POWER September 2012 - 68

POWER IN CHILE
ful exploration campaigns: Enel Green
Energy for its Cerro Pabellón development
(inferred resources for 50 MW),
GeoGlobalEnergy (GGE) for Tolhuaca (75
MW), and Magma Energy for Laguna del
Maule (50 MW).
At the moment, GGE is the only company
actively drilling and defining the
geophysical and geochemical characteristics
of its Tolhuaca development. " There
is no geothermal development in Latin
America, " said Rüdiger Trenkle, GGE's
managing director for Chile. " We are pioneering,
which means that we are taking
on additional risks because there is little
experience on geothermal resources in the
region. " Trenkle plans to have two more
seasons of drilling before getting to the
construction stage and estimates the plant
will be running by late 2016.
Magma Energy has a similar timeline
for Laguna del Maule. At the moment,
the company is looking for a partner to
carry out further drilling, beginning in
the summer.
" As yet, the country does not have service
and drilling industries to support significant
work, so one of the challenges is
to ratchet up the activity here to sustain
them, " explained John Selters, Magma
Energy's managing director for Chile. " In
this sense, the U.S. and other countries
have more going for them, because these
supporting industries reduce costs. In the
central part of Chile, all the necessary
equipment is not available to be brought
out on a day's notice by a service company.
Instead, you have to have it standing by
on your project, which is very expensive. "
GeoEstrella, a joint venture of drilling
companies Geotech and Estrella, is the
only drilling company supporting geothermal
developments. " Most of the players
active in geothermal right now are the
larger players, " said Matthew Holdeman,
managing director of GeoEstrella. " Those
that we hope will start becoming active towards
the end of this year and next year
are more of the medium-sized companies,
like Transmark Renewables from Europe;
Ormat, based in the United States; EDC
from the Philippines; and a number of
companies based out of New Zealand. "
Philippines' EDC is already active
through a joint venture with Hot Rock,
an Australian exploration company with
six plays in Chile. " Hot Rock is a 30%
partner with EDC in its projects in Chile
and Peru, " said Peter Barnett, managing
director of Hot Rock. " The joint venture
deal has brought $1 million per project
back into Hot Rock, so we are getting a
cash receipt from EDC of $3 million. We
68
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POWER September 2012

Table of Contents for the Digital Edition of POWER September 2012

Contents
POWER September 2012 - Cover1
POWER September 2012 - Cover2
POWER September 2012 - Contents
POWER September 2012 - 2
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