New Mexico State Profile
Background
New Mexico possesses abundant geothermal resources that range in temperature from low to high and are utilized in a variety of ways. In the north-central region of the state, volcanic activity of the Valles Caldera in the Jemez Mountain Range west of Los Alamos has led to the occurrence of New Mexico's only known high-temperature geothermal system, a hydrothermal reservoir with a base temperature exceeding 260°C. Although low- and moderate-temperature geothermal resources are located throughout the state, resources suitable for development are concentrated in the west. Geothermal energy has been used in New Mexico for small-scale electricity generation and in direct-use applications that supply thermal energy for various agribusiness operations and one district-space heating system. New Mexico also has many hot springs that are enjoyed in their natural state in both wilderness and resort settings.
Source: Additional map formats available from Idaho National Laboratory. If you have difficulty accessing the content of this map, please contact the Webmaster.
Current Development
Geothermal development in New Mexico has included electric power production, direct use, and recreational applications. An attempt to introduce geothermal electricity generation in New Mexico took place in the southwestern corner of the state near Cotton City at the 32-acre Burgett Geothermal Greenhouses. A cascaded process was constructed in which moderate-temperature (about 110°C) water from a geothermal production well was first directed through a power plant consisting of three modular binary power units totaling approximately 1 MWe (megawatt electric) in capacity. Water exiting the power plant was then piped throughout greenhouse buildings to provide space heating. Although use of the system has been suspended due to a heat exchanger design problem and inadequate condenser cooling capabilities, operation of the power plant provided a positive demonstration of the potential for cascaded geothermal systems in New Mexico. The geothermal resource continues to be used for space heating, making Burgett the largest geothermally-heated greenhouse complex in the nation. The operation produces approximately 25 million roses a years, which are shipped to markets from Nevada to Texas and as far north as Albuquerque. He presently has 90 employees. The installed capacity is 19 MWt and uses about 184 billion Btus of geothermal energy annually. This amounts to an energy savings of about $736,000 annually, as compared to using propane. Two other large greenhouse operations in southwestern New Mexico also employ the direct use of geothermal energy to meet heating requirements, and New Mexico is the national leader in geothermal greenhouse acreage. Energy from thermal waters is additionally harnessed to support in-state aquaculture businesses and to provide space heating for various commercial and public facilities, including district heating of homes and businesses in the community of Gila Hot Springs.
Proposed Development
| ||||||||||||||||||
While low-to-moderate-temperature geothermal resources suitable for direct heating are widely used throughout New Mexico, some of the state's resources demonstrate higher temperatures and have been the subjects of research and evaluation regarding the potential for electricity generation. Likely the most explored of these areas is the Valles Caldera geological feature located west of Los Alamos in the Jemez Mountain Range. The Valles Caldera is indicative of underlying magmatic processes that have resulted in the formation of a hydrothermal reservoir. However, an attempted demonstration project initiated in 1978 revealed inconsistent reservoir permeability and low productivity and the project did not lead to commercial development. Geothermal reservoirs with good permeability allow high rates of production of thermal waters necessary to provide the steady input required for commercial-scale power production. Although early estimates had predicted the potential for power production to be as high as 400 MWe, drilling and testing at Valles Caldera indicated a viable potential of about 20 MWe - enough to power approximately 20,000 typical households. The results of the Valles Caldera investigation, coupled with inclusion of much of the resource area within the Valles Caldera National Preserve, result in uncertainty as to the future of geothermal power production in the Valles. Estimates in the 1970s placed the potential for electricity generation in New Mexico between 1300 and 2700 MWe, depending upon different development scenarios. The potential for direct thermal applications has been estimated at 582 MWt (megawatts thermal), with approximately 41.5 MWt having been developed to date. Near-term geothermal development in New Mexico is likely to focus on the expansion of direct-use applications and small-scale power production with modular units that can supply electricity directly to a site located near a resource area.
Economic Benefits
Demonstrated success in geothermal greenhousing has attracted the attention of domestic and international agribusinesses seeking to establish facilities in New Mexico to increase their competitive edge by taking advantage of energy cost savings possible by using geothermal energy. The state's geothermal greenhouses provide hundreds of jobs, typically in rural or economically depressed areas, and achieve annual sales exceeding $20 million.
In addition to greenhouses, geothermal water is used in aquaculture. Founded in Animas in 1995, AmeriCulture, Inc. is the largest Nile Tilapia fingerling producer in the country. Its geothermally heated, indoor facilities provide an optimum rearing environment for the fish, and minimize the possibility of introducing pathogens. AmeriCulture's 10-12 full-time employees produce over 7 million fingerlings a year for shipment to domestic and international commercial producers. The low cost of geothermal energy makes it possible for AmeriCulture to compete with growers in Latin America. The company's annual cost savings by using geothermal heat compared to natural gas is about $240,000.
