NYSE: ORA

•Product Segment. In the Product segment, we design, manufacture and sell equipment for geothermal and recovered energy-based electricity generation and provide services relating to the engineering, procurement and construction of geothermal and recovered energy-based power plants. During 2025, we signed new contracts that were added to our backlog, and secured $103.5 million of anticipated Product revenues, the majority of which we expect to be recognized over the next two years. In addition, in January 2026 we added approximately $100.0 million to the backlog related to the TOPP2 project in New Zealand that was transferred to third party at COD and which we expect to be recorded as revenues in the first quarter of 2026.

•Energy Storage Segment. In the Energy Storage segment, we own and operate grid-connected, stand alone In Front of the Meter (IFM) BESS facilities, which provide capacity, energy and ancillary services directly to the electric grid. We operate our facilities in three main areas in the U.S., California, Texas and the East Coast (mainly in the PJM market) and generate our revenues mainly from the sale of ancillary services in the merchant market and /or tolling agreements and RA contracts. Since the beginning of 2025, we commissioned two energy storage facilities with a total capacity of 95MW/260 MWh, one in Texas and the second that is connected to the Solar PV power plant in California. In addition, we acquired a 30MW/120MWh battery energy storage system connected to a solar PV power plant in Hawaii from Innergex Renewable Energy Inc, in January 2026.

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The following chart sets forth a breakdown of our revenues for each of the years ended December 31, 2025 and 2024:

The following chart sets forth the geographical breakdown of revenues attributable to our Electricity and Product segments for each of the years ended December 31, 2025 and 2024:

The revenues attributable to our Energy Storage segment for each of the years ended December 31, 2025 and 2024 were 100% generated in the United States.

Our Electricity Segment

Our Company-owned power plants include both power plants that we have built and acquired. The substantial majority of these power plants produce electricity from geothermal energy sources. Geothermal energy is a clean, renewable and generally sustainable form of energy derived from the natural heat of the earth. Unlike electricity produced by burning fossil fuels, geothermal energy is produced without emissions of certain pollutants such as nitrogen oxide, and with far

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lower emissions of other pollutants such as carbon dioxide. As a result, electricity produced from geothermal energy contributes significantly less to negative climate change and local and regional incidences of acid rain than energy produced by burning fossil fuels. Additionally, unlike wind or solar power plants, geothermal power plants can generally operate 24 hours a day, therefore providing base-load electricity services. Geothermal power plants can also be custom built to provide a range of electricity services such as baseload, voltage regulation, reserve and flexible capacity.

We own and operate geothermal and solar PV hybrid projects, solar PV plus storage facilities and standalone solar PV power plants with similar projects currently under construction. In our hybrid projects, electricity generated from the solar PV power plant is used to offset the equipment’s energy use at the geothermal facility, increasing the net geothermal energy delivered to the grid. Our standalone solar PV power plants sell their output under long term PPAs.

We also construct, own, and operate 50MW of recovered energy-based power plants. Recovered energy is derived from residual heat generated as a by-product of gas turbine-driven compressor stations, solar thermal units and industrial processes such as cement manufacturing. This heat, which would otherwise be wasted, is captured and used to generate electricity without burning additional fuel or producing additional emissions.

Our geothermal power plants sell substantially all of their output under long-term PPAs, most with fixed prices, denominated in or linked to the U.S. dollar or Euro. As of December 31, 2025, these contracts had a weighted average remaining term of approximately 14 years based on contributions to segment revenue. The counterparties to our PPAs in the United States have a credit rating of between Baa1 to Ba2 (stable) by Moody's and AA+ to B+ by S&P. The purchasers of electricity from our foreign power plants are primarily state-owned entities in countries with below investment grade ratings.

Power Plants in Operation

We own and operate 35 power plants and complexes globally, with an aggregate generating capacity of 1,340MW, comprising geothermal, REG and solar facilities as listed below. Geothermal represents 81.3% of our Electricity Segment generating capacity. In 2025, our geothermal and REG power plants achieved capacity factors of 84% and 70%, respectively, significantly exceeding the 20%-30% capacity factors typical of wind and solar projects.

The table below summarizes certain key non-financial information relating to our power plants and complexes as of February 25, 2026. Generating capacity figures have been updated from our 2024 disclosure to reflect changes in resource temperature and other factors that impact resource capabilities:

TypeRegionPlant
Ownership(1)

Generating

capacity

(MW) (2)
PPA Tenure
Capacity Factor(3)

Geothermal CaliforniaOrmesa Complex100%401786%

Heber Complex100%9117

Mammoth Complex100%6513

Brawley
100%
3 (4)
6

West Nevada
Steamboat Complex (5)
100%792181%

Brady Complex(5)
100%2423

East NevadaTuscarora100%178
88%

Jersey Valley100%87

McGinness Hills100%
141(4)

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Don A. Campbell100%289

Tungsten Mountain (5)
100%41
18

Dixie Valley
100%64
13

Blue Mountain(7)
100%
22

4

Beowawe(5)
100%20
28

North West Region
Neal Hot Springs
60%22
12
74%

Raft River100%128

San Emidio(6),(5)
100%3918

Still Water Complex(5)
100%144

Salt Wells
100%1025

Hawaii
Puna
63.3%38
27

63%

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TypeRegionPlant
Ownership(1)

