Strategic Collaboration Agreement between Ormat and Toshiba
15 October, 2015
Isaac Angel, Chief Executive Officer of Ormat, said the collaboration is a key step to diversify Ormat's technological base
Isaac Angel, Chief Executive Officer of Ormat, said the collaboration is a key step to diversify Ormat’s technological base
Ormat Technologies and Toshiba Corporation announced today that the two companies have signed a strategic collaboration agreement (SCA) to develop opportunities in geothermal power generation systems and related equipment.
The parties will explore and develop a more competitive solutions for comprehensive supplies and services to geothermal power plant operations. The first project expected to be implemented under this collaboration is the Menengai geothermal project in Kenya to be constructed and operated by the Ormat – Symbion Power – Civicon Consortium, majority owned by Ormat. The parties have already initiated negotiations on the supply agreement and the plant design is at an advanced stage.
Geothermal power plants generally utilize either a binary system that directly use geothermal steam to turn turbines, or a conventional flash system, that pull high-pressure hot water from the ground into lower-pressure tanks – and use the resulting flashed steam to drive the turbines. In some situations, a combined cycle using both systems can be employed, with the specific technology for each project chosen based on the unique characteristics of the geothermal resource.
The newly formed collaboration will leverage Toshiba’s expertise in flash systems and Ormat’s proven leadership in binary systems, to offer a solution that combines the two technologies.
Yoshihiro Aburatani, President and CEO of Toshiba’s Power Systems Company said, “I am pleased that we have signed the SCA and taken the first step forward in our long-term strategy.” Isaac Angel, Chief Executive Officer of Ormat, said the collaboration is a key step to diversify Ormat’s technological base. “I believe that this collaboration of two market leaders will enhance the value proposition to our clients and accelerate the growth for both Ormat and Toshiba.”
Ormat Technologies has five decades of experience in the geothermal and recovered energy generation (REG). Ormat has 470 employees in the United States and over 600 overseas. It currently owns or has installed to utilities and developers worldwide, totaling approximately 2,000 MW of gross capacity.