Ormat Technologies: The Undisputed Leader in Indonesia's Geothermal Concessions

Ormat Technologies: The Undisputed Leader in Indonesia's Geothermal Concessions – Spotlight on the Telaga Ranu Victor

Ormat Technologies: Why It Remains the Go-To Choice for Geothermal Concessions in Indonesia Spotlight on the Latest Telaga Ranu Award

By:Robert Buluma

Posted on January 17, 2026 by Alphaxioms Geothermal News

Indonesia, with its vast volcanic landscape, holds one of the world's largest untapped geothermal potentials, estimated at around 28,000 MW. The government has been aggressively pushing for geothermal development as part of its energy transition, aiming to replace diesel-based power with reliable, baseload renewable energy. In this competitive arena, Ormat Technologies, Inc. (NYSE: ORA) consistently emerges as the preferred partner for major concessions and projects.

On January 15, 2026, Ormat announced it was awarded the Telaga Ranu Geothermal Working Area in Halmahera, North Maluku, by Indonesia's Ministry of Energy and Mineral Resources. This came after a competitive tender involving four qualified bidders, including major players like PT Pertamina Geothermal Energy and PT Barito Renewables Energy. The site, located in the country's highest approved feed-in tariff zone, has the potential to deliver up to 40 MW of baseload geothermal power by the end of 2030, aligning perfectly with PT PLN's Electricity Supply Plan (RUPTL) and supporting decarbonization efforts in remote regions.

This latest win is no fluke,it's the latest chapter in Ormat's proven track record in Indonesia.

A Long-Standing Presence and Proven Expertise

Ormat has been active in Indonesia for decades, leveraging over 50 years of global geothermal experience. The company is the only vertically integrated geothermal player, handling everything from exploration and design to manufacturing, construction, ownership, and operation. This end-to-end capability minimizes risks, optimizes efficiency, and ensures sustainable resource management,key factors that governments and partners value in complex tenders.

One of Ormat's flagship contributions is its role in the massive Sarulla Geothermal Power Plant in North Sumatra, one of the world's largest geothermal complexes. Ormat partnered in this 330 MW project (completed in phases, with the final unit online in 2018), combining its binary technology with other systems for maximum output and environmental sustainability.

More recently:

- In 2019, Ormat acquired a 49% stake in the Ijen Geothermal Project in East Java through a joint venture with Medco Power.

- The Ijen facility reached commercial operations in February 2025, delivering 35 MW (with Ormat's share at 17 MW) of low-carbon power.

- Ormat has also secured supply contracts, such as a 14 MW extension for the Salak geothermal field and exploration agreements in North Sulawesi.

These successes build a strong portfolio, with Ormat currently operating assets in Indonesia as part of its global 1,310 MW geothermal and solar generating portfolio.

Key Reasons Ormat Consistently Wins Awards

Why does Ormat keep securing these high-stakes concessions? Several factors set it apart:

1. Proven Track Record and Reliability

Governments favor companies with demonstrated success in developing and operating geothermal plants sustainably. Ormat's history of delivering projects on time, with minimal environmental impact (e.g., 100% fluid reinjection in many cases), builds immense trust. CEO Doron Blachar emphasized this in the Telaga Ranu announcement, noting the "trust placed in us by the Government of Indonesia."

2. Advanced Technology and Innovation

Ormat's proprietary Ormat Energy Converter (OEC) excels at converting low- to high-temperature heat into electricity efficiently. This modular, flexible technology suits Indonesia's diverse geothermal resources and supports enhanced geothermal systems (EGS) advancements.

3. Competitive Edge in Tenders

Tenders like Telaga Ranu are highly competitive, yet Ormat's vertical integration reduces costs and risks, making its bids more attractive. Its global experience in challenging environments (e.g., Kenya, Guatemala) translates well to Indonesia's remote sites.

4. Alignment with National Goals

Indonesia prioritizes baseload renewables to replace diesel in islands like Halmahera. Ormat's projects provide 24/7 reliable power, directly supporting energy security, economic growth, and net-zero ambitions.

5.Strong Local Partnerships and Commitment

Ormat frequently partners with Indonesian firms (e.g., Medco Power, Archi Indonesia), fostering technology transfer and local benefits.

Visualizing Ormat's Geothermal Success in Indonesia

Here are some illustrative images of Ormat's key geothermal projects and technology in action:

This shows the expansive Sarulla Geothermal Power Plant, highlighting Ormat's role in large-scale development.

An aerial view of a modern geothermal power plant, representative of Ormat's efficient, low-impact facilities like Ijen.

Ormat's binary cycle technology in operation, demonstrating the clean energy conversion process that gives the company its edge.

Looking Ahead

With the Telaga Ranu award, Ormat's exploration pipeline in Indonesia grows significantly, adding to its ~59 MW operating capacity. This reinforces Ormat's position as a leader in the country's geothermal sector.

