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Ormat Technologies, Inc. Signs New 20-Year Power Purchase Agreement With Southern California Edison for Up to 100 Megawatts of Geothermal Power

Posted on: Monday, 17 December 2007, 03:00 CST

RENO, Nev., Dec. 17 /PRNewswire-FirstCall/ -- Ormat Technologies, Inc. today announced that its subsidiary signed a 20-year power purchase agreement with Southern California Edison (SCE) for the sale of energy to be produced by a new plant that will be built in Imperial Valley, Calif. The plant is expected to come on line by mid 2012 and is expected to have a total output of 30 megawatts. The agreement includes an option to increase capacity to 100 megawatts.

(Logo: http://www.newscom.com/cgi-bin/prnh/20040422/LATH066LOGO)

This agreement stems from a 2007 request for proposal from SCE and it is subject to approval by the Public Utilities Commission of California (CPUC)

The power rates agreed upon will not exceed the 2007 Market Price Referent ("MPR") as approved by the CPUC for a baseload plant for the use in the 2007 Renewable Portfolio Standard solicitations.

"The agreement for the new Imperial Valley Power Plant is the eighth such agreement between Ormat and SCE, and the second executed since the enactment of California's aggressive renewable portfolio standard legislation," said Dita Bronicki, chief executive officer of Ormat. We are very happy to bring more baseload through clean geothermal energy to California. We are already supplying approximately 160 megawatts of geothermal energy to SCE from the existing power plants that we operate and we have an additional 50 megawatts under construction. This new contract will further increase our share in SCE's impressive portfolio of clean energy generation."

In May, Ormat signed a 20-year agreement with Nevada Power Company, for the sale of energy produced from the Grass Valley Geothermal Power Plant. That contract has recently received the approval the Public Utilities Commission of Nevada.

About Ormat Technologies

Ormat Technologies, Inc., is a vertically-integrated company primarily engaged in the geothermal and recovered energy power business. The Company designs, develops, builds, owns and operates geothermal and recovered energy power plants using Organic Rankine Cycle (ORC) technology. Additionally, the Company designs, manufactures and sells geothermal and recovered energy power units and other power generating equipment, and provides related services. Ormat is a pioneer and a leader in the manufacture of ORC power equipment its products and systems are covered by approximately 70 patents. Ormat currently operates the following geothermal power plants in the United States - Brady, Heber, Mammoth, Ormesa, Puna and Steamboat; in Guatemala - Zunil and Amatitlan; in Kenya - Olkaria; and in Nicaragua - Momotombo. In the U.S., Ormat owns and operates four OREG1 Recovered Energy Generation plants.

Safe Harbor Statement

Information provided in this press release may contain statements relating to current expectations, estimates, forecasts and projections about future events that are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally relate to Ormat's plans, objectives and expectations for future operations and are based upon its management's current estimates and projections of future results or trends. Actual future results may differ materially from those projected as a result of certain risks and uncertainties. For a discussion of such risks and uncertainties, see "Risk Factors" as described in Ormat Technologies, Inc.'s Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 12, 2007 and the Prospectus Supplement filed with the SEC on October 23, 2007.

These forward-looking statements are made only as of the date hereof, and we undertake no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

Ormat Technologies Contact: Investor Relations Contact: Dita Bronicki Jeff Corbin/Todd Fromer Chief Executive Officer KCSA Worldwide 775-356-9029 212-896-1214/212-896-1215 dbronicki@ormat.com jcorbin@kcsa.com/tfromer@kcsa.com

Photo: http://www.newscom.com/cgi-bin/prnh/20040422/LATH066LOGO

Ormat Technologies, Inc.

CONTACT: Dita Bronicki, Chief Executive Officer of Ormat Technologies,+1-775-356-9029, dbronicki@ormat.com; Jeff Corbin, +1-212-896-1214,jcorbin@kcsa.com, or Todd Fromer, +1-212-896-1215, tfromer@kcsa.com, both ofKCSA Worldwide for Ormat

Web site: http://www.ormat.com/

Source: PRNewswire-FirstCall

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