Raser Technologies (RZ) announced this morning that it has begun drilling in New Mexico at the Lighting Dock project.  The company is re-entering a well that was abandoned more than 25 years ago because the water wasn’t hot enough.  New technologies allow geothermal energy companies to extract energy from lower temperatures, so the company is giving it another go. An independent firm estimates  the well could deliver 3-7MW of energy, while Raser believes the project could deliver up to 15MW when fully developed.

===> Click Here For Your FREE Raser Technical Analysis

Raser CEO Nick Goodman commented on the operations: “We believe we are on track with the Lightning Dock project and are looking forward to positive test results.  Once those results are in, we intend to proceed with efforts to finalize financing to fund additional drilling to develop the well field for the project. We’ve placed a high priority on moving this project forward, allowing us to qualify for a 30% U.S. Treasury grant under the American Recovery and Reinvestment Act of 2009. Earlier this year, we received a $33 million U.S. Treasury grant for our Thermo No. 1, Utah project.”

Shares were up initially this morning, but reversed and closed in the red.