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Drilling Industry NewsEnergy & Industrial DrillingGeothermal

Geothermal-Energy Projects on Federal Land in Nevada OK’d by BLM

Approvals will increase drilling at the projects while at least one project will expand facilities to increase electric output

By J.J. Smith
An image of geothermal energy plant

Image via Zysman from Getty Images

July 14, 2025

The approval of three geothermal energy projects located on federal land in Nevada by the Bureau of Land Management (BLM) will enable those projects to increase drilling, while a third project can upgrade and expand existing geothermal facilities to produce more power, the BLM says.

The BLM approved the three Nevada based geothermal-energy projects, as well as a natural gas pipeline in Montana. By approving those projects more jobs are expected to be created, and U.S. energy supplies will be strengthened, BLM Acting Director Bill Groffy said in a written statement. “These projects mark important progress in expanding both traditional and renewable energy infrastructure on public lands,” Groffy said. 

The three geothermal energy projects that received BLM approval are operated by Ormat Technologies, Inc.

They are:

  • Diamond Flat Geothermal Project located near Fallon, Nev. At that project Ormat says it plans to conduct geothermal resource confirmation activities to assess the commercial viability of the geothermal reservoir on federally leased lands by drilling up to 33 shallow test wells and up to four temperature gradient wells to better outline the extent of the local geothermal resources. Based on the outcome of these initial exploration efforts Ormat says it will then drill up to 19 geothermal exploration wells to confirm the presence of economical geothermal resources. Upon completion of the project, all wells would be plugged and abandoned in accordance with state and federal law, and the project area would be reclaimed to pre-disturbance conditions, unless a plan for utilization operations is submitted, Ormat says.

  • McGinness Hills Geothermal Optimization Project located near Lander County, Nev. At that project Ormat is currently conducting operations under an existing authorization that allows for up to 319.7 acres of surface disturbance within the existing McGinness Hills Unit boundary, of which only 149 acres have been utilized. The project approval allows for the upgrade and expansion of three existing geothermal power plants including the creation of new production wells, as well as advanced heat exchangers, upgraded cooling fans, and the addition of a 15-megawatt solar photovoltaic field that will improve overall efficiency and increase output beyond the current 193 megawatts.

  • Pinto Geothermal Project located near Denio, Nev. At that project Ormat says it will conduct exploratory drilling and evaluate geothermal resources on BLM-managed lands to determine the potential for future power generation. The project would include the drilling and testing of geothermal wells and access road construction, according to Ormat.

“By responsibly developing energy resources on public lands, we’re (the BLM) helping to secure a reliable, diverse energy future for the nation while supporting jobs and local economies,” Groffy said.

Click here to access the BLM announcement: “BLM greenlights geothermal and pipeline projects to bolster U.S. energy independence.”

KEYWORDS: geothermal energy government policy

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J.J. Smith is a contributing editor and DC Correspondent for The Driller. He can be reached at josephjsmith749@gmail.com.

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