Ormat Technologies Signs Long-Term Geothermal PPA with NV Energy
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 3 hours ago
0mins
Should l Buy ORA?
Source: Benzinga
- Clean Energy Agreement: Ormat Technologies has signed a long-term geothermal Power Purchase Agreement (PPA) with NV Energy to support Alphabet's Google operations in Nevada, with plans to develop up to 150 megawatts of new geothermal capacity, enhancing the company's growth in renewable energy.
- Project Timeline: The agreement encompasses multiple geothermal projects expected to come online between 2028 and 2030, with a contract term of 15 years, ensuring a stable long-term revenue stream while facilitating efficient phased development across sites.
- Positive Market Reaction: Ormat's shares rose 5.54% following the announcement, trading at $124.74, indicating a strong upward trend as the stock approaches its 52-week highs despite mixed overall market performance.
- Analyst Ratings: The stock carries a Buy rating with an average price target of $110.69; while Jefferies downgraded it to Hold, the target adjustments from Oppenheimer and Barclays reflect confidence in Ormat's future growth prospects.
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Analyst Views on ORA
Wall Street analysts forecast ORA stock price to rise
8 Analyst Rating
6 Buy
2 Hold
0 Sell
Strong Buy
Current: 118.190
Low
111.00
Averages
120.00
High
135.00
Current: 118.190
Low
111.00
Averages
120.00
High
135.00
About ORA
Ormat Technologies, Inc. is a geothermal and vertically integrated company engaged in geothermal and recovered energy generation (REG). The Company owns, operates, designs, manufactures and sells geothermal and REG power plants primarily based on the Ormat Energy Converter, a power generation unit that converts low-, medium- and high-temperature heat into electricity. The Company has engineered, manufactured and constructed power plants, which it owns or has installed for utilities and developers worldwide, totaling approximately 3,400 megawatts (MW) of gross capacity. Its segments include Electricity Segment, Product Segment and Energy Storage Segment. Its Electricity segment develops, builds, owns and operates geothermal, solar PV and recovered energy-based power plants in the United States and geothermal power plants in other countries around the world. Product segment designs, manufactures, and sells equipment for geothermal and recovered energy-based electricity generation.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Ormat Technologies Signs Long-Term Geothermal PPA with NV Energy
- Clean Energy Agreement: Ormat Technologies has signed a long-term geothermal Power Purchase Agreement (PPA) with NV Energy to support Alphabet's Google operations in Nevada, with plans to develop up to 150 megawatts of new geothermal capacity, enhancing the company's growth in renewable energy.
- Project Timeline: The agreement encompasses multiple geothermal projects expected to come online between 2028 and 2030, with a contract term of 15 years, ensuring a stable long-term revenue stream while facilitating efficient phased development across sites.
- Positive Market Reaction: Ormat's shares rose 5.54% following the announcement, trading at $124.74, indicating a strong upward trend as the stock approaches its 52-week highs despite mixed overall market performance.
- Analyst Ratings: The stock carries a Buy rating with an average price target of $110.69; while Jefferies downgraded it to Hold, the target adjustments from Oppenheimer and Barclays reflect confidence in Ormat's future growth prospects.
See More
Ormat Signs Long-Term Geothermal Power Agreement with Berkshire Hathaway
- Long-Term Power Agreement: Ormat Technologies has signed a long-term geothermal power purchase agreement with Berkshire Hathaway's NV Energy, expected to provide up to 150 MW of new geothermal capacity for Google's operations in Nevada, significantly enhancing its renewable energy supply capabilities.
- Project Development Structure: The agreement establishes a portfolio structure that allows Ormat to develop a series of new geothermal projects in Nevada, with commercial operations expected to begin as early as 2028 and continue through 2030, strengthening the company's strategic positioning in the renewable energy market.
- Growing Electricity Demand: Ormat CEO Doron Blachar noted that AI is fundamentally increasing electricity demand across the technology sector, and geothermal power is uniquely positioned to deliver the reliable, carbon-free energy required to support this growth, further solidifying the company's market position.
- Market Coverage: NV Energy is the primary investor-owned utility in Nevada, serving 1.4 million customers and 56 million tourists annually, covering over 90% of the state's residents, highlighting the strategic importance of Ormat's partnership with them.
See More
ORMAT TECHNOLOGIES STOCK RISES 4.7% FOLLOWING PPA AGREEMENT WITH NV ENERGY FOR UP TO 150MW OF NEW GEOTHERMAL CAPACITY
- Stock Performance: Ormat Technologies shares increased by 4.7% following a significant announcement.
- New Capacity Addition: The company is collaborating with NV Energy to enhance geothermal capacity by up to 150 MW.
See More
ORMAT TECHNOLOGIES INC - PPA CONTRACT EXTENDED BY 15 YEARS AFTER PROJECT COMPLETION
Contract Extension: Ormat Technologies has extended its contract with the U.S. Department of Energy for an additional 15 years.
Project Continuation: This extension allows Ormat to continue its work beyond the final project phase, ensuring ongoing collaboration and development.
