$300 million geothermal plant's impact is widespread

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As participants in the groundbreaking of a $300 million geothermal plant near Hazen climbed back into the buses that would return them to their cars last week, their name tags told the story of the wide-ranging economic impact of the facility.

Investors and financial advisors who came to the remote site from one coast to the other shook the desert dust off their well-polished shoes, took their seats on the bus and visited with representatives of local suppliers such as COD Diesel and Repair of Fallon.

Reno-based Gradient Resources says 250 Nevada companies are expected to play some role in the development of the Patua Plant during the next 16 months.

At the peak of construction, about 170 people are expected to be employed on the project. Once construction is complete, 32 people will work in operations and maintenance positions, and the plant's total payroll is estimated at $2.5 million.

That's particularly good news in nearby Lyon County the plant is near the Churchill-Lyon county line about 10 miles southeast of Fernley where unemployment this year has topped 17 percent, said State Assemblyman Tom Grady.

Benham Constructors LLC, a design-build subsidiary of Science Applications International Corp. of McLean, Va., will provide engineering, procurement and construction services at the plant.

Northern Nevada Excavating Inc. of Sparks began dirt work at the site about two weeks ago.

TAS Energy Inc. of Houston will provide technology support.

For executives of Gradient, last week's groundbreaking marked the culmination of a two-decade effort to identify promising geothermal resources and assemble the financing to bring a geothermal generation project to reality.

The 60-megawatt Patua plant will generate roughly enough power to supply roughly 36,000 homes. The plant's energy production will be sold to Sacramento Municipal Utility District. It's expected to come on line in late 2012.

Craig Mataczynski, chief executive officer of Gradient Resources, said the deal to sell the plant's power to customers in California spotlights one of the most critical needs facing the geothermal industry today development of improved transmission lines between Nevada's resources and power-hungry California cities.

The industry's second big need, he said, is consistent legislation so that geothermal companies know what incentives will be available over the long-term for development of renewable-energy projects.

The Patua plant is located on a combination of private and federal lands.

Formerly known as Vulcan Power, Gradient moves its corporate headquarters to Reno's South Meadows from Bend, Ore., last August.