AmeriCulture has plans to expand. It is working on a binary geothermal power plant design that, once built, would create 160 additional jobs in an onsite production and processing facility.
Spas and resorts heated with geothermal are scattered across New Mexico. One of the better known resorts is the Jemez Springs Bath House that has been around for approximately 100 years. About 20,000 people visit the bath house each year to soak in the therapeutic water. The resort employs eight attendants and 21 massage therapists.
Environmental Benefits
In addition to energy savings, geothermal energy prevents the emissions of greenhouse gases (GHG) and air pollutants, helping to keep New Mexico's air clean and its sky clear. The businesses which use geothermal water for aquaculture, greenhouses, swimming pools, resorts, space heating, and hot water also prevent the emissions of air pollutants and GHG. If these businesses used electricity to generate the heat that geothermal water naturally contains, not only would most be unable to afford to stay in business, but they would emit at least 66,480 tons of carbon dioxide each year—the equivalent of 140,255 barrels of oil. In addition, they would emit 141 tons of nitrogen oxides and 98 tons of sulfur dioxides each year into New Mexico's air. The use of geothermal heat pumps across the state lessens the demand for natural gas and electricity to heat homes and buildings.
Technical Capabilities
New Mexico universities, state agencies, and private firms contribute technical capabilities to the local and national geothermal communities. New Mexico State University (NMSU) at Las Cruces conducted geothermal research that resulted in the development of a geothermal space-heating system that at one point heated up to 30 campus buildings, such as dorms and athletic facilities. Sandia National Laboratory in Albuquerque is one of the three main national laboratories working on geothermal R&D.
State Incentives
With passage of the Energy Policy Act of 2005, the national Production Tax Credit (PTC) was extended to include geothermal facilities in operation by January 1, 2008. The PTC is an incentive of 1.5¢ per kWh for electricity produced from renewable sources during the first ten years of a new facility's operation.
New Mexico has also instituted a Renewable Portfolio Standard (RPS) requiring that five percent of the electricity generated in 2006 in the state by investor-owned utilities be produced with qualifying renewable energy sources such as geothermal energy. The RPS will increase by one percent per year until a requirement of ten percent is reached in 2011.
State Working Groups
Geothermal State Working Groups are networks of individuals typically including geothermal developers, utility representatives, local officials and policymakers, and other energy stakeholders within a given state or region. Such groups are sponsored by the U.S. Department of Energy's GeoPowering the West Initiative and often work in conjunction with the State Energy Office of the group's respective state to conduct networking conferences, analyze regulatory issues, and assess the progress of local geothermal projects.
New Mexico has established a Geothermal State Working Group with leadership from the New Mexico Energy, Minerals and Natural Resources Department. The New Mexico group brings together state and regional energy professionals to promote the increased utilization of the state's geothermal resources.
List of Projects
Geothermal projects operating in New Mexico include the following:
- Jemez Springs Bath House and Space Heating
- Ojo Caliente Resort Pool/Spa
- The Wilderness Lodge at Gila Hot Springs Pool/Spa
- Gila Hot Springs District Heating
- Campbell's Gila Hot Springs RV Park & Pool
- Faywood Hot Springs Pool/Spa
- Mimbres Hot Springs Pool/Spa
- Truth or Consequences Senior Citizens' Center Space Heating
- Truth or Consequences Hay-Yo-Kay Hot Springs Soaking Pools
- Geronimo Springs Museum Space Heating
- Charles Motel & Bath House
- Riverbend Hot Springs Pool/Spa
- Indian Springs Pool/Spa
- Artesian Bath House and RV Park
- Fire Water Lodge Pool/Spa
- Sierra Grande Lodge Pool/Spa
- Marshall Hot Springs Pool/Spa
- Masson Radium Springs Farm Greenhouse
- Americulture Fish Farm
- Burgett Geothermal Greenhouses
- Radium Hot Springs Resort
- Giggling Star
Details regarding the location and geothermal energy capacity of each business can be found at http://geoheat.oit.edu/state/nm/nm.htm, developed by the Oregon Institute of Technology's Geo-Heat Center.
State Contacts
New Mexico Energy Office
Anna Montoya
State Energy Program Manager
(505) 476-3251
GeoPowering the West — State Working Group
Michael McDiarmid
New Mexico Energy, Minerals and Natural Resources Department
(505) 476-3319
Bureau of Land Management
New Mexico Office
New Mexico Bureau of Geology & Mineral Resources
New Mexico Economic Development Department
New Mexico Energy, Minerals, and Natural Resources Department
Energy Conservation and Management Division
New Mexico Public Regulation Commission
National DOE Contacts
U.S. Department of Energy
Curtis Framel
Senior Energy Project Officer
Golden Field Office
Golden, CO
(303) 275-4872
U.S. Department of Energy
Sandy Glatt
Senior Energy Project Officer
Golden Field Office
Golden, Colorado
(303) 275-4857