BLM accepts winning bids on California geothermal leases

Overview

Updated 1 hour ago

The Bureau of Land Management sold 16 geothermal leases covering 33,362 acres of California public land on Oct. 27, drawing about $3.7 million in winning bids. Two companies, Chocolate Mountain Resources and Oso Rojo, accounted for more than 75% of the receipts with bids in Inyo County.

The sale is the first step before drilling. Leases run 10 years and must clear environmental review before any surface work begins. The results suggest rising industry interest in California geothermal, though one parcel drew no bid.

Why it matters

The leases could add geothermal power to California's grid, a round-the-clock source that both state and federal officials support.

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Key Indicators

$3.69M

Total receipts

Winning bids, rentals and fees from the Oct. 27 sale.

33,362

Acres leased

Public land across Modoc, Sonoma, Lake, Mono and Inyo counties.

Parcels receiving bids

One of the 17 offered parcels drew no bid.

$304

Highest price per acre

Bid by Chocolate Mountain Resources on an Inyo County parcel.

Registered bidders

Eleven of them placed at least one bid.

Voices

Curated perspectives — historical figures and your fellow readers.

Organizations Involved

Bureau of Land Management

Federal Agency

Ran the lease sale and will review bids before issuing leases

The Interior Department agency that manages federal public lands and administers geothermal leasing.

Coda Intermediate Holdings LLC

Geothermal bidder

Won five parcels in Sonoma and Lake counties

The largest parcel winner by count, taking all Sonoma County parcels offered.

TLS Geothermics Corp

Geothermal bidder

Won four parcels in Mono County

Took all four Mono County parcels offered in the sale.

Oso Rojo LLC

Geothermal bidder

Won three Inyo County parcels, including the top per-parcel bid

Bid about $1.35 million, including $941,108 for a single Inyo County parcel.

Chocolate Mountain Resources LLC

Geothermal bidder

Won two Inyo County parcels, including the top per-acre bid

Bid about $1.47 million, including $304 per acre on one parcel.

Zanskar Geothermal

Geothermal bidder

Won one Modoc County parcel

Took a single Modoc County parcel at $8 per acre.

Cordillera LLC

Geothermal bidder

Won one Inyo County parcel

Took a single Inyo County parcel at $2 per acre.

Timeline

September 2026 November 2026

5 events Latest: Today

Tap a bar to jump to that date

November 2026
BLM accepts winning bids; leases await review
Today Statement

The agency says leases may issue once review and payment are complete.
Today
October 2026
BLM announces about $3.7 million in winning bids
Results

The agency says 16 parcels totaling 33,362 acres received bids.
5 days ago
Online auction draws bids on 16 parcels
Lease sale

Twenty-six bidders register; 11 place bids across 127 total offers.
6 days ago
Imperial County parcel removed from sale
Amendment

Amendment #2 drops one parcel, leaving 17 parcels and 37,168.65 acres offered.
October 20th, 2026
September 2026
BLM posts geothermal lease sale notice
Announcement

The agency offers 19 parcels covering about 39,724 acres in six California counties.
September 11th, 2026

Scenarios

BLM issues leases and companies begin exploration

Likely Resolves by Q2 2027

Discussed by: BLM statements and industry coverage

After payment and review, BLM issues at least one of the 16 leases. The winning firms then submit exploration plans, which trigger site-specific environmental analysis before any drilling.

Protests or environmental review delay lease issuance

Possible Resolves by Q2 2027

Discussed by: BLM NEPA process and public comment rules

The sale notice allows protest periods and the leases require environmental analysis. A formal protest or a finding that triggers more review could hold up some or all parcels.

A winning bidder fails to pay and a parcel is reoffered

Unlikely Resolves by Q1 2027

Discussed by: BLM sale terms

Winning bids are not final until payment and review are complete. If a high bidder does not pay, BLM can cancel the award and reoffer the parcel.

Historical Context

3 moments from history that rhyme with this story — and how they unfolded.

August 2025

August 2025 BLM California geothermal lease sale

BLM auctioned 13 geothermal parcels across about 23,000 acres in California, generating about $2.7 million. The top bid for a single parcel was about $710,000.

Then

The sale set a benchmark for California geothermal leasing under the current administration.

Now

The October 2026 sale exceeded it on parcels, acreage, total receipts and top per-parcel bid.

Why this matters now

It is the most recent prior California geothermal sale and the direct comparison point for the October 2026 results.

2025

Executive Order 14154, 'Unleashing American Energy' (2025)

The Trump administration issued an order directing federal agencies to expand domestic energy production, including geothermal.

Then

BLM began citing the order in geothermal lease sale announcements.

Now

The order frames federal leasing as part of a broader energy-dominance push.

Why this matters now

BLM names the order as the policy basis for holding the October 2026 California sale.

20th century–present

California's two large geothermal reservoirs

California hosts two of the largest geothermal reservoirs in the United States: the Salton Sea area and The Geysers. BLM estimates their generation capability at about 2,200 megawatts and 1,800 megawatts, respectively.

Then

Both areas became anchors of California's geothermal industry.

Now

They remain the reference points for estimating what new federal leases could add.

Why this matters now

The scale of these reservoirs explains why companies bid on California parcels and why the sale drew national attention.