Another Obama-Backed Green Energy Firm Ready to Close

Friday, July 6th, 2012 and is filed under News

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Here we go again:

Auditors for Nevada Geothermal Power have doubts about whether the company can stay afloat, the Washington Times reported Thursday, citing an internal audit of the firm.

The company has racked up $98 million in net losses in the past several years, cannot produce enough cash from current operations after debt-service payments and carries significant debt, the audit said.

Nevada Geothermal Power will hold its annual shareholders meeting on July 24, which will touch on the structure of the firm’s debt regarding the Blue Mountain geothermal power project in Humboldt County, Nev.

That 49.5-megawatt project is what secured the federal loan guarantee in 2010 for the company. The federal government backs 80 percent of the loan.