Contact Energy's Tauhara geothermal power plant in Tauhara, New Zealand, has officially begun operations, currently running at a capacity of 130 MW while final commissioning stages are underway. The plant recently completed a 30-day test run, reaching a continuous output of 152 MW and successfully testing at its target capacity of 174 MW. Once fully commissioned, Tauhara will stand as the world's largest single-shaft geothermal turbine power station, with an expected operational output of around 152 MW, and future modifications will aim to secure long-term generation at 174 MW.

The Tauhara project, which started in 2019 with an initial planned capacity of 152 MW, saw its capacity increase after the geothermal reservoir was found to be more productive than initially expected. Electricity generated by the plant will be sold to Genesis Energy under a 15-year Power Purchase Agreement (PPA).

Contact Energy is also working on other geothermal projects, including the 51-MW Te Huka geothermal power plant scheduled to go online in late 2024 and the replacement of the Wairakei A&B geothermal power stations. Additionally, the company plans to make a final investment decision in Q4 2024 on a new 100-MW binary plant, with a target completion date in mid-2027.

Impact on Geothermal Drilling in New Zealand and Beyond

The successful commissioning of the Tauhara geothermal power plant marks a significant advancement for geothermal energy in New Zealand, further establishing the country as a global leader in renewable energy.

For geothermal drillers, this project not only underscores the ongoing demand for expertise in geothermal exploration and development but also highlights the potential for more expansive projects in the region. The advancements in geothermal technology and drilling techniques showcased by Tauhara could set new standards for efficiency and productivity, encouraging further investment in geothermal projects both within New Zealand and internationally.

As the world shifts toward cleaner energy sources, the success of projects like Tauhara could stimulate similar initiatives globally, providing geothermal drillers with new opportunities in markets across the world, particularly in the United States.