See More
ORMAT TECHNOLOGIES INC TO LAUNCH GEOTHERMAL PROJECTS IN NEVADA BETWEEN 2028 AND 2030
Geothermal Projects Overview: The article discusses the development of geothermal projects in Nevada from 2008 to 2030, highlighting the state's efforts to harness geothermal energy.
Technological Advancements: It emphasizes the technological innovations and methodologies being implemented to enhance the efficiency and output of geothermal energy production.
Environmental Impact: The article addresses the environmental benefits of geothermal energy, including its potential to reduce carbon emissions and reliance on fossil fuels.
Future Prospects: It outlines the future prospects for geothermal energy in Nevada, including potential growth in the industry and its role in the state's energy strategy.
See More
ORMAT TECHNOLOGIES: Power Purchase Agreement to Aid Google’s Data Center Activities in Nevada
- Company Overview: Ormat Technologies is involved in supporting Google's data center operations in Nevada.
- Industry Impact: The partnership highlights the growing importance of renewable energy and geothermal resources in powering tech infrastructure.
See More
Ormat Technologies Signs Long-Term Geothermal PPA with NV Energy
- Clean Energy Agreement: Ormat Technologies has signed a long-term geothermal Power Purchase Agreement (PPA) with NV Energy to support Alphabet's Google operations in Nevada, with plans to develop up to 150 megawatts of new geothermal capacity, enhancing the company's growth in renewable energy.
- Project Timeline: The agreement encompasses multiple geothermal projects expected to come online between 2028 and 2030, with a contract term of 15 years, ensuring a stable long-term revenue stream while facilitating efficient phased development across sites.
- Positive Market Reaction: Ormat's shares rose 5.54% following the announcement, trading at $124.74, indicating a strong upward trend as the stock approaches its 52-week highs despite mixed overall market performance.
- Analyst Ratings: The stock carries a Buy rating with an average price target of $110.69; while Jefferies downgraded it to Hold, the target adjustments from Oppenheimer and Barclays reflect confidence in Ormat's future growth prospects.
See More
Ormat Signs Long-Term Geothermal Power Agreement with Berkshire Hathaway
- Long-Term Power Agreement: Ormat Technologies has signed a long-term geothermal power purchase agreement with Berkshire Hathaway's NV Energy, expected to provide up to 150 MW of new geothermal capacity for Google's operations in Nevada, significantly enhancing its renewable energy supply capabilities.
- Project Development Structure: The agreement establishes a portfolio structure that allows Ormat to develop a series of new geothermal projects in Nevada, with commercial operations expected to begin as early as 2028 and continue through 2030, strengthening the company's strategic positioning in the renewable energy market.
- Growing Electricity Demand: Ormat CEO Doron Blachar noted that AI is fundamentally increasing electricity demand across the technology sector, and geothermal power is uniquely positioned to deliver the reliable, carbon-free energy required to support this growth, further solidifying the company's market position.
- Market Coverage: NV Energy is the primary investor-owned utility in Nevada, serving 1.4 million customers and 56 million tourists annually, covering over 90% of the state's residents, highlighting the strategic importance of Ormat's partnership with them.
See More
ORMAT TECHNOLOGIES STOCK RISES 4.7% FOLLOWING PPA AGREEMENT WITH NV ENERGY FOR UP TO 150MW OF NEW GEOTHERMAL CAPACITY
- Stock Performance: Ormat Technologies shares increased by 4.7% following a significant announcement.
- New Capacity Addition: The company is collaborating with NV Energy to enhance geothermal capacity by up to 150 MW.
See More
ORMAT TECHNOLOGIES INC - PPA CONTRACT EXTENDED BY 15 YEARS AFTER PROJECT COMPLETION
Contract Extension: Ormat Technologies has extended its contract with the U.S. Department of Energy for an additional 15 years.
Project Continuation: This extension allows Ormat to continue its work beyond the final project phase, ensuring ongoing collaboration and development.
See More
ORMAT TECHNOLOGIES INC TO LAUNCH GEOTHERMAL PROJECTS IN NEVADA BETWEEN 2028 AND 2030
Geothermal Projects Overview: The article discusses the development of geothermal projects in Nevada from 2008 to 2030, highlighting the state's efforts to harness geothermal energy.
Technological Advancements: It emphasizes the technological innovations and methodologies being implemented to enhance the efficiency and output of geothermal energy production.
Environmental Impact: The article addresses the environmental benefits of geothermal energy, including its potential to reduce carbon emissions and reliance on fossil fuels.
Future Prospects: It outlines the future prospects for geothermal energy in Nevada, including potential growth in the industry and its role in the state's energy strategy.
See More
ORMAT TECHNOLOGIES: Power Purchase Agreement to Aid Google’s Data Center Activities in Nevada
- Company Overview: Ormat Technologies is involved in supporting Google's data center operations in Nevada.
- Industry Impact: The partnership highlights the growing importance of renewable energy and geothermal resources in powering tech infrastructure.
See More
