The land and subsurface rights around the resource are controlled by Ounalashka Corporation, (OC). OC is an Alaska Native Village Corporation formed in 1973 under the Alaska Native Claims Settlement Act (ANCSA). OC is a for profit real estate leasing and development company with approximately 500 shareholders.
Chena Power LLC, (CP) is a privately held Fairbanks based entity that installed the first geothermal power plant in the State of Alaska and serves as a demonstration of the Organic Rankine Cycle (ORC) technology for rural Alaska.
OC, and CP have formed a Partnership, Ounalashka Corp. and Chena Power, LLC (OCCP, LLC). The LLC is 51% owned by OC. OC has leased over 7,000 acres of land and its subsurface rights, surrounding well ST-1, to the LLC for 50 years.
OCCP in conjunction with Power Engineers and others have arrived at a preferred power plant technology solution and power delivery methodology. Also, we have arrived at (1) a construction and logistic plan, (2) a draft Division of Responsibility matrix, and (3) a draft Design Criteria document for the entire project.
With these tools we are now at the point where turnkey lump sum bids can be tendered with definitive scope definitions available for major project scope. Request for Proposals (RFP’s) have been issued to the four major geothermal engineering procurement and construction firms in the world, i.e., Kaishan (China), ORMAT (Israel), Turboden (Italy), and Atlas Copco (Germany). The competitive tender process will receive responses soon, and they will be evaluated on a best value basis for the MGP.
Body of prior work substantial and relevant
Over the last 65 years, a significant body of knowledge has been accumulated concerning geotechnical understanding of Unalaska Island, Makushin Volcano and corresponding geothermal resources. The Makushin Geothermal Resource (MGR), scientific and technical literature is rich, rigorous and comprehensive, with almost 100 reports, published papers, documents and maps. The resource is established and no further field delineation is required.
There have been eleven development approaches, some very solid that contain detailed engineering scope and estimates, but they have all failed to put together a winning combination of technical and business acumen to succeed – even when, seemingly, all parties involved wanted the project to succeed.
Our team is developing white papers that condense and summarize past studies and development schemes. The purpose of those white papers is to provide the basis to solve the enigma by creating a scientific basis for development of a successful business approach.
The body of work associated with the Makushin Geothermal Project (MGP) is valuable and substantial and will eliminate cost and time from the project’s development.