Finance Update
KPMG officially launched Hell's Kitchen to investors in mid-February and has since entered into initial discussions with potential financial and offtake partners. Early interest is exceptionally strong with the core project team (including KPMG, HATCH, Adionics and CTR) busy responding to early due diligence questions and requests.
HATCH is on schedule to complete the project's Preliminary Economic Assessment (PEA) in mid-May which is expected to generate further interest and activity. Until negotiations with financial partners are finalised, CTR will continue to raise equity through its existing investor network.
Technology and Engineering Update
Major advancements were achieved this month as CTR activated Stage Two of the Rapid Lithium Extraction process design and development. CTR is working closely with Adionics in conjunction with HATCH to further optimize design for maximum performance and cost efficiencies.
HATCH is overseeing the process and has so far suggested CAPEX savings of over US$100 million along with significant OPEX savings.
Also, in a world-first, CTR, EnergySource, and Western Falcon Energy Services are working together to develop the first PEEK-lined pipe for application in geothermal operations. PEEK (Polyether ether ketone) is a material that is resistant to corrosion and scale build-up, and can be manufactured at a low cost.
The prototype lined spool was successfully manufactured in March this year and will be placed into service at EnergySource’s facility to the east of CTR’s Hell’s Kitchen site. The implementation of PEEK-lined pipe into the project has the potential to save tens of millions of dollars by replacing expensive alloy pipe.
This is the first time in the world PEEK has been built to this size and run in a geothermal operation.
More Information........
From the Global Geothermal News archives:
- Wednesday, October 24, 2018 - USA, California: Combined 275 MW Geothermal Power and Lithium Manufacturing Plant Project Announced
- Tuesday, October 23, 2018 - USA, California: Controlled Thermal Resources Announces Partnership to Produce Lithium at Hell's Kitchen Geothermal Project
- Monday, February 13, 2017 - USA, California: Drilling at Hell's Kitchen Geothermal Power Project Could Begin in May
- Wednesday, January 25, 2017 - USA, California: More Details of Proposed 750 MW Geothermal Energy / Lithium Mining Project at Salton Sea