RE: RE: RE: Calpine plans $700 million expansion a
"This is why the geothermal sector has been disintegrating with RPG leading the way. Much higher than 'expected' capex and much lower than expected commerciality. "
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Yes, this comment by someone who has been right the last 6 months really rings true.
Up front costs have been MUCH larger than expected and execution has been poor.
Everyone says that 'geothermal gives you a 100 year cash stream once its running' as if investment costs dont mattter much.
They always matter- would you invest 50 million dollars for a million in FCF, 100 million ... how high???
There ARE limits.
And RAM is near those limits.