Mighty River Power provides update on Ngatamariki development
Preliminary visualisation of the proposed Ngatamariki Geothermal Power Station (flash plant option) (source: Mighty River Power)
Alexander Richter
12 Jun 2012
Mighty River Power informs about the status of its development on the 82 MW Ngatamariki power project with an expected commissioning of the plant in mid-2013.
In a release today, New Zealand’s Mighty River Power provides an update on the development of the Ngatamariki Geothermal Power Station.
The project is a $466 million, 82MW development. The project received resource consent in May 2010 and construction commenced in July 2011. Two injection wells and two production wells have been completed, along with civil and earthworks for the power station. A third injection well is underway. Drilling of the second deep injection well brought some challenges for the project team, but these challenges remain within project contingency.
The total project cost of $466 million includes: pre-construction costs (exploration drilling, consenting and reservoir modelling) of $65 million; costs incurred since the start of construction of $164 million;
capitalised interest of $56 million; and a contingency estimate as appropriate for greenfield developments.
The Ngatamariki project presents an attractive business case with a real long run marginal cost that is less than market estimates of $80 – $85/MWh. The planned infrastructure also allows for a low marginal cost expansion in the future.
The next significant milestone for Ngatamariki is the completion of planned injection capacity. The project remains within budget and on track for commissioning in mid-2013.
Source: Mighty River Power
