Green Green:  Financing News for the U.S. Geothermal Industry

Volume 2, Number 2
30 April 2001


Costa Rica Update: Miravalles V Tendered

Opportunity in the Balkans

New Renewable Energy Funds Launched

Philippines Update

Indonesia Update


In Short

Upcoming Events

Other Geothermal and Related Calendars

Geothermal Project Pipeline

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Costa Rica Update: Miravalles V Tendered

The Costa Rican Institute of Electricity (ICE) issued a tender for Miravalles V in March. Per the 16 March 2001 issue of the official newspaper, La Gaceta, Tender No. 6806-E was issued for the acquisition of electromechanical equipment, control instrumentation, and other materials for the project.

Miravalles V will use surplus water from Miravalles I, II, and III, reinjecting it to produce 20 MWe. The total estimated cost is US$31 million; the Inter-American Development Bank (IDB) will finance the project.

Tender documents may be obtained from:

ICE Purchasing Department
Attention: Lic. Gonzalo Gomez
Tel. 506-220-7630 or 220-7640
Fax. 506-231-5354

The cost of the tender documents is 20,000 colones (approximately US$63.00). Deadline for presentation of offers is 13 June 2001 at 10:00 hours, at the ICE's Purchasing Department.

ICE is continuing to study Miravalles IV to determine whether the field can produce additional steam. If it can, ICE will pursue a 23-MWe project.


Opportunity in the Balkans

The multi-ethnic Balkans is a highly volatile region with great potential, resources, and opportunity. Geothermal Resources in the Balkans, the latest in a series of market reports and geothermal databases prepared by Bob Lawrence & Associates, Inc., contains information on 237 specific geothermal sites or projects in the Balkans.

The six countries which comprise the Balkans -- Albania, Bosnia and Herzegovina, Croatia, the Former Yugoslav Republic of Macedonia (FYR Macedonia), Slovenia, and Yugoslavia (Serbia and Montenegro) -- have a combined, projected geothermal power generation potential of 439 MWe and a direct use potential of 3,390 MWt.

Four of the six -- Croatia, FYR Macedonia, Slovenia, and Yugoslavia (specifically Serbia) -- have high-enthalpy geothermal resources which may be suitable for power generation. Combined, they contain 32 sites with a temperature of 100ºC or more. Based on political and economic stability, and a favorable regulatory framework, Croatia and Slovenia are the best candidates for geothermal resource development in the short-term.

Three items may support the development of geothermal resources across the Balkans:

  1. Increased international financing,
  2. Greater regional cooperation, and
  3. The European Union's renewable energy directive.

The World Bank, European Bank for Reconstruction and Development (EBRD), European Investment Bank (EIB), and European Union (EU) have increased their allocation of funds to the countries of Southeast Europe, including the Balkans. Under the Stability Pact, the EU will provide US$2.1 billion for the development of some 200 energy projects in the region.

Geothermal Resources in the Balkans was supported by Idaho National Engineering and Environmental Laboratory (INEEL) and the U.S. Department of Energy, Assistant Secretary for Energy Efficiency and Renewable Energy, Office of Wind and Geothermal Technologies.

Geothermal Resources in the Balkans

To obtain a copy of Geothermal Resources in the Balkans in PDF format, contact Joel Renner at INEEL.


New Renewable Energy Funds Launched

Two funds were created recently to invest in alternative and renewable energy companies in the United States.

Kinetics Asset Management, Inc. launched the Energy Fund (ENRGX) in December 2000. The fund invests in companies that are engaged in the development, refinement, distribution, and exploration of energy resources, and the development of alternative energy resources and technologies. These companies may be large, medium, or small in size, and include alternative energy R&D and commercialization firms, as well as independent energy providers.

Munder Capital Management rolled out the Munder Power Plus Fund in March. The domestic equity fund invests in non-regulated power and energy sources, e.g., natural gas and oil, in addition to new technologies that provide alternative energy sources (e.g., solar, wind, and geothermal) as well as innovative ways to supply energy more efficiently.


Philippines Update

  • President Gloria Macapagal-Arroyo's cabinet approved a new draft of the Omnibus Electricity Sector Reform Bill, which mandates Napocor's privatization and settles the issue of cross ownership, in March. The president has asked Congress to consider the final bill in a special session to be held following local and congressional elections in May.
  • Once the implementing guidelines and bidding rules for Napocor's privatization are in place, the Philippine Department of Energy will hold an international roadshow to encourage foreign investment in the country's power sector.
  • Napocor signed a US$18.2-million contract with Marubeni Corporation of Japan to partially rehabilitate the 330-MWe Tiwi Geothermal Power Plant Complex. Once completed, the capacities of Units 1 and 2 and Units 5 and 6 of the 20-year old complex are expected to increase to 59 MWe and 57 MWe, respectively, with no additional steam volume.


