend between the regions of Tarapaca to the Region de Los Rios.

(picture original table of announcement by Ministry)

The bases of the tendering process can be collected until September 30, 2010, while the act of submission and opening of tenders will be held on November 9, 2010.”

Information for the tender can be requested via this link.

Source: Ministry of Energy, Chile (in Spanish), thank you to Carlos Jorquera of GeoThermHydro for pointing out the news to me.