ABOUT THE GEOTHERMAL BET

Geothermal Energy: A recession-proof resource? Geothermal is a natural resource with plenty of benefits and the industry continues to see significant growth in usage and revenue
Andrea Marino, July 6, 2010 (EnergyDigital)

"While the natural heating and cooling from the earth’s core is the oldest source of energy in history, the use of geothermal energy has been experiencing significant global growth…[O]verall growth was 20 percent from 2005 to 2010. Another 70 nations have geothermal projects currently in the works, which is a 52 percent growth over the last three years…

"Geothermal energy is one of the best existing natural resources for energy…[and] there is little to no harmful impact on the environment. Geothermal emits less carbon dioxide (CO2), sulphur and nitric oxide than [fossil fuels]...Since energy is developed from the earth, the supply is unlimited. Additionally, no power storage is required and geothermal is one of the cheapest forms of energy that exists…"

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"Despite the economic recession impacting the world in recent years, geothermal energy continues to grow. The Obama administration has recently announced plans to aggressively increase geothermal development in the U.S…In addition to geothermal expansion in the U.S., the potential to tap into the geothermal energy resource is huge worldwide…[W]ith five geothermal plants accounting for roughly 24 percent of [Iceland’s] power…[and] 87 percent of all buildings…heated from geothermal energy…Iceland is attempting to move toward being a 100 percent fossil-free nation…

"Ormat Technologies, a U.S.-based company that operates over 520 MW in owned geothermal power plants, and over 1300 MW around the world, reported a first quarter 2010 total revenue of $82.7 million. Though this is a 6.5 percent decrease from total revenues from the first quarter of last year, the outcome for the remainder of the year looks positive…"

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"Within the next two years the Germany-based companies Hörmann Energie und Umwelt and Geysir Europe are going to invest more than €70 million in a geothermal project. More than €8 million has been invested in the project so far, amongst others for the construction of the drill pad…Drilling will start in June 2010.

"Africa is a prime location for generating geothermal energy…Kenya was the first African country to really expand on its geothermal resources. With three plants, built by the Kenya Electricity Generating Company (KenGen), further expansion at all locations are in the works. Kenya received a $293 million loan from Japan and a $94 billion loan from China for plant expansion."