| Abstract |
The Geysers is located approximately 75 miles north of San Francisco. It is the only area in the United States that produces steam commercially for electric generation. The drilling activity in this area has subsided mainly due to environmental and institutional barriers. The drilling methods over the past 5 years have not seen any major changes but the drilling cost have increased tremendously. A typical 7,000' to 8,000' well drilled 5 years ago could have been drilled for approximately $400,000 while experiencing only minor problems. Today this same well would cost approximately $1,000,000. There are many conditions which add to normal drilling costs which sometimes can more than double the expected expenditures. |