Newberry Volcano Enhanced Geothermal System (EGS) Demonstration Project UNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF LAND MANAGEMENT (BLM) DOI‐BLM‐OR‐P000‐2011‐0003‐EA DOE/EA‐1897 ENVIRONMENTAL ASSESSMENT DECEMBER 2011 Location: Federal Geothermal Leases on the West Flank of Newberry Volcano, Deschutes County, 22 miles south of Bend, Oregon Applicant: Davenport Newberry Holdings LLC and AltaRock Energy, Inc. 225 NW Franklin Avenue, Suite 1 Bend, OR 97701 Tel: 541‐323‐1190 Lead Agency: U.S. Department of the Interior, Bureau of Land Management Prineville District Office 3050 NE Third Street Prineville, OR 97754 Tel: 541‐416‐6890; Fax: 541‐416‐6798 Cooperating Agencies: U.S. Department of Agriculture, Forest Service Deschutes National Forest, Bend‐Fort Rock Ranger District 63095 Deschutes Market Rd. Bend, OR 97701 Tel: 541‐383‐4000; FAX 541‐383‐4700 U.S. Department of Energy, Golden Field Office 1617 Cole Boulevard Golden, CO 80401 Tel: 720‐356‐1563; Fax: 720‐356‐1560 CONTENTS Table of Figures ........................................................................................................................................................................ 4 List of Acronyms and Glossary of Terms ...................................................................................................................... 6 Chapter 1. Introduction and Purpose & Need for the Proposed Action ...................................................... 9 1.1 Introduction ................................................................................................................................................................... 9 1.2 Summary of the Proposed Action ......................................................................................................................... 9 1.3 Background .................................................................................................................................................................. 13 1.4 Purpose and Need for the Proposed Action ................................................................................................... 14 1.5 Management Direction and Conformance with Land Use Plans ........................................................... 16 1.6 Relationship to Laws, Regulations, Policies, and NEPA Documents ...................................................20 1.7 Scoping and Public Involvement......................................................................................................................... 23 1.8 Identification of Issues ............................................................................................................................................ 23 1.9 Decisions To Be Made .............................................................................................................................................. 30 Chapter 2. Alternatives Including the Proposed Action .................................................................... 32 2.1 Introduction ................................................................................................................................................................. 32 2.2 Project Location .......................................................................................................................................................... 32 2.3 Alternative A—Proposed Action ......................................................................................................................... 32 2.4 Alternative B – Proposed Action with Closed Pressure Vessel and Air Cooled Condensers ....49 2.5 Alternative C – No Action Alternative ............................................................................................................... 52 2.6 Project Design Features .......................................................................................................................................... 52 2.7 Alternatives Considered but Eliminated from Further Analysis .......................................................... 68 2.8 Comparison of Alternatives ................................................................................................................................... 68 Chapter 3. Affected Environment ............................................................................................................. 70 3.1 Introduction ................................................................................................................................................................. 70 3.2 General Setting............................................................................................................................................................ 70 3.3 Resources Brought Forward for Analysis Based on Key Issues ............................................................ 71 3.4 Wildlife ........................................................................................................................................................................... 71 3.5 Scenic Resources........................................................................................................................................................ 73 3.6 Water Resources ........................................................................................................................................................ 77 N EWBERRY V OLCANO EGS D EMONSTRATION P ROJECT 2 Environmental Assessment 3.7 Geology and Natural Seismicity ........................................................................................................................... 82 Chapter 4. Environmental Effects ............................................................................................................. 86 4.1 Introduction ................................................................................................................................................................. 86 4.2 Past, Present, and Reasonably Foreseeable Future Actions in the Project Area ...........................86 4.3 Alternative A–Proposed Action: Direct, Indirect and Cumulative Effects ........................................92 4.4 Alternative B – Proposed Action with Closed Pressure Vessel and Air Cooled Condensers. 143 4.5 Alternative C – No Action .................................................................................................................................... 146 Chapter 5. Consultation and Coordination .......................................................................................... 147 5.1 Introduction .............................................................................................................................................................. 147 5.2 Tribes, Individuals, Organizations, and Agencies Consulted ............................................................... 147 5.3 List of Preparers...................................................................................................................................................... 147 APPENDIX A Induced Seismicity Mitigation Plan (AltaRock, 2011) APPENDIX B Independent Hydrologist Review (Kleinfelder, 2011) Note: The appendices attached to this PDF document are available online at http://www.blm.gov/or/districts/prineville/plans/newberryegs/index.php or by contacting the BLM Prinveville District Office. N EWBERRY V OLCANO EGS D EMONSTRATION P ROJECT 3 Environmental Assessment TABLE OF FIGURES Figure 1: Project Vicinity Map ..................................................................................................................... 11 Figure 2: Detailed Project Location Map ................................................................................................ 18 Figure 3: Project Access Routes .................................................................................................................. 19 Figure 4: Typical MSA Station with Solar Panel And Telemetry Antenna ...............................35 Figure 5: Stimulation of a Single Fracture Set ...................................................................................... 38 Figure 6: Stimulation of Second Fracture Set After Diverter Application to First Fracture Set ............................................................................................................................................................................ 39 Figure 7: EGS Well with Multiple Fracture Sets after Diverter Dissolution ............................40 Figure 8: Temporary Irrigation Piping Route ...................................................................................... 45 Figure 9: Alt. A – Pad S‐29 Circulations Test Facility Conceptual Configuration ..................48 Figure 10: Cooling Fans Used in EGS Circulation Testing at Soultz, France. Shown Here Prior to Installation, These Would Be Positioned Over or Adjacent to the Heat Exchangers for Operation. ............................................................................................................................ 50 Figure 11: Alt. B‐Circulation Test Facility Conceptual Configuration ........................................51 Figure 12: Project Access Routes and Snowmobile Trails .............................................................. 53 Figure 13: Final MSA, Including Borehole Installations, Shown In Relation To Planned Stimulation Zone....................................................................................................................... 55 Figure 14: Cross‐Section