Generating

capacity

(MW) (2)
PPA Tenure
Capacity Factor(3)

Utah

Cove Fort
100.0%18
8

90%

InternationalAmatitlan (Guatemala)100%20384%

Zunil (Guatemala)97%209

Olkaria III Complex (Kenya)100%1509

Bouillante (Guadeloupe, France)

63.75%
155

Platanares (Honduras)100%307

Total Consolidated Geothermal1,031
84%

REG (8)
OREG 1100.0%226

OREG 2100.0%229

OREG 3100.0%5.55

Total REG5070%

SolarTungsten Mountain 100%12
NA

Wister100%2017

Steamboat Solar100%17
NA

Stillwater Solar PV
100%20
NA

Stillwater Solar PV II
100%200

Woods Hill
100%2013

North Valley
100%7
NA

Beowawe
100%6
NA

Arrowleaf(10)
100%4220

Brady100%6
NA

Hoku(11)
100%3025

Total Solar200

Unconsolidated GeothermalIndonesiaSarulla Complex12.75%4222

Indonesia

Ijen(9)
49%1730

Total Unconsolidated Geothermal59

Total (12)
1,340

1.We have a controlling interest in and we operate all of our power plants, except for Sarulla and Ijen both in Indonesia. In the U.S., certain other financial institutions hold equity interests in seven of our subsidiaries: (i) ORNI 41, which owns the McGinness Hills Phase 3 located in Nevada; (ii) ORNI 43, which owns the Tungsten Mountain geothermal power plant located in Nevada; (iii) Steamboat Hills, LLC, which owns the Steamboat Hills power plant located in Nevada; (iv) CD4 partnership that owns the CD4 power plant, under Mammoth Complex, in California; (v) ORNI 36, which owns the North Valley power plant, under San Emidio complex, located in Nevada, (vi) Heber Geothermal Company, LLC and OrHeber2, LLC, which own the Heber 1 and Heber 2 geothermal power plants located in California, respectively; and (vii) Vessi 38, LLC and ORNI 30, LLC, which own Lower Rio energy storage facility located in Texas and Arrowleaf solar plus energy storage facility located in

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California, respectively. In the table above, we list these power plants as being 100% owned because all of the generating capacity is owned by these subsidiaries and we control the operation of the power plants. The nature of the equity interests held by the financial institution is described below in Item 8 — “Financial Statements and Supplementary Data" under Note 12.

We own a 63.75% equity interest in the Bouillante power plant, a 97% equity interest in the Zunil power plant, a 60% equity interest in the Neal Hot Spring power plant, and a 63.25% direct equity interest in the Puna plant. We list 100% of the generating capacity of the Bouillante power plant, the Zunil power plant, the Neal Hot Springs power plant and the Puna power plant in the table above because we control their operations. We list our 12.75% share of the generating capacity of the Sarulla complex and 49% of the generating capacity of the Ijen power plant as we own minority interests in these projects. Revenues from the Sarulla complex and from the Ijen power plant are not consolidated and are presented under “Equity in earnings (losses) of investees, net” in our consolidated financial statements.

2.References to generating capacity generally refer to gross generating capacity less auxiliary power. We determine the generating capacity of these power plants by taking into account resource and power plant capabilities. In any given year, the actual power generation of a particular power plant may differ from that power plant’s generating capacity due to variations in ambient temperature, the availability of the geothermal resource, and operational issues affecting performance during that year.

3.Capacity factor is generally calculated as the actual MWh generation divided by the maximum potential generation (generating capacity multiplied by 8,760 hours). In the case of curtailments by the grid operator the generated MWh are taken into account in our calculation although the curtailed MWh were not sold to the grid.

4.Generating capacity reduced to reflect cooling experienced in the resource.

5.This is a hybrid geothermal and solar power plant that uses the solar energy for geothermal power plant auxiliary power. The solar PV facilities are presented separately in the table above.

6.The San Emidio complex includes 25MW from North Valley that commenced commercial operation in May 2023.

7.The Blue Mountain power plant was acquired and added to our portfolio in June 2025. The Power plant generating capacity increased due to better performance than expected.

8.The OREG power plants are not operating at full capacity due to low run time of the compressor stations that serve as the power plants heat source. This has resulted in lower power generation. During the fourth quarter of 2025, the company deemed that one of its customers is expected to terminate the waste heat agreement related to the OREG 2 facility.

9.The 35MW Ijen power plant in Indonesia commenced operation in February 2025. Our share is 17MW (49%).

10.The Arrowleaf solar PV plus energy storage facility commenced operation in December 2025. The solar PV generating capacity, attached to the storage facility, is included in the Electricity segment portfolio, however, 100% of the revenue is recorded under the Energy Storage segment.

11.The Hoku solar PV plus energy storage facility in Hawaii was acquired in January 2026 from Innergex Renewable Energy Inc. The solar PV generating capacity, attached to the storage facility, is included in the Electricity segment portfolio, however, 100% of the revenue is recorded under the Energy Storage segment.

12.The total Electricity segment portfolio presented in the table above is as of February 25, 2026. The total Electricity segment portfolio as of December 31, 2025 stood at 1,310MW.

