It’s not all sunshine and nice breezes, which is particularly a problem if you’re trying to produce wind and solar power. One of our readers correctly highlights that geothermal energy may be a more reliable and consistent form of alternative energy.

The wind doesn’t always blow and the sun does not always shine but geothermal energy goes on forever. I do quality audits at a major company that used a 50 acre lake to reduce energy by over 50 percent with a very short ROI.
 
Also, companies like US Geothermal are already using steam to power generators with no pollution.

Thanks. We’ve actually mentioned U.S. Geothermal (HTM) before (back in December). We found it because it looked like the stock was getting ready to move, though nothing ever really materialized. Still, an interesting idea.

One of the challenges here - as an investor - is finding companies that are doing work in the arena, but not doing other things (aka a ‘pure geothermal play’). Chevron (CVX) is actually a big name in the geothermal world, but it’s not their focus. There are geothermal-focused companies, but many are on shaky ground, undercapitalized, not profitbale, etc.

If you were interested in U.S. Geothermal, you may also be interested in Ormat Technologies (ORA). Their stock seems to be getting much more traction that HTM. In fact, Ormat may well be a solid long-term investment whether you’re a rabid geothermal fan or just an opportunity seeker.

Here’s a recent CNBC article on geothermal investing. We thought it was a pretty good take on the current state of the industry.

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