Ormat Technologies, Inc. Signs a New 20-Year PPA with Nevada Power Company for 30 MW of Geothermal Power
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Ormat Technologies, Inc. Signs a New 20-Year PPA with Nevada Power Company for
30 MW of Geothermal Power
Industry Stimulated by New Funding Options
RENO, Nevada, Nov. 9 /PRNewswire-FirstCall/ -- Ormat Technologies, Inc. (NYSE:
ORA) announced that one of its subsidiaries has signed a 20-year power
purchase agreement (PPA) with Nevada Power Company (a subsidiary of NV Energy,
Inc.) to purchase 30 megawatts (MW) from the McGinness Hills Geothermal
project, which is currently under construction. The PPA is subject to various
approvals including the approval of the Public Utilities Commission of Nevada
and is projected to come on line in 2012.
(Logo: http://www.newscom.com/cgi-bin/prnh/20040422/LATH066LOGO)
When completed, the McGinness Hills project will increase the total output
supplied from Ormat to NV Energy, Inc. to approximately 135 MWs, helping the
utility to meet its renewable energy requirement. The renewable portfolio
standard legislation requires 15 percent of all electricity generated in
Nevada to be derived from new renewable energy sources by the end of 2012.
Dita Bronicki, CEO of Ormat said, "We have enjoyed a long and successful
relationship with NV Energy and are grateful for its support of geothermal
power. This PPA is further evidence that geothermal can supply a significant
amount of power and is a preferable choice given its cost effectiveness,
reliability and baseload nature."
"Recent funding options and renewable legislation provide attractive
alternatives for financing of new geothermal development," Dita Bronicki, CEO
of Ormat continued. "The McGinness project is expected to be eligible for ITC
Cash grant or for PTC, and we also expect to apply for a DOE loan guaranty for
its debt financing."
The McGinness Hills project will consist of Ormat binary energy converters
that re-inject the geothermal fluid produced. The project will not produce
any environmentally harmful emissions while working continuously to provide
power 24 hours per day, 7 days per week.
About Ormat Technologies
Ormat Technologies, Inc. is the only vertically-integrated company primarily
engaged in the geothermal and recovered energy power business. The Company
designs, develops, owns and operates geothermal and recovered energy-based
power plants around the world. Additionally, the Company designs, manufactures
and sells geothermal and recovered energy power units and other
power-generating equipment, and provides related services. The Company has
more than four decades of experience in the development of
environmentally-sound power, primarily in geothermal and recovered-energy
generation. Ormat products and systems are covered by 75 U.S. patents. Ormat
has built over approximately 1,200 MW of plants half for its own account and
half as supplies to utilities and developers. Ormat current generating
portfolio includes the following geothermal and recovered energy-based power
plants: in the United States - Brady, Heber, Mammoth, Ormesa, Puna, Steamboat,
OREG 1, OREG 2 and Peetz; in Guatemala - Zunil and Amatitlan; in Kenya -
Olkaria III; in Nicaragua - Momotombo and in New Zealand - GDL.
Ormat's Safe Harbor Statement
Information provided in this press release may contain statements relating to
current expectations, estimates, forecasts and projections about future events
that are "forward-looking statements" as defined in the Private Securities
Litigation Reform Act of 1995. These forward-looking statements generally
relate to Ormat's plans, objectives and expectations for future operations and
are based upon its management's current estimates and projections of future
results or trends. Actual future results may differ materially from those
projected as a result of certain risks and uncertainties. For a discussion of
such risks and uncertainties, see "Risk Factors" as described in Ormat
Technologies, Inc.'s Annual Report on Form 10-K filed with the Securities and
Exchange Commission on March 2, 2009.
These forward-looking statements are made only as of the date hereof, and we
undertake no obligation to update or revise the forward-looking statements,
whether as a result of new information, future events or otherwise.
Ormat Technologies Contact: Investor Relations Contact
Dita Bronicki Todd Fromer / Marybeth Csaby
CEO KCSA Strategic Communications
775-356-9029 212-896-1215 / 212-896-1236
dbronicki@ormat.com tfromer@kcsa.com / mcsaby@kcsa.com
SOURCE Ormat Technologies, Inc.
Dita Bronicki, CEO, Ormat Technologies, Inc., +1-775-356-9029,
dbronicki@ormat.com; Investor Relations, Todd Fromer, +1-212-896-1215,
tfromer@kcsa.com, Marybeth Csaby, +1-212-896-1236, mcsaby@kcsa.com, both of
KCSA Strategic Communications
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