New Power Plants

We are currently constructing new power plants and expanding existing facilities. We have released for construction geothermal and solar PV projects with generating capacity of 136.5MW worldwide. In addition, we disclosed 24MW of geothermal and solar PV projects in various stages of development in the United States.

We hold substantial land positions across 34 prospects in the United States and 16 prospects internationally (Ethiopia, Guatemala, Honduras, Indonesia and New Zealand) that we expect will support future geothermal development. These positions consist of leases, geothermal exploration concessions, and lease options. We have commenced or plan to start exploration activity on many of these prospects.

We expect to add 310MW to 410MW of generating capacity in the Electricity Segment, reaching a total capacity of 1.65 to 1.75 GW by 2028.

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Our Product Segment

We design, manufacture and sell electricity generation products and provide related services as described below. We also provide cementing services for well drilling to third parties. We primarily manufacture products to fulfill customer orders, though we also produce inventory for future projects, whether owned by us or by third parties.

Power Units for Geothermal Power Plants

We design, manufacture and sell power units for geothermal electricity generation, referred to as OECs. Our customers include contractors, developers, owners and operators of geothermal power plants.

We also support EGS, which enable geothermal power generation in areas lacking sufficient natural underground reservoirs. This technology has the potential to expand the geographic reach of geothermal energy while maintaining its renewable characteristics. Our OECs are engineered to operate effectively under EGS conditions.

Power Units for Recovered Energy-Based Power Generation

We design, manufacture and sell power units that generate electricity from recovered energy, commonly known as “waste heat.” Our customers include owners and operators of interstate natural gas pipelines, gas processing plants, cement plants and other energy-intensive industrial facilities.

EPC of Power Plants

We provide turnkey EPC services for geothermal and recovered energy power plants using power units we design and manufacture. Our customers include geothermal power plant owners and operators of energy-intensive industrial facilities.

Production Pumps

We design, manufacture and sell geothermal production pumps to third-party power plant operators and have identified geothermal district heating as a potential market.

Our Energy Storage Segment

Our Energy Storage segment has grown consistently since 2019 and remains a strategic priority for investment and expansion.

We own and operate 19 BESS projects in the U.S. with an aggregate capacity of 415MW/1,038MWh. The following table summarizes key information regarding these projects as of February 25, 2026:

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Project NameCustomerLocationSize (MW)MWhType of contract

ACUAPJMNJ11Merchant

PlumstedPJMNJ2020Merchant

StrykerPJMNJ2020Merchant

HinesburgISONEVT25Merchant

Rabbit HillERCOTTX1010Merchant

PomonaSCE/CAISOCA2080
Capacity contract and merchant

VallecitoSCE/CAISOCA1040
Capacity contract and merchant

Tierra Buena RCEA/VCE/CAISOCA520
Capacity contract and merchant

UptonERCOTTX2323Merchant

AndoverPJMNJ2020Merchant

HowellPJMNJ77Merchant

Bowling Green
BGMU/PJM
OH1212
Capacity contract and merchant

Pomona 2SCE/CAISOCA2040
Full tolling

East Flemington

PJM

NJ
2020Merchant

Bottleneck

SDG&E

CA
80320
Full tolling

Montague
PJM

NJ
2020Merchant

Lower RioERCOTTX60120
Merchant

ArrowleafSDCPCA35140
Full tolling

Hoku

HECO

HI
30120
PPA

Total4151,038

New BESS Projects

We are constructing 8 additional energy storage projects with a total capacity of 410MW/1,540MWh in California, Texas and Israel. In addition, we have an approximately 2.7GW/10.0GWh pipeline of potential projects in various stages of development across the United States, supporting our target of 950–1,050MW/2,500–2,900MWh of energy storage capacity by year-end 2028. We plan to continue leveraging our project development and finance experience, EPC expertise, and utility relationships to develop additional BESS projects.

Business Strategy

Our strategy focuses on developing a geographically balanced portfolio of geothermal, energy storage, and solar PV while strengthening our leadership in geothermal energy to become a leading global renewable energy provider.

In this evolving market, our strategy is to build on our existing capabilities and core competencies while expanding our ability to compete in next-generation geothermal markets, including enhanced geothermal systems (“EGS”) and other advanced solutions. These technologies have the potential to increase the scale of geothermal power plants, broaden geographic applicability, and expand the addressable market for firm, renewable power.

We plan to pursue next-generation geothermal opportunities through a disciplined approach that leverages our established geothermal expertise. We intend to collaborate selectively with industry-leading drilling and subsurface service providers and engage with emerging EGS and advanced geothermal technology companies to enhance execution capabilities, shorten time to market, and reduce technical and commercial risks. This approach positions us to deliver scalable, reliable geothermal solutions while maintaining capital discipline, execution certainty, and sustainable cash flow generation.

Business Goals

Our goals include continuing our leading position in the geothermal energy market and becoming a leading global provider of renewable energy. Our strategy focuses on four main elements:

•Developing our low carbon renewable geothermal business in the United States and globally;

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•Growing our market position in the IFM energy storage market;

•Pursuing our core capabilities and to lead the next-generation geothermal market; and

•Pursuing synergistic and environmentally responsible growth by leveraging our core competencies, strong market reputation, and new market opportunities across the renewable energy sector.

