ORA Ormat Technologies Inc

Plant to be Located in Gas Pipeline Compressor Station at Almendralejo, Spain RENO, Nev., July 27 /PRNewswire-FirstCall/ -- Ormat Technologies, Inc. (NYSE:ORA) today announced that one of its subsidiaries has entered into a contract valued at $4 million with ENAGAS S.A. of Madrid, Spain, for the supply of one ORMAT(R) Energy Converter ("OEC") for a Recovered Energy Generation ("REG") plant, located in the ENAGAS gas compression station at Almendralejo, Spain. The equipment is to be supplied and installed within 19 months from the date of ENAGAS' notice to proceed. (Logo: http://www.newscom.com/cgi-bin/prnh/20040422/LATH066LOGO) ENAGAS is Spain's main gas transmission company, with approximately 390,000 GWh (1.25 Bcf) per annum of gas transportation capacity. Supply of the balance of the plant's equipment and the construction of the recovered energy power plant utilizing the readily installed and largely pre-assembled OEC at ENAGAS' gas compression station in Almendralejo will be undertaken by a third party under a consortium agreement with Ormat. Lucien Y. Bronicki, Chairman of the Board and Chief Technology Officer of Ormat Technologies, said "This contract marks our first Recovered Energy Generation plant in the gas industry in Europe, adding to our Recovered Energy Generation plant at a cement factory, operating in Germany since 1999. In North America, we have already supplied three REG plants to third parties. We are constructing 27 MW, for our own account, under long-term power purchase agreements and we have recently received additional orders of $38 million for the supply of REG plants that we expect to be in operation late 2007 or early 2008. The Ormat line of REG systems responds to two objectives high on the European energy policy agenda: energy efficiency and emission reduction. We look forward to further applications with an estimated potential of about 100MW of this type in Europe, which are well suited to Ormat's technology." Mr. Bronicki continued, "Given the current strength of the Spanish economy and its gas industry, as well as the increasing costs of conventional power supply and increasing awareness of emission control in the industry, we believe that recovered energy applications in Spain will provide Ormat with additional growth opportunities." The REG plant at Almendralejo will consist of one OEC using Ormat's Organic Rankine Cycle technology, which converts recovered heat to electric power without the need for any additional fuel or water. The OEC units are environmentally benign as they have no emissions of CO2 or NOX, and being air-cooled, they do not consume any water. About Ormat Technologies Ormat Technologies, Inc. is a vertically integrated company primarily engaged in the geothermal and recovered energy power business. The Company designs, develops, builds, owns and operates geothermal power plants and also designs, develops and builds and plans to own and operate recovered energy-based power plants. Additionally, the Company designs, manufactures and sells geothermal and recovered energy power units and other power generating equipment and provides related services. Ormat products and systems are covered by more than 70 patents. Ormat currently operates the following geothermal power plants: in the United States -- Brady, Desert Peak, Heber, Mammoth, Ormesa, Puna and Steamboat; in the Philippines -- Leyte; in Guatemala -- Zunil; in Kenya -- Olkaria; and in Nicaragua -- Momotombo. Safe Harbor Statement Information provided in this press release may contain statements relating to current expectations, estimates, forecasts and projections about future events that are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally relate to Ormat's plans, objectives and expectations for future operations and are based upon management's current estimates and projections of future results or trends. Actual future results may differ materially from those projected as a result of certain risks and uncertainties. For a discussion of such risks and uncertainties, see "Risk Factors" as described in the Company's Annual Report on Form 10-K filed with the Securities and Exchange Commission on March 28, 2006 and the Prospectus Supplement filed with the Securities and Exchange Commission on April 5, 2006. These forward-looking statements are made only as of the date hereof, and we undertake no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise. Ormat Technologies Contact: Investor Relations Contact: Dita Bronicki Todd Fromer / Marybeth Csaby CEO and President KCSA Worldwide +1-775-356-9029 212-896-1215/212-896-1236 / http://www.newscom.com/cgi-bin/prnh/20040422/LATH066LOGO http://photoarchive.ap.org/ DATASOURCE: Ormat Technologies, Inc. CONTACT: Dita Bronicki, CEO and President of Ormat Technologies, +1-775-356-9029, ; or Investor Relations, Todd Fromer, +1-212-896-1215, , or Marybeth Csaby, +1-212-896-1236, , both of KCSA Worldwide, for Ormat Technologies, Inc. Web site: http://www.ormat.com/

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