2024.04.08
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Special feature : Taking on the challenge of carbon neutrality Vol.3
Project.1 Construction Project of Appi Geothermal Power Plant
Passing on Clean Energy to the Future, along with Technical Capabilities and Aspirations for the Next Generation
In Japan, a country blessed with abundant geothermal resources, there are high expectations for the possibilities of geothermal power generation, which can stably supply electricity regardless of weather conditions. For more than 50 years, Mitsubishi Materials Group has concertedly worked to develop geothermal power generation. One of its latest projects is the Appi Geothermal Power Plant, which commenced operation in March 2024 in Iwate Prefecture. Currently, the plant generates 14,900kW of electricity, equivalent to the consumption of approximately 36,000 general households. It is managed and operated by Appi Geothermal Energy Corporation (AGE), which is jointly funded by three companies, including Mitsubishi Materials. In this article, two members from Mitsubishi Materials and AGE describe the history of challenges leading up to the beginning of operation and share their vision for the future.
(Left) Gaku Sasaki
Chief, Engineering Department
Appi Geothermal Energy Corporation
(Right) Tatsumi Abe
General Manager, Geothermal Business Development Dept.
Renewable Energy Business Div.
Mitsubishi Materials Corporation
What broke the deadlock was a commitment to changing minds
— Please tell us about your career to date and the roles you played in the Construction Project of Appi Geothermal Power Plant.
Abe: Since joining the company, I have spent over half of my career working in the geothermal business. It was in 2019 when I was asked to join this project as the leader of the Drilling and Reservoir Section. At that time, I was involved in the operation management of Sumikawa Geothermal Power Plant in Akita Prefecture, after completing a 10-year overseas assignment in Canada and Chile. Geothermal power generation in- volves extracting hot, high-pressure water and steam from geothermal reservoirs about 2,000 meters under- ground. This water possesses high energy due to being heated by magma, and the steam can be used to rotate turbines and generate electricity. This is why geothermal power generation development requires drilling production wells*1 and reinjection wells*2. As the leader of the Drilling and Reservoir Section, I was responsible for successfully completing the drilling work for these wells.
Abe: Since joining the company, I have spent over half of my career working in the geothermal business. It was in 2019 when I was asked to join this project as the leader of the Drilling and Reservoir Section. At that time, I was involved in the operation management of Sumikawa Geothermal Power Plant in Akita Prefecture, after completing a 10-year overseas assignment in Canada and Chile. Geothermal power generation in- volves extracting hot, high-pressure water and steam from geothermal reservoirs about 2,000 meters under- ground. This water possesses high energy due to being heated by magma, and the steam can be used to rotate turbines and generate electricity. This is why geothermal power generation development requires drilling production wells*1 and reinjection wells*2. As the leader of the Drilling and Reservoir Section, I was responsible for successfully completing the drilling work for these wells.
Sasaki: I was also in charge of drilling wells with Mr. Abe. Actually, around my second year with the company, I man- aged the steam equipment of Sumikawa Geothermal Power Plant under Mr. Abe’s supervision. So, this is my second time working with him. Later, in 2020, I was seconded from Mitsubishi Materials to AGE, which led me to participate in this project from a different position.
Abe: Mr. Sasaki and I have many things in common, such as having studied in the same department at the same university. As a result, we have an easygoing relationship. Speaking of Mr. Sasaki, he also played an active role in handling fire department-related procedures. In September 2019, just a month before the start of the drilling work, we encountered a setback when our method for supplying fuels for the drilling equipment, which we had successfully executed at another power plant, was not approved by the local fire department.
Sasaki: Fortunately, the short construction period in the fiscal year ended March 2021 allowed for another method. However, we were scheduled to conduct long-term work in the fiscal year ended March 2022, so it was necessary to negotiate with the local fire department. It was my first time handling fire department-related procedures, and I was also uneasy about the possibility of being forced to review the drilling method, which would significantly increase the burden for the drilling company and costs for our company, or, worst case scenario, that the work might have to be canceled. Therefore, I repeatedly visited the fire department and strived to understand their intentions. I also had discussions with the drilling company and contemplated the best way forward for all stakeholders. As a result of my efforts, the fuel supplying method I submitted three months later was approved, leaving me with a great sense of accomplishment.