Indonesia Update

  • The Government of Indonesia (GOI) is working with the World Bank to set up a coinsurance scheme which would allow the GOI and PLN to share risks with Independent Power Producers (IPPs). The World Energy Council (WEC) initiated the coinsurance scheme to promote private-sector investment in the power sectors of high-political risk countries of Africa and Southeast Asia. IPPs would choose to utilize the scheme.
  • As part of deregulation of the power sector, the GOI is drafting a new electricity law which it expects to submit to the House of Representatives sometime this year.
  • Unocal Corporation is considering reviving the 1,000-MWe Sarulla geothermal project in Sumatra. Scrapped by the state utility PLN in 1998, the new, smaller project would be 390 MWe. Unocal has drilled 13 wells on the site and identified two development areas: Silangkitang with a capacity of 100 MWe and Namora-Langit with a capacity of 290 MWe. Negotiations are underway with the state-owned oil and gas company, Pertamina, to develop and operate the plant, and with PLN on the terms of a power purchase agreement.
  • Speaking before the Indonesian Geothermal Energy Association, Wimpi S. Cecep, Director General of Geology and Mineral Resources, stated that geothermal energy may completely replace oil and gas by 2010 in Indonesia as the country's fossil fuel resources decline. Cecep attributed the slow development of geothermal energy to date to the government's monopolistic interest in the oil and gas industry, including large government subsidies, and the lack of a geothermal law.


In Short

  • In conjunction with the World Bank Group and the U.S. Department of Energy, the Geothermal Energy Association (GEA) is working on a "White Paper" to examine the principal obstacles to private-sector geothermal development in developing countries, and to design an effective mechanism to support geothermal energy development around the world. GEA will hold a working conference on 25 May to review the draft White Paper. For more information, contact by email: Karl Gawell or Sarah Rosen at GEA.
  • Secretary of State Colin Powell affirmed that the Bush Administration is strongly committed to supporting the IMF and World Bank, which he described as vital institutions. Speaking to the Bretton Woods Committee, an American group which favors strong U.S. involvement in the institutions, Powell said that President Bush, he, and other members of the administration were "committed to providing strong leadership to the vital multilateral institutions as they help shape the 21st century of growing prosperity and freedom."
  • Having received no bids in a tender issued to drill wells for steam at Los Azufres II by the early-April deadline, México's Federal Electricity Commission (CFE) will re-invite bids for the contract at a to-be-determined date. Alstom of France won a CFE contract to build the geothermal power plant last year, but CFE is tendering the drilling contact separately. The contract is the CFE's second this year not to have received a single bid. According to CFE, a persistent problem is that Mexican engineering and construction firms lack access to financing.
  • The Australian Commonwealth Government is funding two innovative renewable energy programs in "Outback Australia," with a grant of more than US$7.6 million, the first step in funding a series of projects under the Commonwealth Government's Renewable Remote Power Generation Program. The first project - the Indigenous Communities Support Project, will receive US$4.1 million to help expand the use of renewable energy to 250 indigenous communities. Under the second project, the South Australian Office of Energy Policy will receive US$3.8 million for rebates to replace diesel power with renewable energy technologies. Interested firms should contact: Ms. Noela Cain, Commercial Specialist, U.S. Commercial Service, American Consulate General - Melbourne, Email.
  • Worldwide energy consumption is projected to grow by 59% to 2020, according to "International Energy Outlook 2001" ("IEO2001") released by the Energy Information Administration (EIA) of the U.S. Department of Energy. Fifty percent of the projected growth is expected to occur in the developing nations of Asia, e.g., China, India, and South Korea, and in Central and South America, where strong economic growth spurs robust demand for energy over the forecast period. The report also projected that renewable energy use, primarily large-scale hydropower projects, will increase by 53% between 1999 and 2020. Its current 9% share of total energy consumption will drop to 8% by 2020.
  • The Organisation for Economic Co-Operation and Development (OECD), in cooperation with Eurostat and the International Energy Agency, prepared a Database on Environmentally Related Taxes in OECD countries. The database examines types of taxes, revenues, tax exemptions and other related issues.