We intend to implement this strategy through the following initiatives:

•Development and Construction of New Geothermal Power Plants — We intend to identify commercially viable geothermal resources and expand exploration drilling to accelerate development and construction of zero-emission geothermal power plants. We expect to continue entering into long-term PPAs that provide stable cash flows and support long-term value creation.

•Expanding our Geographical Reach — We plan to increase business development activities to grow our global footprint across all segments.

•Accelerating Development and Construction of New Energy Storage Assets — We intend to increase business development efforts to identify sites and advance construction of energy storage facilities, including hybrid storage and solar PV facilities. Our goal is to grow our energy storage portfolio with grid-supporting solutions that balance long-term contracted revenues (including tolling agreements) with selective merchant exposure.

•Acquisition of Geothermal Assets — We intend to accelerate growth through strategic global acquisitions, including geothermal assets and operating or development-stage assets that support our geothermal business, enhance scale, and strengthen long-term value creation.

• Acquisition of Energy Storage Projects and Solar plus Storage Assets — We intend to accelerate growth through acquisitions of operating assets, shovel-ready projects, and projects in various development stages, applying disciplined evaluation criteria for returns, risk allocation, permitting progress, and contract quality.

•Increasing Output from Existing Geothermal Power Plants — We plan to increase output from existing plants by adding generating capacity, upgrading technology, drilling new or redrilling existing wells, and improving reservoir management, including heat source supply and delivery methods.

•Diversifying Our Customer Base — At our Electricity segment we plan to evaluate strategies to expand our customer base, including in-front-of-the-meter opportunities with hyperscalers, data centers developers and operators, corporations, and CCA markets. In the near term, we expect the majority of Electricity Segment revenues to continue coming from traditional utility customers.

•Maintaining a Prudent and Flexible Capital Structure — We seek to maintain a prudent, flexible capital structure supported by multiple financing sources, including non-recourse and recourse project financings, bonds (including green bonds), corporate bank debt, sales of differential membership interests and equity interests in subsidiaries, tax credit transfers, revolving credit facilities and term loans. Our cash flow profile, long-term contracts, and capital-raising ability provide flexibility to optimize our capital structure over time.

•Improving Our Technological Capabilities — We intend to continue investing in renewable energy R&D, leveraging our expertise to improve power plant components, reduce O&M costs, develop competitive low-carbon generation products, and pursue new service opportunities. We are expanding our geothermal competencies to provide high-efficiency solutions for high-enthalpy applications using our binary enhanced cycle technology.

•Manufacturing and Providing Products and EPC Services — We intend to continue designing, manufacturing and contracting power plants for our own use and selling power units and other generation equipment for geothermal and recovered energy-based electricity generation.

•Expanding into Next-Generation Geothermal (Including EGS) — We are working to leverage our core geothermal expertise to develop and deploy next-generation geothermal solutions across both our Product and Electricity segments, including EGS. This includes advancing internal R&D, and building on existing pilot initiatives, including our collaboration with SLB and Sage, while selectively developing capabilities internally or with third parties to address technical gaps and unlock new market opportunities aligned with our strategic plan.

•Expanding into New Technologies Across Renewable Energy Platforms— We intend to leverage our technological capabilities across multiple renewable energy platforms, including, solar power generation and

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energy storage. We aim to support continuous innovation through research and development efforts designed to enhance efficiency, reliability, and long-term performance.

The map below shows our worldwide portfolio of operating geothermal, solar PV and recovered energy power plants as of February 25, 2026.

*In Indonesia, in the Sarulla complex and in Ijen power plant we include our 12.75% and 49% share only, respectively.

The map below shows our portfolio of operating storage facilities as of February 25, 2026.

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Sustainability Strategy

We are committed to engaging with stakeholders on sustainability matters and to continue strengthening our sustainability practices. We participate in and support external initiatives and collaborate with national and international associations that we believe promote alignment with our sustainability priorities, particularly with respect to geothermal energy, health and safety, and human rights. We also seek to provide timely, credible and comparable information to sustainability rating agencies and to engage with institutional investors and investor advocacy organizations on sustainability-related matters.

As a provider of renewable energy solutions, we monitor climate-related risks and opportunities and pursue initiatives to reduce our GHG emissions and improve energy efficiency across our operations. In addition to complying with applicable regulatory requirements, we report our annual GHG emissions to organizations such as the Carbon Disclosure Project and the Israeli Ministry of Environmental Protection’s voluntary business reporting initiative.

We report annually on our progress toward environmental goals and commitments in our sustainability reports, including measures related to climate change mitigation, biodiversity conservation and water management. Our most recent Sustainability Report is available, free of charge, on our website at https://www.ormat.com/en/sustainability/report/documents/. The contents of our website, including our sustainability reports, are not part of, and are not incorporated by reference into, this Form 10-K.

Our Proprietary Technology

Our proprietary technology involves original designs of Organic Rankine Cycles including equipment such as turbines, pumps, and heat exchangers, as well as formulation of organic motive fluids (all of which are non-ozone-depleting substances). Such equipment can be used either in power plants operating according to the ORC alone or in combination with various other commonly used thermodynamic technologies that convert heat to mechanical power, such as gas and steam turbines. It can be used with a variety of thermal energy sources, such as geothermal, recovered energy, biomass, solar energy and fossil fuels.

