U.S. Geothermal this week said that its U.S. Geothermal Guatemala subsidiary has received a grant from the U.S. Trade and Development (USTDA) for a feasibility study on the El Ceibillo Geothermal power plant project.
With an initial development of 25 MW, the planned El Ceibillo geothermal project will include a flash steam power plant to be located southwest of Guatemala City.
The company said that the approximately $825,000 grant will help update the resource evaluation, power plant design, financial analysis, environmental and regulatory review, and EPC technical specifications and bid package evaluations, in order to advance the Project to a construction-ready state.
The study will begin within the next two months, with scheduled completion by the end of 2018, according to the company.
U.S. Geothermal said that expenditures at El Ceibillo are being carefully controlled until we see evidence that the energy market is advancing in Guatemala. The Guatemalan government announced earlier this year that a request for proposals for 420 MW of energy, which included 40 megawatts for geothermal, was going to be issued in 2017, but that RFP has yet to be issued.