Idaho, United States [RenewableEnergyWorld.com] U.S. Geothermal Inc. announced that an interconnection agreement for the Neal Hot Springs project has been reached with the Idaho Power Company (IPC). The agreement encompasses the design and construction of a transmission line and substation from the Neal Hot Springs project site to IPC’s nearby transmission grid.
The new 10.3 mile line is being designed for 36 megawatts of transmission capacity. A recent study completed by IPC estimated the construction cost of the new connection to be US $3.2 million.
IPC is responsible for the design, engineering, right-of-way acquisition and construction of the new line and its associated facilities. This line is part of the development plan for the Neal Hot Springs project that is currently expected to deliver electrical power beginning in early 2011.
U.S. Geothermal is completing a feasibility study and preparing project loan and technical documents required to obtain funding for development and construction of the project. The power is expected to be sold under a long term agreement that is currently under negotiations.