Controlled Thermal Resources secures geothermal PPA in the Imperial Valley, California
IID & Controlled Thermal Resources (CTR) lead the charge for renewable energy in the U.S. with a new PPA signed for CTR's planned Hell’s Kitchen geothermal power plant at the Salton Sea, California.
In a release today, Controlled Thermal Resources and Imperial Irrigation District announce the successful completion of a power purchase agreement that indicates a promising new decade for baseload renewable energy in California and the United States.
IID and CTR, through its wholly-owned subsidiary, Hell’s Kitchen PowerCo 1, LLC, entered into the PPA on January 7, 2020, regarding the sale of energy from the Hell’s Kitchen geothermal facility.
The agreement consists of a 25-year term to supply IID with 40 megawatts of geothermal energy from the Hell’s Kitchen facility, located at the foot of the Salton Sea in the region’s internationally recognized “Salton Sea Known Geothermal Resource Area.”
The geothermal power facility is expected to be operational in 2023 and will coincide with the development of CTR’s integrated direct lithium extraction and conversion facility (Hell’s Kitchen LithiumCo).
“We’re delighted to formalize this agreement with Imperial Irrigation District,” said CTR’s Chief Executive Rod Colwell, “and pleased to see the district take a leadership position in the region to secure a long-term supply of baseload renewable energy that can greatly assist in providing a reliable and stable transmission grid as California moves forward.”
The partnership helps IID meet its renewable energy goals, invest in local resources and support regional economic development.
“IID has long advocated for the development of renewable energy resources at the Salton Sea, for what it can do for the Valley and for what it can do for California,” said Henry Martinez, IID general manager. “The district is proud to secure this energy source for all the benefits it can bring and we look forward to a strong, collaborative relationship with CTR moving forward.”
The renewables portfolio standard, established by the state, is one of California’s key programs for advancing renewable energy as it sets escalating renewable energy procurement requirements for load-serving entities.
In 2019, the state saw the need to procure a balanced mix of baseload and intermittent renewable energy products to ensure California’s electricity grid remains stable and resilient, requesting utilities procure more renewable power from geothermal resources by 2030.
“This is very good news for the Salton Sea region and Imperial County,” Colwell added. “This means more construction jobs, plant and operational jobs, and many other economic benefits.”
It is estimated the project, including the development of CTR’s integrated direct lithium extraction and conversion facility, will generate 400 plant and construction jobs over a four-year construction period and a further 186 ongoing operational jobs.
Controlled Thermal Resources is a renewable power and lithium resource producer in the advanced stages of developing an integrated, battery-grade lithium extraction and conversion facility and a geothermal power plant in Imperial Valley, California.
Hell’s Kitchen Lithium and Power are world-scale projects that will set new environmental standards for the delivery of battery-grade lithium products and baseload renewable power in a secure U.S. location. – www.cthermal.com
Imperial Irrigation District (IID) is an irrigation district formed under the California water code, headquartered in Imperial County, California. IID delivers Colorado River water throughout Imperial County and provides electrical power to Imperial and parts of Riverside counties. IID is the largest irrigation district in North America and the sixth largest electrical utility in California.
The district is uniquely positioned to play a key role in helping California meet its renewable energy goals from resources located within the Imperial and Coachella valleys while minimizing impacts to its customers. – https://www.iid.com
Source: company release by email