Ram Power, through its subsidiary Skyline Geothermal, has acquired an undivided 50% interest in the geothermal rights to 215 acres of land, the Filley property, associated with the identified steam resource for Ram Power's Geysers geothermal project in Northern California.
The remaining undivided 50% interest in the geothermal rights in the Filley property is being leased by another Ram Power subsidiary, Western GeoPower, under a long-term lease, which has been amended to eliminate certain performance conditions by Western to maintain the lease.
The Filley Property has one fully tested production well which can support approximately 20% of the 25-35MW project and has several existing well pads that could provide access into undeveloped areas of the steam field.
The Filley property is adjacent to the Mayacamas property which consists of 421 acres of land owned by another wholly-owned subsidiary of Ram Power.
The Mayacamas property has three fully tested production wells which can support over 80% of the project.
It is expected that financing will close by the second quarter of 2011 with construction and further development of the steam field to follow, and the company expects the project to be completed by 2013.