Nevada Geothermal Power Inc., the clean-energy company that received U.S. backing for a $98.5 million loan, will seek buyers or joint-venture partners for its four remaining geothermal developments.
Nevada Geothermal is also changing its name and carrying out a 1-for-5 reverse stock split, following a plan shareholders approved last year, the Vancouver-based company said in a statement today. Nevada Geothermal will change its name to Alternative Earth Resources Inc.
The U.S. Energy Department guaranteed 80 percent of the loan the company received in 2010 to refinance and expand the Blue Mountain Faulkner 1 plant in Nevada, which generates electricity from heat stored in the earth. Nevada Geothermal said Jan. 16 it was transferring the project to EIG Global Energy Partners LLC to repay a loan of about $97.4 million.
The company’s other projects are in Nevada, California and Oregon and three of them “can be ready for development drilling or start of construction in 2013,” Nevada Geothermal said. Tax credits approved by U.S. legislators this month should provide “significant” incentives for prospective partners, the company said.
Nevada Geothermal, which hasn’t reported a profit in at least the past 10 years, rose 50 percent to 1.5 Canadian cents at the close in Toronto.