As Indonesia accelerates its renewable push, Ormat's combination of experience, technology, and reliability makes it the natural choice for future concessions. The Telaga Ranu win is a testament to why Ormat has "always been the main awarded" in this space,delivering results that matter for energy transition and sustainability.

Stay tuned to Alphaxioms Geothermal News for more updates on this exciting project and the global geothermal landscape!

Source: Invest News

Connect with us:LinkedIn, X

Comments

Eavor Demobilizes Rigs in Geretsried: What It Means for Closed-Loop Geothermal Investors, Heat Markets, and Project Risk

Eavor Demobilizes Rigs from Geretsried: What It Really Means for Closed-Loop Geothermal For three years, two drilling rigs on a farm estate near Geretsried, a Bavarian town about 40 km south of Munich, stood as the symbol of the world's most ambitious closed-loop geothermal experiment. Now in October 2026, Eavor Technologies, the Calgary-based developer of the Eavor-Loop, has told the town and its heating utility that both rigs would leave the site . The company said keeping idle rigs and specialist services on site was costly, and that releasing them would help put the project in the strongest position to continue with Loop 2 once its commercial structure is reworked . On the surface, this is a logistics decision. Underneath, it is one of the clearest signals yet about where first-of-a-kind geothermal technology stands, and how hard it is to turn a technical proof into a bankable business. This article explains exactly what happened, what the move means and what it does not mean...

Endurance Energy Tests World's First Subsea Geothermal Well at Axial Seamount

Endurance Energy Tests the World's First Subsea Geothermal Well: What the Axial Seamount Demonstration Really Proved What if geothermal energy did not need a power plant on land? What if electricity could be produced directly from the Earth's heat beneath the ocean, with generators sitting on the seafloor and sending power to coastal grids? On October 19, 2026, Seattle-based startup Endurance Energy announced a major step toward that idea. The company said it had drilled and completed the world's first subsea geothermal well and placed a 3-ton test power plant nearly a mile beneath the Pacific. It also reported net-positive electricity from heat at an active underwater volcano, according to its announcement on PR Newswire. The headline numbers are modest. The Adélie prototype produced more electricity than it used for about 8.7 seconds. During that time it delivered a median net output of about 2 kilowatts and a peak of 16.5 kilowatts. One detail matters more than any other...

Geiselbullach Geothermal Project Confirms 10 MW District Heating Capacity

Geothermal milestone at Geiselbullach: 10 MW of heat confirmed after successful second deep well test On 15 August 2026 the Geiselbullach geothermal project reached a pivotal technical milestone: performance testing of the second deep production well completed successfully, delivering a sustained flow of 90 liters per second of thermal water at 79–80 °C. These measured parameters translate into roughly 10 MW of usable thermal power for district heating, enough to replace a portion of heat currently supplied by the municipal waste-to-energy plant (AHKW) and to create headroom for expanding the regional district heating network. The result confirms the project’s technical assumptions and moves the scheme into system-integration and commissioning activities ahead of planned commercial deliveries for the 2027 heating season. This article explains the test results and their significance, outlines the technical and operational consequences, and places the Geiselbullach development in the bro...

Menengai Geothermal Project Delays Expose Kenya’s Broken Steam Supply Model

Menengai’s Broken Promise: How Kenya’s Geothermal Model Lost the Steam Thematic image of the Olkaria Geothermal Field Kenya’s Menengai geothermal project was sold as a model of modern public-private partnership. The state would carry the difficult and expensive burden of geothermal exploration and drilling. Private power producers would then build, own and operate power plants. Geothermal Development Company would supply the steam; the independent power producers would convert it into electricity; Kenya Power would buy the output. On paper, the arrangement was elegant. In practice, Menengai has exposed a far more uncomfortable reality: Kenya’s public steam-supply model is not delivering the certainty it promised. Menengai Phase I was designed to produce 105 megawatts from three 35 MW plants. GDC’s own project page says the three plants were awarded to Globeleq Menengai Geothermal, Sosian Menengai Geothermal Power and OrPower Twenty Two under a build-own-operate structure. Yet the ...

BLM Nevada Geothermal Lease Auction Boosts Renewable Energy Investment amid Solar Land Conflict

BLM’s Nevada Geothermal Lease Auction Signals Rising Competition for Federal Energy Land The Bureau of Land Management’s latest geothermal lease sale in Nevada attracted nearly $4.83 million in total receipts, highlighting growing investor interest in geothermal resources as electricity demand rises . The auction also exposed an increasingly important land-use conflict: several geothermal parcels overlap with proposed utility-scale solar projects, including NextEra Energy’s 1,000-megawatt Sawtooth Energy Center. The October 20, 2026, sale offered 83 parcels covering approximately 265,155 acres across 10 Nevada counties. Bidders placed offers on 60 parcels covering 186,641 acres, while 23 parcels received no bids. The results provide a new measure of competition for federal geothermal acreage in one of the United States’ most important geothermal states. Auction Results The Nevada auction attracted 32 registered bidders, of which 18 submitted at least one bid. Across the sale, bidders s...