Abe: Just exchanging documents won’t change people’s minds. Mr. Sasaki’s commitment regained the trust of the fire department, which was once almost lost. It was truly a tough task, but you did it.
Sasaki: The success was thanks to your abundant experience and support. Thank you.
Abe: Mr. Sasaki and I have many things in common, such as having studied in the same department at the same university. As a result, we have an easygoing relationship. Speaking of Mr. Sasaki, he also played an active role in handling fire department-related procedures. In September 2019, just a month before the start of the drilling work, we encountered a setback when our method for supplying fuels for the drilling equipment, which we had successfully executed at another power plant, was not approved by the local fire department.
Sasaki: Fortunately, the short construction period in the fiscal year ended March 2021 allowed for another method. However, we were scheduled to conduct long-term work in the fiscal year ended March 2022, so it was necessary to negotiate with the local fire department. It was my first time handling fire department-related procedures, and I was also uneasy about the possibility of being forced to review the drilling method, which would significantly increase the burden for the drilling company and costs for our company, or, worst case scenario, that the work might have to be canceled. Therefore, I repeatedly visited the fire department and strived to understand their intentions. I also had discussions with the drilling company and contemplated the best way forward for all stakeholders. As a result of my efforts, the fuel supplying method I submitted three months later was approved, leaving me with a great sense of accomplishment.
Abe: Just exchanging documents won’t change people’s minds. Mr. Sasaki’s commitment regained the trust of the fire department, which was once almost lost. It was truly a tough task, but you did it.
Sasaki: The success was thanks to your abundant experience and support. Thank you.
During the four-year battle against the magma, SCQDE was our rock
— In the course of this project, what kinds of challenges have you faced?
Abe: These four years were full of challenges, but the largest was drilling the wells. We spent about three months drilling each one. During the final phase, the temperature exceeded 200ºC, so it truly felt like a battle against the magma while we drilled. In this project, we drilled a total of seven wells, and we encountered one unexpected trouble after another. No matter how thorough the investigation, it’s impossible to know everything that goes on underground from the surface, so we were unable to eliminate all drilling risks in advance. For example, there is a risk that the steam won’t discharge after drilling, or conversely, that magma-heat steam suddenly blows out in the middle of drilling. We do our best to adequately consider and prepare for these incidents in advance with stakeholders, but it’s frightening to be going up against nature. Nevertheless, we must extract enough steam to operate a geothermal power plant at full scale. That is our mission. In this context, Mr. Sasaki and other young engineers worked to overcome the situation.
Sasaki: To reduce drilling risks, even by a little, we attempted to visualize the geological structure by utilizing the latest modeling tools. We also anticipated the location of the geothermal reservoir based on the data and drilled accordingly. When we succeeded in accurately digging it up, I felt relieved from the bottom of my heart. In addition to this, there were many other tasks to manage, such as discussions with the drilling company, process management, cost management, and more. We maintained close communication with stakeholders and strived to smoothly carry out the project.
Abe: These four years were full of challenges, but the largest was drilling the wells. We spent about three months drilling each one. During the final phase, the temperature exceeded 200ºC, so it truly felt like a battle against the magma while we drilled. In this project, we drilled a total of seven wells, and we encountered one unexpected trouble after another. No matter how thorough the investigation, it’s impossible to know everything that goes on underground from the surface, so we were unable to eliminate all drilling risks in advance. For example, there is a risk that the steam won’t discharge after drilling, or conversely, that magma-heat steam suddenly blows out in the middle of drilling. We do our best to adequately consider and prepare for these incidents in advance with stakeholders, but it’s frightening to be going up against nature. Nevertheless, we must extract enough steam to operate a geothermal power plant at full scale. That is our mission. In this context, Mr. Sasaki and other young engineers worked to overcome the situation.
