Baseload Clean Energy acquires Bottle Rock Power LLC
Written By: Stratton Report
November 20, 2015
On November 20, Baseload Clean Energy Partners announced the acquisition of Bottle Rock Power LLC, a 55-MW dry-steam geothermal plant in Lake County, California. Baseload Clean Energy is an energy portfolio owned and operated by AltaRock Energy.
Baseload Clean Energy purchased the remaining equity in the plant and associated leases for an undisclosed sum from Riverstone Holdings and U.S. Renewables Group. The company plans to upgrade the existing facilities to include energy storage in an effort to better manage supply and demand on the power grid.
Baseload Clean Energy Partners’s business model is to apply to its acquisitions enhanced geothermal energy systems (called EGS), a technology developed by AltaRock Energy. The acquisition contributes to BCEP’s overall goal of aggregating assets that benefit substantially from improvements in advanced energy technology.
Aaron Mandell, chief executive officer of BCEP commented:
“The next step in our strategy is the integration of energy storage within existing plants. Bottle Rock is an extremely valuable asset given the project’s access to the Northern California energy markets and future expansion potential of the geothermal resource. In the near term, we will focus on safely maintaining the existing plant and well field, but are actively working towards adding performance enhancements to enable flexible generation using energy storage.”
The company’s view is that as solar becomes an increasingly large portion of the overall energy supply, grid operators will need flexible and dispatchable generation sources to accommodate the resulting new load profiles. Adding energy storage to baseload generation like geothermal energy will provide a way to both curtail excess solar during the day and tailor generation to better reflect real-time demand. Ultimately, flexible energy resources will be the key to delivering a carbon-free energy grid—which will make such resources increasingly valuable.