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Geothermal Lease

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Geothermal Lease

A geothermal lease confers te right to explore for, drill, produce and utilize geothermal resources on federal lands with limitations. Subsequent permits required prior to any surface disturbing activities. Geothermal leases have a primary term of ten years. A lessee that has not developed a well capable of producing geothermal resources in commercial quantities by the end of the ten- year primary term can apply for an initial five-year extension and an additional five-year extension by meeting diligent exploration expenditure requirements.