Sierra Geothermal Power Completes Drilling at Reese River, Nevada
March 26, 2007
Sierra Geothermal Power Corp. reported that drilling has been completed at the company's Reese River Project, Lander County, Nevada.
Well 56-4 was successfully drilled to a total depth of 1200 meters (3930 feet). Testing for geothermal reservoir characteristics has now begun with results pending.
The Reese River project is rated by Richards and Blackwell as one of the top 15 undeveloped geothermal prospects in Nevada (Source: Geothermal Resource Council, Bulletin March/April 2002, "The Forgotten Ones").
Using a Monte Carlo simulation, the potential geothermal resource at Reese River was estimated to have a 90% probability of generating 13 MW and a 50% probability of exceeding 30 MW (Source: New Geothermal Site Identification and Qualification, PIER study prepared by GeothermEx, 2004).
Partial funding of $580,000 was provided by the U.S. Department of Energy's GRED III program. The drilling program was operated by Sierra Geothermal's US subsidiary.
Sierra Geothermal has several projects located near the California-Nevada border. Both states have adopted a Renewable Portfolio Standard (RPS), which requires utilities to have 20% of their electricity supplied from renewable sources by 2015 and 2010 respectively.