Sasaki: To reduce drilling risks, even by a little, we attempted to visualize the geological structure by utilizing the latest modeling tools. We also anticipated the location of the geothermal reservoir based on the data and drilled accordingly. When we succeeded in accurately digging it up, I felt relieved from the bottom of my heart. In addition to this, there were many other tasks to manage, such as discussions with the drilling company, process management, cost management, and more. We maintained close communication with stakeholders and strived to smoothly carry out the project.
Abe: The greatest contribution of Mr. Sasaki’s team was to protect the safety of workers. Mitsubishi Materials Group has a slogan called SCQDE, which stands for Safety & Health, Compliance & Environment, Quality, Delivery, and Earnings. We always keep these points in mind during construction projects, with safety being the utmost priority.
Since the commencement of work in August 2019, I consistently returned to this principle every time we encountered challenges, striving to prioritize safety while balancing other factors. When I struggled to make decisions, even after listening to stakeholder opinions and carefully considering all aspects together, I always went back to SCQDE to move forward.
Sasaki: So, SCQDE was your rock and the guide to follow when you felt lost. I will once again engrave it in my heart.
Since the commencement of work in August 2019, I consistently returned to this principle every time we encountered challenges, striving to prioritize safety while balancing other factors. When I struggled to make decisions, even after listening to stakeholder opinions and carefully considering all aspects together, I always went back to SCQDE to move forward.
Sasaki: So, SCQDE was your rock and the guide to follow when you felt lost. I will once again engrave it in my heart.
Harmony with the community can make or break a geothermal project
— What are the strengths of Mit- subishi Materials in geothermal power generation development?
Abe: Mitsubishi Materials has been engaged in the geothermal power generation business for more than 50 years, since starting the operation of Onuma Geothermal Power Plant in Akita Prefecture in 1974. The expertise in geothermal power generation that we have inherited during that time is our greatest strength. Additionally, our ability to handle everything from exploration to operation internally by leveraging the comprehensive capabilities of the Group is a unique strength for us.
Sasaki: We also excel in establishing sound relationships with community stakeholders, such as local residents and municipalities. When starting a new geothermal power generation project in a new area, sharing case studies with community members can help ease their concerns to some extent.
— What are the expectations that communities and society have for Mitsubishi Materials?
Abe: Mitsubishi Materials has been engaged in the geothermal power generation business for more than 50 years, since starting the operation of Onuma Geothermal Power Plant in Akita Prefecture in 1974. The expertise in geothermal power generation that we have inherited during that time is our greatest strength. Additionally, our ability to handle everything from exploration to operation internally by leveraging the comprehensive capabilities of the Group is a unique strength for us.
Sasaki: We also excel in establishing sound relationships with community stakeholders, such as local residents and municipalities. When starting a new geothermal power generation project in a new area, sharing case studies with community members can help ease their concerns to some extent.
— What are the expectations that communities and society have for Mitsubishi Materials?
Abe: With the Japanese government aiming to achieve carbon neutrality by 2050, many companies are required
to take actions to contribute to this goal. The same is true for our company. Mitsubishi Materials has set the goal of achieving carbon neutrality by the fiscal year ending March 2046, five years earlier than the target. We aim to achieve practically 100% self-sufficient renewable energy generation by producing enough renewable energy to offset our internal electricity consumption. Mitsubishi Materials handles not only geothermal but also hydroelectric and solar power generation, but as the leader of the Drilling and Reservoir Sec- tion, I would like to further invigorate geothermal development.
to take actions to contribute to this goal. The same is true for our company. Mitsubishi Materials has set the goal of achieving carbon neutrality by the fiscal year ending March 2046, five years earlier than the target. We aim to achieve practically 100% self-sufficient renewable energy generation by producing enough renewable energy to offset our internal electricity consumption. Mitsubishi Materials handles not only geothermal but also hydroelectric and solar power generation, but as the leader of the Drilling and Reservoir Sec- tion, I would like to further invigorate geothermal development.
