The 1970-1980s were the peak generation years for The Geysers. With oil prices significantly increasing in the early 70s, many oil companies acquired leases and began drilling. With wells being drilled to 8,000 feet deep over 12 square miles, companies spilled into the field while geothermal steam power was contracted out at an extremely fast pace. By the mid-1980s, geothermal electricity prices began to drop.
Running out of available steam, deeper wells (up to 10,000 feet) were drilled to keep up with the demand. However, due to the amount of corrosive chemicals like hydrogen chloride in those exploratory wells, expansion ground to a halt. Simultaneously, steam production had dropped by 50% over the course of 8 years; this led to decreased pressure and productivity, as well as stunted motivation from companies (Hodgson, 1997, p. 46). Power plants were retired, MW output was well below installed capacity, and plans to continue expanding geothermal electricity stopped. Some wells were completely abandoned; Geo Operator Corporation (GEO) was one optimistic company at The Geysers, but had gone bankrupt in June 1989. For 8 years, the wells at GEO-owned Unit 15 had been spewing out hydrogen sulfide and steam into the air. In 1997, the EPA had plugged the wells.
At the turn of the century, The Geysers Geothermal Field saw a significant shift in leadership. Due to several pieces of state and federal legislation, many companies in the area (like PG&E and Unocal) sold their wells to Calpine Corporation. With rejuvenated leadership, new operators “sought external water sources to supplement injection at the field, which until then consisted of creek waters collected during the rainy season and steam condensate” (Geothermal Resources Council, 2010, p. 11). They used lake and waste waters from the Lake County Sanitation District (and other water treatment facilities) to replenish the steam reservoirs. With a 40-mile pipeline, the field received about 11 million gallons of treated wastewater every day in 2003 (Calpine, n.d., “2003”).