Ormat finalizes industry's largest geothermal power plant design
Ormat Technologies, Inc. ORA | 0.00 |
By Laila Kearney
NEW YORK, June 8 (Reuters) - U.S. renewable power company Ormat Technologies ORA.N has developed a geothermal power plant design that would be the largest of its kind in the industry, capable of producing 100 megawatts of electricity from the earth's heat, the company told Reuters on Monday.
Ormat's design, called the Ormega100, would double the electrical output of its current largest operating model, said Ormat CEO Doron Blachar. The unit is dependent on advanced geothermal technologies that Ormat - one of the world's biggest geothermal companies - is currently testing.
While geothermal energy has been produced in the U.S. since the mid-1900s, it supplies less than 1% of the country's electricity, according to federal government data.
The renewable power source, however, has recently drawn interest from Silicon Valley companies scouring for electricity to fuel their AI expansion plans.
In the past year, Google for instance has signed long-term agreements to purchase geothermal electricity with companies including Ormat and Fervo Energy. Meta has also entered into geothermal energy agreements from multiple power companies.
The Ormega100 would use an enhanced geothermal system, a method that injects water a mile-and-a-half deep into the ground to capture heat generated from the earth's core. Traditional geothermal relies on much shallower natural underground water reservoirs, making power production more site-specific than advanced geothermal methods.
Ormat has two EGS pilot programs underway, expected to conclude in 2027. Once those have been proven, Ormat plans to begin construction of the Ormega100, a process that typically takes 18 to 24 months, Blachar said.
The company, which has produced geothermal power for 60 years, is fully integrated - meaning it controls everything from geothermal drilling and producing to building and operating power plants.
That, Blachar said, will allow Ormat to move more quickly than many startups.