KenGen Risks Losing Olkaria Geothermal Wells Over Licence Error

KenGen Risks Losing Olkaria Wells Over 18-Year Licence Blunder Kenya Electricity Generating Company (KenGen) faces a serious legal and operational risk at Olkaria after an error in the coordinates of its geothermal licence left part of the company’s wells, steam infrastructure and other assets outside its legally recognised area. The licensing mistake, made nearly two decades ago, remains unresolved despite the Ministry of Energy and Petroleum acknowledging the problem in 2017. The dispute has raised questions about the security of KenGen’s investments, the government’s management of geothermal resources and the potential consequences for Kenya’s electricity supply. Olkaria is the country’s most important geothermal centre and accounts for the overwhelming majority of Kenya’s installed geothermal generation capacity. Licence Error Exposes Strategic Assets The problem dates back to September 19, 2008, when the Ministry of Energy and Petroleum issued KenGen a licence covering ...

Lithium Harvest Plans Alberta Geothermal Power and Lithium Project

Lithium Harvest’s Alberta Geothermal Project Could Combine Renewable Power and Domestic Lithium Production Lithium Harvest Holding A/S has signed a letter of intent with an unnamed geothermal development partner to establish a joint venture for an integrated geothermal power and lithium production facility in Alberta, Canada. At full nameplate capacity, the proposed project is expected to produce approximately 28,500 tonnes of lithium carbonate annually while generating 0.67 TWh of renewable electricity each year. The development would use a single geothermal resource to supply both baseload power and lithium-bearing brine for direct lithium extraction and refining. A Dual-Output Geothermal Development The proposed Alberta facility reflects a growing effort to extract more value from geothermal resources than electricity generation alone. Traditional geothermal power projects produce electricity by bringing hot underground fluids to the surface. Depending on resource temperature a...

Djibouti Pays KenGen: $1M Offer on a Five-Year Geothermal Drilling Debt

Djibouti Pays KenGen: A $1 Million Offer on a Five-Year-Old Geothermal Drilling Debt Djibouti has finally moved to pay part of what it owes Kenya Electricity Generating Company (KenGen) for drilling work done near Lake Assal. The amount is small next to KenGen's balance sheet. What it says about selling geothermal drilling services across Africa matters a lot more. KenGen's latest annual report says Djibouti's state geothermal agency, the Office Djiboutien de Développement de l'Énergie Géothermique (ODDEG), has offered a first instalment of about $1 million (Sh129 million) against outstanding invoices of $2.13 million (Sh276.03 million), according to Business Daily. "ODDEG has acknowledged the debt and has proposed an initial payment of $1 million as the first instalment towards settlement," KenGen said in the report. KenGen is Kenya's largest power producer, with about 54% of the market. The Kenyan government owns 70% of the company and the public holds t...

Corva and Oliasoft Connect Well Design With Real-Time Drilling

Corva and Oliasoft Build a Continuous Learning Loop for Smarter Well Construction Introduction Corva AI and Oliasoft have announced a strategic collaboration designed to connect well engineering, real-time drilling operations and post-well analysis through a bidirectional digital workflow. The integration links Oliasoft WellDesign with Corva’s Real-Time AI platform, creating a continuous information loop in which engineering plans guide field execution and drilling results improve future well designs. The partnership addresses one of the persistent weaknesses in modern well construction: the separation between planning software and operational systems. Although operators generate large volumes of engineering and drilling data, those datasets often remain fragmented across departments, applications and reporting processes. The result is slower decision-making, repeated manual work and limited transfer of lessons from one well to the next. By connecting design assumptions with liv...

California Court Orders New Environmental Review for Imperial County Geothermal Lithium Project

California Appeals Court Orders New Environmental Review for Imperial County Geothermal–Lithium Project Image: California Salton Lake Sea Hell’s Kitchen geothermal and lithium extraction plan sent back for deeper water, air-quality and mitigation analysis under CEQA A California appeals court has ordered Imperial County to conduct a more rigorous environmental review of the proposed Hell’s Kitchen geothermal power plant and lithium extraction project near the Salton Sea. The Fourth District Court of Appeal found that the county’s original environmental impact report (EIR) did not adequately address long-term water availability, enforceable mitigation measures for water shortages, or potential air-quality impacts tied to the receding Salton Sea. The ruling partially reverses a lower court decision and remands the case to Imperial County Superior Court, requiring the county and project developer Controlled Thermal Resources to address the identified deficiencies before the project can m...

ALPHAXIOMS Geothermal News & Energy Research

Search This Blog

Just In

Újbuda Geothermal Energy Exploration Approval Boosts Sustainable Heating Potential