Tender – Construction of Pico Vermelho geothermal power plant, Portugal

Island of Sao Miguel, Azores, Portrugal (source: Juan Llanos / flickr, Creative Commons)

Carlo Cariaga 13 Jan 2023

EDA RENOVÁVEIS, S.A. (Owner) will be issuing an International Public Tender by the end of February 2023 for the construction of a new geothermal power plant at Pico Vermelho, in the Ribeira Grande geothermal field on São Miguel Island, Azores, Portugal. The tender will be published in the Official Journal of the European Union. The new power plant aims to expand the total capacity of the Pico Vermelho site from the current 10 MW to 20 MW.

Project Overview

EDA RENOVÁVEIS, S. A., a subsidiary of EDA, S. A., is the company that exploits the renewable resources of the Azores for power generation, including geothermal, wind, hydro and solar PV. The feasibility study for the project has been completed, following the drilling and flow testing of three new production wells in 2020/2021, and the available geothermal resource is sufficient to support the expansion of the power plant capacity.

The power plant (Pico Vermelho phase B) will utilize the heat from the two-phase geothermal fluid tapped in the three new wells to produce 10 MW net of electricity for delivery to the regional utility. Regarding the type of technology to install, the Owner anticipates a binary cycle, air-cooled power plant for the project, similar to the existing 10 MW Pico Vermelho power plant (phase A).

The International Public Tender will be issued by the end of February-2023, and following the contract celebration and construction, under the rules of the Portuguese Public Contracting Code, the new power plant is expected to be online during the last trimester of 2025. The project is strategic for the Azores as it will increase the share of geothermal from the current 30.0 to 49.4% of the power generation in São Miguel Island by 2026, contributing to further decarbonize the power generation market and increase the energy self-sufficiency of the Azores Archipelago.

Project Delivery Plan

The Owner intends to complete the project under a multiple-contract arrangement managed by the Owner. This announcement relates to the power cycle equipment and auxiliaries. The Power Plant contract is planned as a lump sum agreement. The scope of supply for the power cycle includes the design, fabrication, supply, transportation, erection, commissioning, and testing of the binary cycle turbine and generator, heat exchangers and air-cooled condenser, feed pumps, valves and piping, the working fluid storage and transfer piping, the steam and brine separation equipment and the gathering system piping for the three new production wells.

Proposals for the power plant will be subjected to a detailed technical and economic evaluation to select the binary power cycle that provides the greatest life-cycle value to the Owner. The economic evaluation, but not limited to, will include, Owner’s levelized cost of produced energy (which includes Bidder’s total bid price, guaranteed net capacity and guaranteed plant availability), Bidder’s guaranteed thermal efficiency, and Bidder’s guaranteed project completion date.

To complete the project, the Owner will separately contract the site preparatory civil works, the construction of a Logistics building, the Substation construction, the Step Up and Auxiliary Transformers supply, and the reinjection system piping.

Technical Considerations

The geothermal fluid will be delivered by three production wells, each of them discharging from 95 to 160 t/h of geothermal fluid with an enthalpy of 1050 to 1250 kJ/kg at the wellhead pressure of 7 to 13 bar-g. The non-condensable gas content in the steam fraction ranges from 0.74 to 1.69 wt.%.,

The Contractor shall study a technological solution for the non-condensable gas capturing and reinjection system, and the cooled brine and condensate steam will be delivered at the plant boundary for return to the resource by the Owner’s reinjection system. The minimum brine temperature anywhere in the process is estimated to be 87°C.

Regarding the altitude and atmospheric conditions at the power plant site, the elevation is 148 meters above mean sea level, the design dry bulb temperature is 22ºC, and the average relative humidity is 82%.

Notice

Owner is pleased to announce that the International Public Tender will be publicized in the Official Journal of the European Union, which will be issued by the end of February-2023, and hereby draws the attention and urges the cooperation of the Suppliers to participate in the International Public Tender.

Source: Email correspondence