Transcript Document 7907557

GEOTHERMAL BUSINESS
INCUBATOR
James C. Witcher
Witcher and Associates
Las Cruces,
New Mexico
NMSU Geothermal Incubator Greenhouse, Las Cruces, New Mexico
NMSU
BACKGROUND
NMSU geothermal business incubator greenhouse
NMSU
• Started 1986
• Concept of Larry Icerman
and Rudi Schoenmackers
• Construction
funded by USDOE
and State of New Mexico
• No funding for outreach
and marketing from
State of New Mexico since 1992
• Lease fees applied to O&M
WHY USE GEOTHERMAL?
DRAWBACKS
1) up front capital costs
2) approach unfamiliar
3) acceptance of risk
4) can require more effort
ADVANTAGES
1) energy savings
2) energy costs stable
NMSU geothermal business incubator greenhouse
NMSU
PURPOSE OF
GEOTHERMAL
GREENHOUSING
THE PRIMARY OBJECT OF
GEOTHERMAL
GREENHOUSING IS TO GROW
THE BEST QUALITY CROP
PROFITABLY WITH ENERGY
SAVINGS
A GEOTHERMAL WELL AND HEAT
EXCHANGER REPLACE A
CONVENTIONAL FOSSIL FUEL
BOILER
NMSU
NMSU geothermal business incubator greenhouse
BUSINESS
APPROACH
• RESOURCE ASSESSMENT AND
RESERVOIR CONFIRMATION
• ENGINEERING FEASIBILITY
• PERMITTING
• BUSINESS AND MARKETING PLAN
• RESOURCE MANAGEMENT PLAN
Alligator aquaculture, Mosca, Colorado
NREL
MOST IMPORTANT
REQUIREMENTS
• SOUND BUSINESS
PLAN
• EXPERT GROWER
AND GREENHOUSE
MANAGER
• MARKETS TO SELL
PRODUCT
NMSU geothermal business incubator greenhouse
NMSU
RESOURCE
CO-LOCATION
1) suitable land
2) geothermal
3) fresh water
4) labor force
INCUBATOR BUSINESSES
Spurred creation of more than 50 acres of new greenhouse acreage
• J & K Growers
• Masson Radium
Springs
• Plant Propagation
Technologies
• Flores de New
Mexico
• Sorenson Cactus
NMSU geothermal business incubator greenhouse
NMSU
ECONOMIC IMPORTANCE
ANNUAL SALES (wholesale)
$325,000 to $850,000 per acre
EMPLOYMENT
4 to 8 employees per acre
ENERGY SAVINGS
$46,200/yr per acre
4,200 MMbtu/yr/acre at less than $1.50/MMbtu
Natural gas $12.50/MMbtu (boiler inefficiency included)
Masson Geothermal Greenhouse, Radium Springs, New Mexico
Williamson, NREL
MASSON RADIUM SPRINGS
FARM
Potted plants and flowers
Masson Geothermal Greenhouse, Radium Springs, New Mexico
Williamson, NREL
SORENSEN CACTUS
Ornamental cactus
NMSU geothermal business incubator greenhouse
Williamson, NREL