Ormat Signs Agreements To Develop 50MW Geothermal Power Plant In New Zealand

RENO, Nev., June 20, 2023 (GLOBE NEWSWIRE) -- Ormat Technologies, Inc. (Ormat), a leading geothermal, energy storage, photovoltaic (PV), solar and recovered energy power company, today announced the signing of agreements with Eastland Generation Limited (EGL) to build a 50MW power plant in New Zealand. EGL is a subsidiary of Eastland Group Limited and a regional infrastructure company. This agreement strengthens Ormat’s presence in the thriving New Zealand market and supports the country’s growing electricity needs while advancing its greenhouse gas emissions reduction efforts.

Under the terms of the agreement, Ormat will design, build, commission and own the power plant. EGL will operate and maintain the power plant under a separate services arrangement and also purchase 100% of the plant’s generation under a fixed price Power Purchase Agreement (PPA).As part of the development agreement with EGL, Ormat has granted EGL a contractual option to purchase the power plant at an agreed purchase price, subject to certain conditions.

Under this agreement, Ormat will leverage its extensive expertise and leading geothermal capabilities to design and construct a state-of-the-art geothermal power plant. The project will utilize a proven geothermal resource that has already successfully undergone field development, which will ensure its readiness for efficient operations.

Doron Blachar, Ormat’s Chief Executive Officer, commented, "We are thrilled to enter into a partnership with EGL to embark on the development of a 50MW power plant in New Zealand. The New Zealand market is of great importance to Ormat, as we are witnessing increased demand and attractive rising energy rates in the region - attributes that align directly with our strategic portfolio and generation capacity expansion goals. As a leading geothermal operator with equipment manufacturing and EPC expertise, we are well-positioned to contribute to the growth of New Zealand’s energy sector while helping drive the transition to clean, sustainable power generation."

Ormat's collaboration with EGL demonstrate its commitment to expanding its footprint in key markets and its dedication to providing clean, reliable, and affordable energy solutions.

ABOUT ORMAT TECHNOLOGIES

With over five decades of experience, Ormat Technologies, Inc. is a leading geothermal company and the only vertically integrated company engaged in geothermal and recovered energy generation (“REG”), with robust plans to accelerate long-term growth in the energy storage market and to establish a leading position in the U.S. energy storage market. The Company owns, operates, designs, manufactures, and sells geothermal and REG power plants primarily based on the Ormat Energy Converter – a power generation unit that converts low-, medium- and high-temperature heat into electricity. The Company has engineered, manufactured, and constructed power plants, which it currently owns or has installed for utilities and developers worldwide, totaling approximately 3,200 MW of gross capacity. Ormat leveraged its core capabilities in the geothermal and REG industries and its global presence to expand the Company’s activity into energy storage services, PV solar and energy storage plus PV solar. Ormat’s current total generating portfolio is 1,214 MW, comprised of a 1,107 MW geothermal and solar generation portfolio that is spread globally in the U.S., Kenya, Guatemala, Indonesia, Honduras, and Guadeloupe, and a 107 MW energy storage portfolio located in the U.S.