Thursday, March 10, 2016

USA, Idaho: U.S. Geothermal Reports on a Positive Year

U.S. Geothermal Inc. Reports Year End 2015 Results and Provides 2016 Guidance (Yahoo! Finance - News Release)

U.S. Geothermal Inc. announced today its financial and operating results for the 12 months ending December 31, 2015, guidance for 2016, and highlighted notable achievements for 2015.

Development Projects Update:

  • The WGP Geysers project in California completed a well test program that confirmed a sufficient steam resource to support a 30 MW power plant. The company signed a transmission interconnection agreement with the CAISO and PG&E, and is currently seeking a Power Purchase Agreement (PPA) to enable start of plant construction.
  • The El Ceibillo project in Guatemala received formal approval of a concession modification which allowed the restart of drilling and subsequently led to discovery of a commercially viable geothermal reservoir. The area is being expanded with further drilling prior to seeking a PPA for a minimum 25 MW plant.
  • Three unconstructed binary power plants were acquired for a 5% of their original cost. This provides U.S. Geothermal with the flexibility to install these plants at existing or new projects. This will significantly lower project capital costs, and accelerate development timelines.
  • At the Raft River project, the company completed the acquisition of the majority of Goldman Sachs ownership interest, which unlocks that project for upgrade and expansion.
  • Continuing water supply well drilling at Neal Hot Springs, Oregon in support of hybrid cooling project which could add approximately 3+ MW to the project annual average generation.

"2015 was the third year in a row of improving financial performance as we continue to optimize our operating assets, especially given the unseasonably warm weather this year. EBITDA and Net Income, as Adjusted, were at or above the high end of guidance. We also strengthened both our cash flow and balance sheet." said Dennis Gilles, U.S. Geothermal's Chief Executive Officer and GRC Board Director. "In addition, we completed a number of important steps to advance the 68 MWs of development projects in our pipeline which will provide additional upside going forward."

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