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Mexico awards contract for drilling four geothermal wells in Baja California

Mexico awards contract for drilling four geothermal wells in Baja California Cerro Prieto geothermal plant (source: Government of Baja California, creative commons)
Carlo Cariaga 12 Jun 2025

Following a public tender, the contract for the drilling of four geothermal wells in Baja California, Mexico has been awarded to GSM Bronco.

The Ministry of Energy (Sener) of Mexico is preparing to drill four geothermal wells in the state of Baja California, following the results of a tender announced in 2024. Construction work is expected to begin next year.

The drilling contract, awarded to GSM Bronco, calls for the drilling of three wells in Cerro Prieto in Baja California, and one well in Las Tres Vírgenes in Baja California Sur. The project will be supported by the Geothermal Financing and Risk Transfer Program, which is designed to reduce the risks associated with geothermal exploration. The federal government will invest $51.5 million for the project.

“One of the things we want to do in this Administration is promote geothermal energy. We were champions in geothermal energy some 20 or 30 years ago; we were one of the countries that used this resource the most,” commented Jorge Islas, Undersecretary of Planning and Energy Transition at Sener.

The official further explained that the Cerro Prieto field is now only operating at around 400 MW capacity due to decades of poor maintenance. The facility has an installed capacity of 960 MW and is one of the oldest and largest geothermal fields in the world.

Mexico has recently passed a new Geothermal Law that seeks to simplify the regulations on geothermal for electricity generation, and restructures the relevant regulatory bodies.

Source: Expansion.mx

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Carlo Cariaga