Upcoming Events

May September
June October
July November
August December
3-4 May
Web site: Renewable Energy in Maritime and Island Climates (REMIC)
Belfast, Ireland

7 May
Asian Development Bank Breakfast Briefing
Honolulu, Hawaii
Email: Ms. Tosha Wilkes , Business Council for International Understanding
In conjunction with the Asian Development Bank (ADB) Annual Meeting, the U.S. Executive Director and the U.S. Commercial Service Liaison are organizing a breakfast briefing for attending U.S. companies. This event will take a brief look at U.S. participation in the ADB's activities, identify opportunities available to U.S. firms, and provide an introduction to working with the ADB. Senior ADB staff will be on hand to make brief presentations and answer questions.

7-11 May
Web site: Asian Development Bank Annual Meeting
Honolulu, Hawaii

8-10 May
Web site: Sustain 2001: the World Sustainable Energy Conference
Amsterdam, The Netherlands

10-13 May
Email: International Conference on Drilling Technology
Ferrara, Italy

13-16 May
Web site: 7th National Clean Cities Conference
Philadelphia, PA
Email: Kimberly Taylor

14-15 May
Web site: The Americas Power & Energy Sponsors Conference
New York, NY

20-24 May
Web site: Geochemical Aspects of Sustainable Energy Utilization
A Symposium at the 11th V. M. Goldschmidt Conference
Hot Springs, VA
Email: Dave Wesolowski or D.R. Cole, Oak Ridge National Lab
Keynote speakers will include Wallace S. Broecker of the Lamont-Doherty Earth Observatory, who will address the fossil fuel impacts on global climate change; Donald Langmuir of the Colorado School of Mines (Emeritus), who will discuss various aspects of the geochemistry of nuclear waste storage, disposal, and remediation; and Marshall J. Reed of the U.S. Department of Energy, who will provide an overview of the technological challenges facing the geothermal industry.

21-23 May
Web site: Ex-Im Bank Exporter/Lender Seminar
Washington, D.C.
Learn how to obtain working capital, export credit insurance, guarantees, and loans; choose the right financing for your company; and apply and complete applications for financing at Ex-Im Bank.

22-23 May
Web site: Investment Opportunities in Croatia
Zagreb, Croatia
Email: Ms. Stanka Andrakovic, Executive Director, American Chamber of Commerce in Croatia

24 May
House Renewable Energy Expo
Washington, D.C.
Email: Susanna Drayne

25 May
Geothermal Energy Association/World Bank Workshop
Washington, D.C.
Email: Sarah Rosen

28-30 May
Web site: 5th International Workshop "Russian Technologies for Industrial Applications"
St. Petersburg, Russia
Email: Prof. S.G. Konnikov

31 May-1 June
Web site: Idaho Geothermal Energy Stakeholders Workshop
Boise, Idaho
Hosted by U.S. Senator Larry Craig
Email: Bob Neilson, Idaho National Engineering and Environmental Laboratory

31 May-1 June
Web site: Synthetic & Leveraged Lease Financing for U.S. Power Projects
New York, NY

5-7 June
Web site: Eyeforenergy Latin America
Acapulco, México

10-15 June
Web site: 10th International Symposium on Water-Rock Interaction
Villasimius, Sardinia, Italy
Email: Prof. Luca Fanfani

10-16 June
Web site: 5th International Meeting -- Heat Flow and the Structure of the Lithosphere
Castle Kostelec, Czech Republic
Email: Dr. Vladimir Cermak

11-12 June
Web site: EURELECTRIC Conference on "Electricity & Natural Gas: Evolution and Opportunities in Two Converging Energy Markets
Madrid, Spain

14-15 June
Web site: 4th Annual Private Power in Central America
Miami, FL

7-10 July
38th U.S. Rock Mechanics Symposium
Washington, D.C.
Email: John Tinucci, Technical Program Director, Pan Technica Corporation

8-12 July
Web site: 4th International Thermal Energy Congress (ITEC 2001)
Cesme-Izmir, Turkey
The objectives of ITEC are to provide a firm bridge between northern and southern countries in the field of thermal energy technologies; to provide a forum and encourage a realistic dialogue at all levels, thus stimulating the professional communities and enhancing technical activities in the field; and to accelerate developments, innovations, implementations of R&D and exchange of information in thermal energy fields, including geothermal.

