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Drilling Down on Geothermal Potential Central America

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Drilling Down on Geothermal Potential Central America ( drilling-down-geothermal-potential-central-america )

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36. The O&M for the steam field consists of cleaning the wells, drilling new ones (make- up wells) from time to time to regain lost capacity, and maintaining other equipment on the field. Estimated costs for these activities are, using the example of a 50 MW power plant unit, in the range of US$ 1 to 4 million per year, depending on fluid chemistry, quality of wells and other factors. 37. For the power plant unit, the maintenance costs are often estimated as 1.5 to 2.5 percent of the investment (purchase price) of the power plant. These figures can depend heavily on the chemical composition of the geothermal fluids, e.g. its acidity, corrosion and scaling potential etc. Using the 50 MW plant as an example, the plant would cost approximately US$ 100 million and need annual maintenance for US$ 1.5 to 2.5 million. 38. A fully automated 50 MW geothermal plant would need a staff of approximately 20 well trained personnel. Operating costs, including taxes, (wheeling-) charges, overhead etc. in a developed country could be estimated to be US$ 4 million per year, while in a developing country it definitely could be lower. 39. Total O&M costs for a 50 MW power plant in a developing or developed country would, according to the facts mentioned above, could typically be in the range of US$ 5 and 9 million per year, of which US$ 2 to 3 million would go towards drilling make-up wells. These costs can be translated into US$ 0.7 to 1.2 cents per generated kWh, based on a capacity factor of 90 percent. In some cases and locations, environmental abatement costs might have to be added to these figures, especially when non-condensable gases like H2S appear in high concentrations. Other social and environmental programs such as monitoring of gases, community development measures, worker health and safety and waste disposal measures should be considered in the ongoing operational costs. Licenses and compliance with government regulations may require specialized technical skills or professionals that can be integrated into the operational personnel structure. Workers and professionals at the plants must be trained in health and safety best practices while communities must be integrated into any emergency response measures that have been prepared. 40. To minimize the risks of pressure drops within the geothermal reservoir, geothermal projects are usually developed in steps of 35 to 50 MW. Units under 35 MW installed capacity are in many cases not considered economically justifiable, with the exception of small modular power units or extremely favorably located power plants. After having operated the first step for one or two years and the capability of the reservoir has been confirmed, subsequent stages can be added to the first power unit. 41. Potential environmental and social impacts and best practices for managing them throughout the project cycle are summarized in Table 21. 66

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