Guatemala: Commercial Geothermal Resource Found at El Ceibillo

U.S. Geothermal El Ceibillo Project Update (News Release)

389°F (198.5°C) resource found at 1,300 feet (396 meters)

U.S. Geothermal Inc. has announced that its whole owned subsidiary U.S. Geothermal Guatemala S.A. has completed the drilling of well EC-2A and that well has successfully intersected a commercial geothermal resource at its El Ceibillo project in Guatemala.

The resource found in well EC-2A was intersected at a depth of 1,300 feet (396 meters) and had a flowing temperature of 389°F (198.5°C). This well was drilled to follow up on a 2014 temperature gradient drilling program in which two shallow wells also found high temperature fluid, but not in commercial quantities. Temperature gradient well TG-6 recorded a fluid temperature of 372°F (189°C) at 558 feet (170 meters) and well TG-7 found fluid at 381°F (194°C) at 659 feet (201 meters) deep.

Based on the discovery at EC-2A, two additional wells have been sited to further extend the resource area to the south and west of the known high temperature permeability and to test a deeper horizon in the system. Drill pads are being constructed and drilling of the next well is expected to begin within the next few weeks as weather allows. Pending results of these two wells, a decision will be made on the location for a production size well to fully test the resource to determine its size and production characteristics.

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