Ormat announces commercial operation of 19 MW addition to plant in Nevada
Don A. Campbell (formerly Wild Rose) plant of Ormat, Nevada, U.S. (source: Ormat Technologies)
Alexander Richter
25 Sep 2015
Ormat Technologies announces that the second phase of its Don. A. Campbell geothermal plant in Nevada has started commercial operation earlier this month, adding 19 MW in installed capacity.
In an announcement, Ormat Technologies, Inc. reports that “the second phase of its Don A. Campbell geothermal power plant located in Mineral County, Nevada began commercial operation on September 17, 2015. The power plant is expected to generate 19 MW (net) on a yearly average basis, above the nominal target of 16.2 MW listed in the 20-year Power Purchase Agreement (PPA) with the Southern California Public Power Authority (SCPPA). SCPPA resells the entire output of this plant to the Los Angeles Department of Water and Power (LADWP).
“The Don A. Campbell Phase 2 plant reached commercial operation 10 months after the project broke ground and less than two years after we commenced firm operation of the first phase in December 2013,” commented Isaac Angel, Ormat’s CEO. “This rapid execution is the result of multiple improvements we have been implementing across our entire value chain, enabling Ormat to shorten time to market and accelerate time to revenue, in this case six months ahead of our original schedule. This second phase has doubled the generating capacity of the Don. A Campbell geothermal complex, and we are delighted to be able to provide LADWP with this additional firm, reliable and affordable renewable power, supporting its efforts to transition away from coal and reach its renewable energy goals.”
As previously announced, Northleaf Capital Partners, Ormat’s new joint venture investor, will purchase 36.75% equity interest in the project which will be added to the existing ORPD joint venture according to the terms of the agreement. Ormat will continue to consolidate the joint venture and its assets, and will continue to provide day-to-day management control, operations and maintenance control over the projects.
“Reaching this milestone is a validation that this relationship will represent a long-term, mutual beneficial arrangement that enables Ormat to monetize our operational assets at an attractive valuation,” added Mr. Angel. “Bringing this asset online will strengthen our financial performance in the second half of the year, supporting our full-year guidance and positioning us for another growth year in 2016.”
Source: Marketwatch