19-31 August
Web site: IAGA-IASPEI Joint Scientific Assembly
Hanoi, Viet Nam

26-29 August
Web site: 2001 Geothermal Resources Council Annual Meeting
Web site: Geothermal Energy Association Trade Show
San Diego, CA

26-31 August
Web site: Stanford/Heriot-Watt Forum on Reservoir Description and Modeling
Carmel-by-the-Sea, California

29 August-1 September
Web site: U.S.-China Clean Energy Symposium and Equipment Exhibition
Beijing, China
Email: Jean Ku or Debra Lew of NREL, or Lee Gebert, DOE
More than 300 booths will showcase the latest technology, products, services and developments in the field of clean energy. In conjunction with the exhibition, the Department of Energy, National Renewable Energy Laboratory (NREL), and China's Center for Renewable Energy Development will hold a a U.S.-China Renewable Energy Business Workshop and Study Tour in southwestern China. The study tour may include Tibet, Yunnan, and/or Sichuan. Exact date to be determined.

3-7 September
Email: 6th International Conference on Rare Gas Geochemistry
Cuernavaca, México

17-21 September
Web site: International Geothermal Days: "Germany 2001"
Bad Urach, Germany
Email: Prof. Kiril Popovski or Dr. Burkhard Sanner

21-25 September
Web site: Power Trends 2001: 4th International Exhibition on New Trends in Technologies for Energy and Power Engineering
Manila, Phillipines
Organized by Interfama International Pte Ltd., Singapore
Email: Interfama

8-10 October
Email: Power Generation and Sustainable Development
Liege, Belgium

15-17 October
Web site: Eyeforenergy Asia Pacific 2001

21-25 October
Web site: 18th World Energy Congress
Buenos Aires, Argentina
Under the theme "Energy Markets: The Challenges of the New Millennium," the 18th WEC -- the largest and most important global energy event -- will gather over 5,000 delegates, including ministers, regulators, CEOs of major energy companies, other industry operators, senior academic researchers, and consultants from approximately 50 international organizations and financing institutions.
The Buenos Aires Congress will be the first WEC Congress of the new millennium and the first to be held in Latin America, a region which offers an expanding and dynamic energy market, of vital importance for the global economy.

4-8 November
Web site: 2nd World Conference on Technology Advances for Sustainable Development
Cairo, Egypt
The conference combines the 2nd International Conference on Renewable Energy and Environment Protection Technologies, and the 5th International Conference on Solar Electricity: Photovoltaics, Wind, and Solar Thermal Technologies.

7-9 November
Web site: 23rd New Zealand Geothermal Workshop
Auckland, New Zealand

7-10 November
Renewable Energy Indonesia 2001
Jakarta, Indonesia
Email: Stephen Luff, Overseas Exhibition Services

11-14 November
Web site: Distribution 2001
Brisbane, Australia
Email: Noela Cain, Commercial Specialist - Energy, U.S. Commercial Service, Melbourne, American Consulate

21-23 November
Web site: Geothermal Energy in Undergound Mines
Ustron, Poland
Email: Zbigniew Malolepszy, Faculty of Earth Sciences, University of Silesia

6-9 December
Enexpo Turkiye
Ankara, Turkey
Email: Farshid Bagherian, General Manager, S.S.D professional Group


16-26 August 2004
Web site: 32nd International Geological Congress
Florence, Italy
Email: Matteo Moscatelli, Newtours SpA

World Geothermal Congress 2005
Antalya, Turkey
WGC2005 First Announcement

To have your event listed, contact the Editor.


Other Geothermal and Related Calendars:


Geothermal Project Pipeline

The following projects are in various stages of development. Projects which have not been listed before are marked NEW.

Country Project Name Financing Source US$ (millions)
Costa Rica
Miravalles IV (23 MWe) TBD TBD

The Costa Rican Institute of Electricity (ICE) is performing studies and investigations in the field.
Costa Rica
Miravalles V (20 MWe)

Tender No. 6806-E
Inter-American Development Bank $31

Tender issued by the Costa Rican Institute of Electricity (ICE) March 2001; deadline for offers is 13 June 2001
Djibouti Assal Geothermal Power Plant (Feasibility Study) Geothermal Development Associates, U.S. Trade and Development Agency $.09
El Salvador Concessions of San Vicente and Chinameca Geothermal Fields Projects

Public Bid Nos. SIGET/GE-02/CG-2000, SIGET/GE-03/CG-2000
The General Superintendence of Electricity and Telecommunications of El Salvador (SIGET) invites national and foreign entities interested in the generation of electricity to submit information for the qualification phase for the concessions of San Vicente and Chinameca geothermal projects to be awarded for the construction and operation of power generation projects. Proposal submission deadline was 4 December 2000
Indonesia PLTP Derajat (275 MWe) Amoseas Indonesia, Chevron, Texaco, PT Derajat Geothermal Indonesia, PT Prasarana Nusantara $475

Tariff cut; project on track to come on-line in 2002
Indonesia Sarulla, North Sumatra Unocal North Sumatra Geothermal Ltd. The company has identified two development areas: Silangkitang with a capacity of 100 MWe, and Namora-I-Langit, which can support three generation units totaling 210-290 MWe.

