geothermal energy development in the NWT

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Background between the geothermal resources and the cooling source (air or water). Thus geothermal production efficiency would be greater in winter, when power demand is highest, than in summer.10 The best example of this is in Chena, Alaska where water at 73.3°C produces electricity, replacing a diesel generation system.11 This is the lowest-temperature geothermal production in the world to date.12 2.2 Recent proposed developments in NWT Two geothermal projects are under consideration in NWT: • The proposed Fort Liard Geothermal Demonstration Project could provide 1 MW of electricity and 1 MWh of heat. The project is a joint venture with Acho Dene Koe First Nation and Borealis GeoPower, and has qualified for $10-20 million dollars of funding under the Federal Clean Energy Fund.13 As of January 2011, Borealis GeoPower is moving forward with project development, and estimates that the project will be producing by the end of 2013.14 • The Con Mine District Heating System in Yellowknife would produce 52,000 MWh/yr to heat almost 40 commercial buildings in downtown Yellowknife. This would offset approximately 7.5 million liters of heating oil per year.15 This project has also qualified for $14.1 million under the Clean Energy Fund.16 As of January 2011, a concept study and feasibility study have been completed, and the city has requested private partner interest in the project. A city-wide referendum was held in March 2011 to gauge support of city residents for borrowing funds for the project.17 The city residents voted against the request, thereby limiting the city’s ability to participate in the project (although a private developer could still develop the project). 2.3 Types of geothermal systems High-quality geothermal resources are reservoirs such as steam and super-heated hydrothermal systems with excellent water flow and over 200°C temperature water or steam. Medium-quality 10 Personal communication, Alison Thompson, Canadian Geothermal Energy Association. October 17, 2010. 11 Gwen Holdmann, The Chena Hot Springs 400kW Geothermal Power Plant: Experience Gained During the First Year of Operation (Chena Hot Springs/Chena Power, 2007) http://www.yourownpower.com/Power/2007GRCPaper.pdf 12 Leslie Blodgett, “Developing Geothermal Energy at Low Temps,” Renewable Energy World, September 21, 2010. http://www.renewableenergyworld.com/rea/news/article/2010/09/low-temperature-geothermal-energy- expanding-market-opportunities 13 Natural Resources Canada, “Clean Energy Fund Renewable Energy and Clean Energy Systems Demonstration Projects,” backgrounder, January 2010. http://www.nrcan-rncan.gc.ca/media/newcom/2010/201001a-eng.php 14 Canadian Geothermal Energy Association, Overview of Canadian Geothermal Projects (2010). 15 Mark Henry, “City of Yellowknife District Energy Investment Decision Project: Economic Assessment Update,” (presented to the Community Energy Planning Committee, September 22, 2010.) 16 Natural Resources Canada, “Clean Energy Fund Renewable Energy and Clean Energy Systems Demonstration Projects.” 17 City of Yellowknife, “Con Mine Energy Project Progress Diary.” http://www.yellowknife.ca/City_Hall/Departments/Public_Works___Engineering/YellowknifeCommunityEnergyPl an/ConMineEnergyProject/ProjectProgressDiary.html The Pembina Institute 13 Building a regulatory framework for geothermal development in the NWT

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