We also developed, patented and constructed GCCU power plants in which the steam first produces power in a backpressure steam turbine and is subsequently condensed in a vaporizer of a binary plant, which produces additional power. Our Geothermal Combined Cycle technology, that we have deployed in previous years, is depicted in the diagram below.

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In the conversion of geothermal energy into electricity, our technology has several advantages over conventional geothermal steam turbine plants. A conventional geothermal steam turbine plant consumes significant quantities of water, causing depletion of the aquifer and requiring cooling water treatment with chemicals and consequently a need for the disposal of such chemicals. A conventional geothermal steam turbine plant also creates a visual impact in the form of an emitted plume from the cooling towers, especially during cold weather. By contrast, our binary and combined cycle geothermal power plants have a low profile with minimal visual impact and do not emit a plume when they use air-cooled condensers. Our binary and combined cycle geothermal power plants reinject all of the geothermal fluids utilized in the respective processes into the geothermal reservoir. Consequently, such processes generally have minimal emissions.

Other advantages of our technology include simplicity of operation and maintenance and higher yearly availability. For instance, the OEC employs a low speed and high efficiency organic vapor turbine directly coupled to the generator, eliminating the need for reduction gear. In addition, with our binary design, there is no contact between the turbine blades and the geothermal fluids, which can often be very erosive and corrosive. Instead, the geothermal fluids pass through heat exchangers, which are less susceptible to erosion and can adapt much better to corrosive fluids. In addition, with the organic vapor condensed above atmospheric pressure, no vacuum system is required.

We use the same elements of our technology in our recovered energy products. The heat source may be exhaust gases from a Brayton cycle gas turbine, low-pressure steam, or medium temperature liquid found in the process industries such as oil refining and cement manufacturing. In most cases, we attach an additional heat exchanger in which we circulate thermal oil or water to transfer the heat into the OEC’s own vaporizer in order to provide greater operational flexibility and control. Once this stage of each recovery is completed, the rest of the operation is identical to that of the OECs used in our geothermal power plants and enjoys the same advantages of using the ORC. In addition, our technology allows for better load following than conventional steam turbines, requires no water treatment (since it is air-cooled and organic fluid motivated), and does not require the continuous presence of a licensed steam boiler operator on site.

Our REG technology is depicted in the diagram below.

Patents

As of December 31, 2025, we had 182 active patents and patent applications worldwide, including 52 patents issued in the U.S. and 12 pending patent applications worldwide. These patents and patent applications cover our products (mainly power units based on the ORC) and systems (mainly geothermal power plants and industrial waste heat recovery plants for electricity production). The product-related patents cover components that include turbines, pumps, heat exchangers, air coolers, seals and controls as well as geothermal production well pumps. The system-related patents cover not only particular components but also the overall energy conversion system from the “fuel supply” (e.g., geothermal fluid, waste heat, biomass or solar) to electricity production.

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The system-related patents also cover subjects such as waste heat recovery related to gas pipeline compressors and industrial waste heat, solar power systems, disposal of non-condensable gases present in geothermal fluids, reinjection of other geothermal fluids ensuring geothermal resource sustainability, power plants for very high-pressure geothermal resources, two-phase fluids, low temperature geothermal brine as well as processes related to EGS. The remaining terms of our issued patents range from one year to 16 years. The loss of any single patent would not have a material effect on our business or results of operations.

Research and Development

We conduct research and development activities intended to improve plant performance, reduce costs, and increase the breadth of our product offerings. The primary focus of our research and development efforts is targeting power plant conceptual thermodynamic cycle and major equipment including continued performance, cost and land usage improvements to our condensing equipment, and development of new higher efficiency and higher power output turbines and brine production pumps.

As part of our continuous cost reduction and performance enhancement, we developed and patented the extraction ORC, extraction and injection turbines that allow bleed or injection of motive fluid between stages from or to the organic turbine. As the ACC is a significant piece of equipment involved in the ORC process, we focus our efforts on improving ACC performance and reduce its cost, such as the wind guiding vanes for wind effects mitigation, inclined ACC and tubes geometry variation.

We also devote resources to research and development for our Energy Storage segment. Our engineering and R&D teams are working to optimize the dispatch strategy of a BESS, develop and deploy capabilities to self-integrate BESS and test different battery cell and inverter technologies under simulated operating criteria of various energy markets to allow us to bring to market cost-effective BESS more rapidly and more optimized to the specific use cases and target revenue streams. Additionally, we hold patents in other energy storage solutions, including a mechanical energy storage system, which is currently under design and feasibility examination. A preliminary trial of this system in a small-scale unit was performed, and testing remains ongoing. Initial results obtained high RTE values compared to other mechanical energy storage solutions.

We continue to evaluate investment opportunities in companies with innovative technology or product offerings for renewable energy and energy storage solutions.

Ormat New Ventures

Ormat New Ventures is the Company’s strategic corporate venture capital platform. It was established to support Ormat’s long-term growth strategy by investing in early-stage energy and climate technology companies whose innovations may complement the Company’s core businesses and contribute to future development opportunities.

The investment strategy focuses primarily on hardware- and systems-based technologies that can be integrated into operating energy infrastructure or enable the development of new projects. Areas of interest include advanced geothermal technologies, energy storage solutions, renewable and waste heat recovery technologies (including industrial-scale heat pumps, heat engines and other clean power generation solutions), and nuclear fission small modular reactor (“SMR”) deployment technologies.

