en.Wedoany.com Reported - Mercury has announced an investment of NZ$1 billion (approximately US$592 million) to drill new wells and expand generation capacity at the Nga Tamariki and Rotokawa geothermal fields in New Zealand. The expansion plan is expected to add 1 TWh of generation, with first power targeted for 2030.
The plan was unveiled at Mercury's Geothermal Investor Day, with presentation materials available via a designated link. The company has committed NZ$75 million in the 2027-2028 financial year to drill three appraisal wells. Specific targets include an additional 50 MW/420 GWh at Rotokawa and 75 MW/620 GWh at Nga Tamariki. This growth strategy announcement comes just months after the commissioning of the 55 MW Nga Tamariki Unit 5.
Mercury stated that the growth funding comes from its own balance sheet and operates within a clear financial framework. The company views this as a value-accretive investment that helps underpin robust earnings and balance sheet strength.
Beyond the above expansion plans, Mercury also sees up to 5 GWh of new geothermal generation potential, involving Kawerau, Mokai, and the greenfield site Rotoma (with a potential of 50 to 100 MW).
In terms of long-term strategy, Mercury has planned new greenfield projects as well as superhot geothermal and enhanced geothermal projects. New Zealand's first superhot geothermal well will be drilled at the Rotokawa geothermal field, which is the country's hottest geothermal reservoir.
"Expanding our geothermal platform will strengthen the renewable energy portfolio, support long-term contracts with major energy users, and help meet New Zealand's growing demand for affordable, reliable, renewable electricity," said Mercury Chief Executive Stew Hamilton. "We have a credible, investable, and replicable geothermal platform, a strong pipeline of opportunities, and the capability and partnerships required to deliver."
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