Postponed in 1997; negotiations underway 2001
Kenya Olkaria II, 64 MWe (2 x 32)

Kingston Morrison, Mitsubishi Corporation, H. Young
European Investment Bank, World Bank (IDA), KFW (Germany), Kenya Electricity Generating Company (KenGen) $178

Due to be commissioned July 2002
Kenya Olkaria III, 64-100 MWe Ormat International

BOO with 20-year concession

13 MWe on-line; additional 4 MWe to be provided in December 2000
Kenya Olkaria IV, "Domes" and Eburru, 64 MWe Development will be open to the private sector; contact Ministry of Energy or Steve Hirsch Scheduled to come on-line 2005/6
México Cerro Prieto IV, 100 MWe (4 x 25) Japan Bank for International Cooperation, BNP Paribas, ING Bank, Mitsubishi $120.0

August 2000 - Cerro Prieto IV (100 MWe) began startup, BLT with a 12-year lease, the first private geothermal project in Mexico
México Las Tres Virgenes, 10 MWe (2 x 5) CFE Tender In development
México Los Azufres II, 100 MWe (4 x 25) ALSTOM won turnkey order

Funded under a privately financed scheme called OPF: the company assumes construction risk and sells the finished plant to CFE.

Initiation of Project - 2001, Plant Commissioing - end of 2002
México Los Azufres, III (Primavera), 75 MWe CFE Tender In development
México Los Humeros, 50 MWe CFE Tender In development
México Off-Grid Rural Electrification (MXGE68390) World Bank, Global Environment Facility

The project will test private-sector implemented mechanisms for sustainable electrification of off-grid rural areas, using conventional and renewable energy technologies, as feasible.

Appraisal mission is tentatively scheduled for mid-August 2001.

Consulting services to be determined.
Philippines Rural Power (formerly Rural Electrification) World Bank

Mr. Reuben Emmanuel T. Quejas,Chief, Nonconventional Energy Division, Department of Energy, Energy Center, Merrit Rd., Fort Bonifacio, Taguig, Metro Manila, Philippines, Tel: (63-2) 844-1021 to 40, Fax: (63-2) 818-8614, Email:

Project is being identified.

Consulting services to be determined.
Russia Mutnovsky Independent Power Project, Kamchatka, 50-250 MWe European Bank for Reconstruction & Development, CSC Geoterm $353.2

Stage I - 50 MWe (2 x 25) (expected on-line 2001)
Stage II - 100 MWe (expected on-line 2004)
Stage III - 100 MWe (expected on-line 2005)
Uganda Alternative Energy Resource Assessment and Utilization Study

Notice Identification No. AfDB138-547/00
African Development Fund

The Permanent Secretary, Ministry of Energy and Mineral Development, P.O. Box 7270, Kampala, Uganda, Tel: (256-41) 234-733, Fax: (256-41) 234-732. Email:

The main objective of the study is to find a technically, financially and economically feasible, socially and environmentally sound, and sustainable least cost alternative energy resources development program to meet the energy demand of energy deficient rural areas and small towns of Uganda.
Viet Nam Central Region Geothermal Power, 50 MWe (Feasibility Study) U.S. Trade and Development Agency The U.S. Trade and Development Agency is providing a grant in support of a BOT contract to be negotiated with the Ministry of Industry. The feasibility study will study the electricity tariff and benefits of the project.
Viet Nam Central Region Geothermal Power, 50 MWe Ormat International

Sole source project; BOT

Ormat received a renewed exploration license in September 2000.

Sources: United Nations Development Business; the Infrastructure Division; the International Trade Administration, U.S. Department of Commerce Global Infrastructure Projects Database; others as noted.


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30 June 2001


Green Green is produced for the Idaho National Engineering & Environmental Laboratory (INEEL) under Purchase Order No. K99-181018 and the U.S. Department of Energy, Assistant Secretary for Energy Efficiency and Renewable Energy, Office of Wind and Geothermal Technologies.

This information was prepared as an account of work sponsored by an agency of the U.S. Government. Neither the U.S. Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise, does not necessarily constitute or imply its endorsement, recommendation, or favoring by the U.S. Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the U.S. Government or any agency thereof.

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