As a strategic investor, Ormat New Ventures seeks to provide portfolio companies with access to the Company’s technical expertise, project development capabilities and operational experience, in addition to capital. This approach is intended to support the advancement of technologies toward commercial deployment while enabling the Company to evaluate potential applications that may enhance future projects and operating assets or being key to new markets.

Ormat New Ventures maintains an evergreen investment structure, providing flexibility in the timing and size of investments based on strategic alignment and potential impact.

As of the date of this Annual Report, the portfolio includes investments in the following companies:

•Sage Geosystems – Geo-pressurized geothermal technology designed for power generation, long-duration energy storage or district heating from low-permeability formations.

•LAVA – Isothermal thermodynamic cycle technology for heat-to-power conversion applications.

•TerraWave – Millimeter-wave drilling technology intended to enable access to deep and super hot geothermal resources.

•RepAir Carbon – Electrochemical carbon capture technology for industrial low concentration and direct air capture applications.

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•Novocycle – Lithium-ion battery recycling technology focused on pre-treatment stage innovation to achieve higher content of material recovery.

Market Opportunities

Geothermal Market Opportunities

Renewable energy provides a long-term solution to multiple global energy challenges, including climate change, grid reliability concerns, and exposure to volatile fossil fuel commodity prices. As a result, many countries are prioritizing the development of clean, decarbonized, and dispatchable baseload renewable generation, with increasing interest in geothermal energy.

At the end of 2025, the total installed geothermal power generation capacity stood at 17,144 MW, an increase of 271 MW in 2025. The United States, Indonesia, the Philippines, Turkey, Kenya and New Zealand are the leading countries in geothermal power generation.

Governments around the world have recognized the need to diversify energy supply and reduce greenhouse gas emissions. In response, many jurisdictions have adopted, or are in the process of adopting, regulatory frameworks and policy mechanisms intended to support the deployment of low-carbon generation resources and achieve emissions reduction targets.

United States

Federal

Interest in geothermal energy in the United States continues to grow, supported by legislative and regulatory activity at the local, state, and federal levels. Policymakers and regulators increasingly recognize the ability of geothermal generation to provide reliable, non-intermittent renewable power and support grid reliability objectives. In January 2025, President Trump issued multiple Executive Orders focused on energy policy, including declaring a national energy emergency and seeking to increase domestic energy production, including geothermal energy.

At the federal level, the BLM recently adopted a new categorical exclusion for geothermal resource confirmation activities on federal geothermal leases, which is expected to reduce permitting burdens and facilitate development on public lands. In addition, the current federal administration declared an energy emergency in 2025, allowing for alternative NEPA procedures to be implemented to process energy development applications on federal lands. Both permitting authorities were utilized by BLM in 2025 for geothermal projects, expediting permitting timelines for resource confirmation activities and certain development projects. Federal approvals for administrative permits, including geothermal drilling permits, are also being processed in a timely manner, which may support increased drilling activity on federal lands.

On July 4, 2025, the OBBBA was enacted into law in the United States, replacing the IRA. The law seeks to limit content from foreign entities of concern (“FEOC”) used in energy related projects that start construction after December 31, 2025. For more information, see Note 16 in the consolidated financial statements contained in this annual report.

Other Drivers of Renewable Energy Demand in the U.S.

Demand for renewable energy in the United States continues to be supported by several structural trends, including expected growth in electricity consumption from data centers, corporate decarbonization objectives, and increased electrification across multiple end-use sectors. Data centers are significant energy consumers, and as companies strive to cut emissions and boost sustainability, they are securing renewable energy through PPAs to meet carbon-free targets. In addition, broader electrification trends in transportation and industrial processes may increase overall electricity demand and support the need for additional renewable generation resources.

Increased PPA Prices in the U.S.

Increased demand for renewable power, direct demand from hyper-scalers and constrained availability of firm, dispatchable generation in certain markets have contributed to higher PPA prices. The gap between electricity supply and demand in parts of the U.S. has driven higher energy and capacity pricing. Ormat has signed several PPAs for new capacity

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and for existing capacity renewal across its U.S. geothermal fleet at prices above $100 per MWh, compared to PPAs executed at levels generally between $60 per MWh and $80 per MWh during the prior five years.

State legislation and Incentives

Geothermal power is currently generated in several U.S. states, including California, Nevada, Hawaii, Idaho, Oregon, and Utah. Ormat believes there are opportunities to expand geothermal development in additional western states, including New Mexico and Colorado. New Mexico recently passed legislation increasing renewable energy requirements for investor-owned utilities to 100% by 2045, and Colorado’s Energy and Carbon Management Commission recently adopted streamlined geothermal permitting regulations.

Many states have implemented a RPS programs requiring utilities to incorporate renewable energy into their generation portfolios over defined compliance periods. Renewable energy generation under these programs is typically tracked through RECs, which are used by load-serving entities to demonstrate compliance with applicable RPS requirements.

