Ormat Commences Commercial Operation of 35 MW Ijen Geothermal Facility in Indonesia, Delivering Low Carbon Geothermal Power
Ormat Technologies (NYSE: ORA) has announced the successful start of commercial operations for the 35MW Ijen geothermal power plant in East Java, Indonesia. The facility, jointly owned with PT Medco Power Indonesia through PT Medco Cahaya Geothermal (MCG), represents Ormat's first geothermal plant in East Java, with Ormat holding a 49% equity share (equivalent to 17MW).
The plant, equipped with Ormat Energy Converter (OEC), marks the completion of its first phase, supplying power to the Java grid under a 30-year power purchase agreement. The facility has a total planned capacity of 110 MW and contributes to Indonesia's ambitious goal of adding 7.2 GW of geothermal capacity by 2035.
Ormat Technologies (NYSE: ORA) ha annunciato l'inizio con successo delle operazioni commerciali per la centrale geotermica Ijen da 35 MW a Giava Est, Indonesia. L'impianto, posseduto congiuntamente con PT Medco Power Indonesia attraverso PT Medco Cahaya Geothermal (MCG), rappresenta la prima centrale geotermica di Ormat a Giava Est, con Ormat che detiene una quota di partecipazione del 49% (equivalente a 17 MW).
L'impianto, dotato di Ormat Energy Converter (OEC), segna il completamento della sua prima fase, fornendo energia alla rete di Giava sotto un accordo di acquisto di energia di 30 anni. La struttura ha una capacità totale pianificata di 110 MW e contribuisce all'ambizioso obiettivo dell'Indonesia di aggiungere 7,2 GW di capacità geotermica entro il 2035.
Ormat Technologies (NYSE: ORA) ha anunciado el exitoso inicio de las operaciones comerciales de la planta geotérmica Ijen de 35 MW en Java Oriental, Indonesia. La instalación, de propiedad conjunta con PT Medco Power Indonesia a través de PT Medco Cahaya Geothermal (MCG), representa la primera planta geotérmica de Ormat en Java Oriental, con Ormat poseyendo una participación accionaria del 49% (equivalente a 17 MW).
La planta, equipada con Ormat Energy Converter (OEC), marca la finalización de su primera fase, suministrando energía a la red de Java bajo un acuerdo de compra de energía de 30 años. La instalación tiene una capacidad total planificada de 110 MW y contribuye al ambicioso objetivo de Indonesia de agregar 7.2 GW de capacidad geotérmica para 2035.
오르마트 테크놀로지스 (NYSE: ORA)는 인도네시아 동자바의 35MW 이젠 지열 발전소 상업 운영 시작에 성공했다고 발표했습니다. 이 시설은 PT 메드코 파워 인도네시아와 PT 메드코 카하야 지열(MCG)을 통해 공동 소유하고 있으며, 오르마트가 동자바에 설립한 첫 번째 지열 발전소로, 오르마트는 49%의 지분을 보유하고 있습니다(17MW에 해당).
이 발전소는 오르마트 에너지 변환기(OEC)를 장착하고 있으며, 첫 번째 단계가 완료되어 30년 전력 구매 계약에 따라 자바 전력망에 전력을 공급하고 있습니다. 이 시설은 총 계획 용량이 110MW이며, 2035년까지 7.2GW의 지열 용량을 추가하려는 인도네시아의 야심찬 목표에 기여하고 있습니다.
Ormat Technologies (NYSE: ORA) a annoncé le succès du démarrage des opérations commerciales de la centrale géothermique Ijen de 35 MW à Java Est, en Indonésie. L'installation, détenue en collaboration avec PT Medco Power Indonesia via PT Medco Cahaya Geothermal (MCG), représente la première centrale géothermique d'Ormat à Java Est, Ormat détenant une participation de 49% (équivalente à 17 MW).
La centrale, équipée d'un Ormat Energy Converter (OEC), marque l'achèvement de sa première phase, fournissant de l'énergie au réseau de Java dans le cadre d'un contrat d'achat d'électricité de 30 ans. L'installation a une capacité totale prévue de 110 MW et contribue à l'objectif ambitieux de l'Indonésie d'ajouter 7,2 GW de capacité géothermique d'ici 2035.
Ormat Technologies (NYSE: ORA) hat den erfolgreichen Start der kommerziellen Betriebe des 35-MW-Ijen-Geothermie-Kraftwerks in Ost-Java, Indonesien, bekannt gegeben. Die Anlage, die gemeinsam mit PT Medco Power Indonesia über PT Medco Cahaya Geothermal (MCG) betrieben wird, stellt Ormats erstes Geothermie-Kraftwerk in Ost-Java dar, wobei Ormat einen 49%igen Eigenanteil (entspricht 17 MW) hält.
Das Kraftwerk, ausgestattet mit dem Ormat Energy Converter (OEC), markiert den Abschluss seiner ersten Phase und speist Energie in das Java-Netz im Rahmen eines 30-jährigen Stromabnahmevertrags. Die Anlage hat eine insgesamt geplante Kapazität von 110 MW und trägt zum ehrgeizigen Ziel Indonesiens bei, bis 2035 7,2 GW an geothermischer Kapazität hinzuzufügen.
