US Geothermal receives $33 million cash grant payment
Neal Hot Springs project site, Oregon (source: U.S. Geothermal)
Alexander Richter
5 Apr 2013
U.S. Geothermal Inc. subsidiary USG Oregon LLC received a cash grant payment of $33 million from the U.S. Department of Treasury relating to its Neal Hot Springs geothermal power plant in Oregon.
Announced earlier this week, “U.S. Geothermal Inc. subsidiary USG Oregon LLC received a payment of $32,749,541 from the U.S. Department of Treasury. The cash grant is for Specified Energy Property in Lieu of Tax/Credits relating to the Neal Hot Springs geothermal power plant under Section 1603, Division B of the American Recovery and Reinvestment Act of 2009.
The proceeds of the cash grant will be used to fund $8.5 million in plant and well field cash reserves. Approximately $13.3 million of the grant is expected to pay down the outstanding project loan with the balance available for distribution to the equity partners.”
Source: company release via Marketwatch