Currently, 30 states plus the District of Colombia and two U.S. territories have enacted an RPS, renewable portfolio goals, or similar laws or incentives (including clean energy standards or goals) requiring or encouraging load-serving entities to procure a specified percentage of electricity from renewable energy or recovered heat sources. Additionally, three states and one territory have voluntary renewable energy goals. A significant portion of Ormat’s geothermal projects are located in California, Nevada, and Hawaii, which have among the most stringent RPS programs in the country. Ormat sees the impact of RPS and climate legislation as a significant driver to expanding existing power plants and building new renewable projects.

Certain states also offer incentives supporting geothermal energy development. For example, Nevada provides a property tax abatement of up to 55% for qualifying property used to generate geothermal electricity potentially for up to twenty years if certain job creation requirements are met. Colorado added new incentive programs beginning in 2024, including grant programs and investment and production tax credits and added additional programs in 2025 intended to continue incentivizing development of long-lead-time resources. Idaho, exempts geothermal energy producers from property tax and instead impose a 3% tax on gross energy earnings. California provides grants and loans through the California Energy Commission to promote the development of geothermal resources and technologies. In addition, the CPUC has required load-serving entities to procure significant amounts of new clean electricity, including procurement requirements for firm and dispatchable resources with high capacity factors and low on-site emissions. With its high capacity factor and ability to provide firm and flexible generation, geothermal energy may support compliance with these requirements and serve as a replacement for certain retiring baseload generation resources.

Global

We believe the global markets continue to present growth and expansion opportunities in both established and emerging markets.

We believe several global climate-related initiatives are likely to create business expansion opportunities for us and support the global growth of the renewable sector. Although in January 2025 President Trump signed an Executive Order to withdraw the United States from the Paris Agreement, it was initially adopted by the Twenty-first Conference of the Parties to the United Nations (UN) Framework Convention on Climate Change (2015) and subsequent UN Climate Change Conferences have reaffirmed the commitments of the Paris Agreement.

Outside of the U.S., the majority of power-generating capacity has historically been owned and controlled by governments. Since the early 1990s, however, many foreign governments have privatized their power generation industries through sales to third parties encouraging new capacity development and/or refurbishment of existing assets by independent power developers.

Latin America

Several Latin American countries have renewable energy programs and have pursued development in the geothermal market.

In Guatemala, where our Zunil and Amatitlan power plants are located, the Guatemalan government’s Energy Policy 2013-2027 aims for 80% renewable energy by 2027 to ensure competitive electricity prices. Recent years have shown spot prices rising over 20% annually. With no major new generation investments expected, high prices may persist until at least 2032-2034. Despite recent volatility, market conditions are expected to stabilize later in the year.

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In Honduras, where we operate our Platanares power plant, the government set a target to reach at least 80% renewable energy production by 2034. State utility ENEE is seeking up to 1,500 MW of firm capacity through large tenders.

In New Zealand, where we have been actively providing geothermal power plant solutions since 1988, the government’s policies to fight climate change include a net zero GHG emissions reduction target by 2050 and a renewable electricity generation target of 90% of New Zealand’s total electricity generation by 2035. We continue selling power plants and products to our New Zealand customers and cooperate with other potential customers for adding geothermal power generation capacity within the coming years. In 2023, we signed an EPC contract to build the Ngatamariki 58MW geothermal power plant following the 59MW Tehuka 3 geothermal project contract signed in 2022. In 2024 we signed an EPC contract to build the Te-Mihi 2A 101MW geothermal power plant, and in 2025 we built the 58MW Ngatamariki and the 50MW TOPP2 plants. The 59 MW Te Huka Unit 3 geothermal power plant achieved commercial operation in June 2025 and the 50MW TOPP 2 achieved commercial operation in January 2026.

Asia

Indonesia has an estimated geothermal potential of 23GW, the largest in the world, but has only utilized about 2.7 GW (i.e. 13%) of this potential. The Government of Indonesia has made a Nationally Determined Contribution to reduce GHG emissions by 43.2% and achieve net zero emissions by 2060. To meet this target, the Indonesian government has planned to increase the use of renewable energy, with geothermal energy planned to increase by 5.2GW by 2034. To further accelerate the development of renewable energy, Presidential Regulation No. 112 was enacted in 2022, which outlines renewable energy investment incentives and sets more favorable electricity tariffs for renewable energy.

In early 2025, we commenced commercial operation of the 35MW Ijen Power Plant, a joint development with Medco Power Indonesia, which started operation in February 2025. We are making intensive efforts to expand our power plant portfolio in Indonesia. Throughout 2024 and 2025, Ormat won four tenders of fields with the potential of 122MW in total to expand our exploration field portfolio in Indonesia for up to 182MW of geothermal capacity.

In the Product segment, we see increasing market demand for our binary technology. With the successful COD of the 15MW Salak binary power plant in early February 2025 which uses the Ormat system and is the first full single phase binary power plant in Indonesia, we plan to continue to develop and capture the binary market in Indonesia with geothermal and REG power plants.

Plans to build binary power plants have been announced by multiple geothermal companies. As outlined in PLN’s Electricity Supply Business Plan for 2025-2034, a binary market totaling 500MW is expected to be ready for development by 2030, offering opportunities for our Product segment.

Since 2004, we have established strong business relationships in the Turkish geothermal market and provided our wide range of solutions, including our binary systems, to over 40 geothermal power plants with a total capacity of over 900MW and 96 MW under construction. The 15-year FIT in place and the recent 2026 Turkish Economic Coordination Council addressing issues relating to geothermal energy are cultivating development of new projects and investments which have been at a standstill due to the ongoing economic crises in Turkey.