Sasaki: Japan ranks third in the world in terms of geothermal resources. However, many of the locations bless- ed with geothermal resources are in the middle of national parks or near hot spring resorts. This prevents Japan from fully utilizing them and is why it is important to build consensus with communities.
Abe: Maintaining harmony with communities is essential in geothermal power generation development. We must avoid situations where geothermal development projects disadvantage local residents, hot spring businesses, and other parties at all costs. Our duty is to ensure sustainable development and stable operations, and to sincerely engage with the community, explaining as many times as necessary until they are satisfied.
Sasaki: As a member of AGE, which operates and manages the Appi Geothermal Power Plant, I will strive to always stay aware of that. To that end, we will continue monitoring the geothermal reservoir every year. Furthermore, I would like to explore ways to contribute to communities by utilizing the energy gained through geothermal power generation.
Abe: Maintaining harmony with communities is essential in geothermal power generation development. We must avoid situations where geothermal development projects disadvantage local residents, hot spring businesses, and other parties at all costs. Our duty is to ensure sustainable development and stable operations, and to sincerely engage with the community, explaining as many times as necessary until they are satisfied.
Sasaki: As a member of AGE, which operates and manages the Appi Geothermal Power Plant, I will strive to always stay aware of that. To that end, we will continue monitoring the geothermal reservoir every year. Furthermore, I would like to explore ways to contribute to communities by utilizing the energy gained through geothermal power generation.
The future lying beyond stable operation
— What are your future goals?
Sasaki: In the Medium-term Management Strategy FY2031 (“FY2031 Strategy”), Mitsubishi Materials announced “Further expansion of geothermal power generation business.” While expansion is crucial, operating and managing existing geothermal power plants is equally important. Therefore, I will first focus on the stable operation of the Appi Geothermal Power Plant.Operating a large-scale power plant like the Appi Geothermal Power Plant presents a rare opportunity. I will thoroughly absorb this experience and knowledge to utilize it for the next geothermal power generation develop- ment project.
Abe: Starting operation is not our end goal, but it is important to ensure stable operation while maintaining high standards of output. As one of the members involved in the geothermal power generation business, I strongly resonated with what Mr. Sasaki said. Looking back, our company has been working on the Construction Project of Appi Geothermal Power Plant for over 20 years, starting from the investigation stage. This means that the blood, sweat, and tears shed by our predecessors over such a long period have finally paid off. Now, it’s our turn to pass on everything we have, including knowledge, experience, and aspirations, to the next generation. Going forward, I am eager to contribute to the development of the geothermal power generation business by nurturing future generations.
Sasaki: In the Medium-term Management Strategy FY2031 (“FY2031 Strategy”), Mitsubishi Materials announced “Further expansion of geothermal power generation business.” While expansion is crucial, operating and managing existing geothermal power plants is equally important. Therefore, I will first focus on the stable operation of the Appi Geothermal Power Plant.Operating a large-scale power plant like the Appi Geothermal Power Plant presents a rare opportunity. I will thoroughly absorb this experience and knowledge to utilize it for the next geothermal power generation develop- ment project.
Abe: Starting operation is not our end goal, but it is important to ensure stable operation while maintaining high standards of output. As one of the members involved in the geothermal power generation business, I strongly resonated with what Mr. Sasaki said. Looking back, our company has been working on the Construction Project of Appi Geothermal Power Plant for over 20 years, starting from the investigation stage. This means that the blood, sweat, and tears shed by our predecessors over such a long period have finally paid off. Now, it’s our turn to pass on everything we have, including knowledge, experience, and aspirations, to the next generation. Going forward, I am eager to contribute to the development of the geothermal power generation business by nurturing future generations.
