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.
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.
Kaishan is a Chinese based company, with manufacturing facilities in the US. They are the world’s third largest manufacture of compressed air and mining equipment. They manufacture innovative Steam expanders that generate power from expanding steam or gases. They also manufacture Organic Rankine Cycle (ORC) power plants that can be used to covert lower temperature geothermal hot water into electricity. Kaishan have been working diligently on producing large scale steam screw expanders for geothermal use that provide a number of benefits and increased efficiency when compared to existing technology. Kaishan has a working plant, with its latest technology, deployed in Indonesia that is similar to the power plant envisioned for MGP.
Kaishan has assigned a technical representative to the Makushin Geothermal Project. This same representative worked with Chena Power LLC to develop its successful geothermal power project in Alaska. The continuity and relationship established in years past, reinforces that the same will happen in the years forward.
Kaishan will provide the power performance guarantees for the project and will be responsible for the Engineering Procurement and supervision of Construction for the items within the boundaries of its assigned scope of responsibilities.