- Secured 30-year power purchase agreement ensuring long-term revenue stability
- Potential for capacity expansion from current 35MW to 110MW
- Strategic entry into Indonesian market with significant geothermal potential
- 49% equity ownership in first East Java geothermal facility
- initial capacity utilization with only first phase (35MW) operational out of planned 110MW
- Minority ownership position (49%) limiting operational control
Insights
The successful launch of the 35MW Ijen geothermal facility marks a strategic expansion of Ormat's global footprint, with several key implications for investors:
The facility's structure offers compelling advantages: The 30-year power purchase agreement provides predictable cash flows and revenue stability - a important factor for infrastructure investors. With Ormat's 49% equity stake translating to 17MW of capacity, this represents a meaningful addition to their electricity segment portfolio.
The project's phased approach is particularly noteworthy. The initial 35MW deployment, part of a larger 110MW planned capacity, demonstrates a measured risk management strategy while maintaining significant upside potential. This approach allows for operational optimization and market adaptation before full-scale deployment.
Indonesia's geothermal market presents substantial growth opportunities. The country's ambitious target of 7.2GW additional geothermal capacity by 2035 positions Ormat advantageously in one of the world's largest geothermal markets. The partnership with PT Medco Power, a prominent local player, provides important market access and regulatory navigation capabilities.
The deployment of Ormat Energy Converter technology in this facility reinforces their competitive position in the global geothermal space. This successful implementation could serve as a reference project for future developments in the region, potentially accelerating market penetration in Southeast Asia's growing renewable energy sector.
RENO, Nev., Feb. 10, 2025 (GLOBE NEWSWIRE) -- Ormat Technologies Inc. (NYSE: ORA), a leading geothermal and renewable energy company, today announced the successful commencement of commercial operations (COD) for the 35MW Ijen geothermal power plant. The power plant is jointly owned with PT Medco Power Indonesia (“Medco Power”), through their subsidiary company, PT Medco Cahaya Geothermal (“MCG”). Ormat’s share of the facility is 17MW. This is the first geothermal power plant in East Java, Indonesia, contributing to Indonesia’s plan for an additional 7.2 GW of geothermal capacity by 2035.
The Ijen Geothermal Power Plant, equipped with Ormat Energy Converter (“OEC”), began operations with its first phase, delivering 35 MW of electricity power to the Java grid. The commencement of this first phase marks a significant step of the Ijen Facility, which has a total planned capacity of 110 MW under a 30-year power purchase agreement.
MCG, a jointly owned company between Medco Power (
Doron Blachar, Chief Executive Officer of Ormat Technologies, stated, “We are pleased to announce the commencement operations of the Ijen geothermal facility. The launch of the Ijen facility is a key step in our strategy to consistently and accretively grow our leading global geothermal energy portfolio and expand our presence in Indonesia. Indonesia has one of the largest geothermal potentials globally and with the geothermal targets set by the Indonesian government, we plan to expand our operations in the country. Achieving COD at Ijen demonstrates our strong development capabilities and our commitment towards advancing our short and long-term growth targets in our Electricity segment. We look forward to supporting Indonesia’s goal of increasing geothermal deployment and aiding in their efforts to achieve net zero emissions.”
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 3,400MW 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, solar Photovoltaic (PV) and energy storage plus Solar PV. Ormat’s current total generating portfolio is 1,537MW with a 1,247MW geothermal and solar generation portfolio that is spread globally in the U.S., Kenya, Guatemala, Indonesia, Honduras, and Guadeloupe, and a 290MW energy storage portfolio that is located in the U.S.
ORMAT’S SAFE HARBOR STATEMENT
Information provided in this press release may contain statements relating to current expectations, estimates, forecasts and projections about future events that are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical facts, included in this press release that address activities, events or developments that we expect or anticipate will or may occur in the future, including such matters as our projections of annual revenues, expenses and debt service coverage with respect to our debt securities, future capital expenditures, business strategy, competitive strengths, goals, development or operation of generation assets, market and industry developments and the growth of our business and operations, are forward-looking statements. When used in this press release, the words “may”, “will”, “could”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “projects”, “potential”, or “contemplate” or the negative of these terms or other comparable terminology are intended to identify forward-looking statements, although not all forward-looking statements contain such words or expressions. These forward-looking statements generally relate to Ormat's plans, objectives and expectations for future operations and are based upon its management's current estimates and projections of future results or trends. Although we believe that our plans and objectives reflected in or suggested by these forward-looking statements are reasonable, we may not achieve these plans or objectives. Actual future results may differ materially from those projected as a result of certain risks and uncertainties and other risks described under "Risk Factors" as described in Ormat’s annual report on Form 10-K filed with the Securities and Exchange Commission (“SEC”) on February 23, 2024, and in Ormat’s subsequent quarterly reports on Form 10-Q that are filed from time to time with the SEC.
These forward-looking statements are made only as of the date hereof, and, except as legally required, we undertake no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.
| Ormat Technologies Contact: Smadar Lavi VP Head of IR and ESG Planning & Reporting 775-356-9029 (ext. 65726) slavi@ormat.com | Investor Relations Agency Contact: Joseph Caminiti or Josh Carroll Alpha IR Group 312-445-2870 ORA@alpha-ir.com |
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