Geothermal handbook: PlanninG and Financing power Generation t e c h n I c a L r e p o r t 2 / 2

Completion or delay risk
Delays or disruptions in the completion of any infrastructure project result in a reduced discounted 
value of the project’s revenues. For geothermal projects, the uncertainty about the time needed to 
complete the drilling program for both production and reinjection wells is a major factor affecting the 
level of risk taken by the financiers. Consequently, both debt and equity investors require a greater 
return on capital to offset the risks in a geothermal project.