Elko, Nevada
Is it green or is it gold? Due to the numerous renewable energy pilot projects underway in North America, it will soon be both.
Steve Spitze, North America's climate change manager, and Cathy Ramsey, director of Renewable Energy, are partnering together on a number of renewable energy projects, including biodiesel crops, solar and geothermal opportunities for Nevada.
The TS Ranch, owned and operated by Newmont, has long raised alfalfa hay to feed its 5,000 head of cattle and to sell to dairy farmers in California. However, with the economic downturn, the alfalfa market is dwindling, and Dan Gralian, the ranch manager, has been looking for alternative crops.
Meanwhile, in its underground operations, Nevada purchases biodiesel (vegetable oil or animal fat-based diesel fuel) for use in underground machinery. Nevada has been using a 50 percent blended biodiesel because it emits less particulate matter than 100 percent diesel. This improves safety and health conditions for our work force underground, while benefiting the environment because it reduces carbon dioxide emissions.
Between these two very different operations, the team saw an opportunity: plant oil seed crops at the TS Ranch with the long-term goal of producing biodiesel for Nevada's underground operations and expanding biodiesel use to above-ground operations.
This season, the TS Ranch will begin this process by planting two pivots (about 250 irrigated acres total) with camelina (oilseed) and canola (rapeseed oil) to test which crop performs better with the soil and weather conditions, irrigation and other factors. Both crops use about 50 to 60 percent less water than alfalfa, which is another immediate financial and environmental benefit.
Based on the results of the pilot project, the plan is to plant more than 3,000 acres of oil seed crops, replacing most of the alfalfa. The team will send the seeds from the pilot project to external crushing and refining facilities to determine if Nevada should build its own crushing and refining facilities in the future.
Additionally, Nevada's TS Power Plant, a 241 megawatt coal-fired power plant, must comply with Nevada's Renewable Portfolio Standard, which requires that a percentage (12 percent in 2010, increasing to 25 percent by 2025) of power it produces is generated from a renewable source (e.g. solar, wind and geothermal). Consequently, the team is looking into geothermal and solar projects to meet this requirement.
Northern Nevada contains high-quality geothermal potential (wherein hot water or steam is extracted from deep wells to spin a turbine to generate power), and Newmont has significant geothermal resources on the Nevada property. Several developers are interested in working with Newmont to develop power-generation facilities utilizing these resources.
The solar project includes options for both 15 to 100 megawatt photovoltaic options (material that converts solar radiation into direct current electricity) and 100 megawatt to 200 megawatt concentrating solar power (concentrates solar energy to a high enough temperature to produce steam, which will spin a turbine to produce electricity through a generator).
There are similar opportunities across Newmont, including reclaimed mines, such as in San Luis, Colorado, where biodiesel and solar pilot projects are getting underway. There are also many opportunities across all of the regions – look for green gold coming to a mine site near you soon!
June 1, 2010