East Africa

In East Africa the geothermal potential along the Rift Valley is estimated at several thousand MW. The countries along the Rift Valley are at different stages of development of their respective geothermal potential.

In Kenya, there are already several geothermal power plants, including our 150MW Olkaria III complex. The Kenyan government has identified the country's untapped geothermal potential as the most suitable indigenous source of electricity.

According to the Kenya National Energy Compact 2025–2030, the Government of Kenya aims to increase renewable power generation capacity to approximately 5.95 GW by 2030, including about 1.68 GW of geothermal capacity, representing roughly 28% of the targeted renewable generation mix, with the objective of transitioning the national grid from approximately 83% to 100% clean energy sources.

Energy Storage

Energy storage systems utilize surplus available electricity that enables utilities and grid operators to optimize the operation of the grid, run generators closer to full capacity for longer periods, and operate the grid more efficiently and effectively. As penetration of wind and solar resources increases, so does the need for services that energy storage systems can provide to “balance the grid”, such as local capacity, frequency regulation, ramping, reactive power, and movement of energy from times of excess supply to times of high demand. Common applications for energy storage systems include

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ancillary services, wind/solar smoothing, energy trading, gas peaker replacement, and transmission and distribution deferral.

In general, the energy storage market is impacted by battery prices that are linked to lithium prices and tariffs affecting China. 2025 was a volatile year for BESS pricing due to the implementation of tariffs and tariff policy changes, as well as the increase in demand due to the enactment of the OBBBA. OBBBA introduced foreign entity of concern (FEOC) requirements for projects starting construction after December 31, 2025, which led to developers (including Ormat) safe harboring prior to the end of 2025 so that ITC can be maintained. For more information, see Part I of this Annual Report, Item 1A “Risk Factors—Risks Related to the Company’s Business and Operation—We could be impacted by regulatory and other responses to climate change” and “—Risks Related to Governmental Regulations, Laws and Taxation—The reduction, elimination or inability to monetize government incentives could adversely affect our business, financial condition, future results and cash flows”. FEOC restrictions will need to be navigated by all developers moving forward to qualify for ITC benefits. Various battery suppliers are preparing to manufacture batteries in the U.S., which is expected to result in additional tax benefits for projects that will use domestically produced batteries.

According to Wood Mackenzie's Energy Storage Monitor, the U.S. energy storage market added 5,268MW/ 14,465MWh across all segments in Q3 2025. Texas and California were responsible for 82% of the installed capacity. Most of these additions, 4,588MW/13,591MWh, were grid-scale storage facilities which our Energy Storage segment focuses on. This segment’s installation capacity increased by 27% over Q3 2024. Wood Mackenzie is forecasting that 93 GW of energy storage will be added to the grid between 2025-2029, with the majority expected to be grid-scale installations.

We currently own and operate 17 grid-scale BESS facilities and two hybrid solar PV and BESS facilities, where revenues are derived from selling energy, capacity and/or ancillary services in merchant markets like PJM, ISO-NE, ERCOT, CAISO and Hawaii. We are pursuing the development of additional grid-connected BESS projects in multiple regions, with expected revenues coming from providing energy, capacity and/or ancillary services on a merchant basis, or through long-term contracts with load serving entities, e.g., investor-owned utilities, publicly owned utilities and community choice aggregators. We are also pursuing the development and construction of additional hybrid solar PV and BESS facilities. We believe that interconnection remains the key bottleneck for storage development in the U.S., and a primary driver of project timelines.

Growing grid volatility and the expected acceleration of intermittent generation, driven in part by increasing data center electricity demand, are materially expanding the need for energy storage solutions. These market dynamics have supported the development of new tolling structures in Texas and strengthened tolling pricing in California. By entering into tolling agreements, Ormat enhances the proportion of fixed, contracted revenues within the segment, improving cash flow visibility, strengthening earnings stability, and reducing exposure to merchant power price volatility

We have been awarded two separate 15-year tolling agreements for two Energy Storage facilities in Israel under the tolling agreements that are expected to have a combined capacity of approximately 300MW/1200MWh. The ownership of the projects will be shared, 50/50 between Ormat and Allied Infrastructure LTD, a leading infrastructure company in Israel.

Solar PV

Although there is a renewed focus on fossil fuel energy sources by the new presidential administration, the solar PV market continues to grow and benefits from state renewable portfolio targets as well as the general desire to replace fossil fuel generation with renewable resources. We are monitoring market drivers with the potential to develop solar PV power plants in locations where we can offer competitively priced power generation. We currently operate 60MW of standalone solar PV generation and recently commissioned a 42MW solar PV plus 35MW/140MWh BESS project in the Imperial Valley in California and acquired 30MW solar PV plus a 30MW/120MWh BESS project in Hawaii. We also have a pipeline of hybrid PV and BESS development projects in various western states, targeting future utility procurement.

In addition, Ormat continues to focus on adding solar PV systems to some of our operating geothermal power plants to reduce internal consumption loads. Since 2019, we successfully placed in service 48MW of solar PV augmentation systems and acquired an additional 20MW of solar PV augmentations adjacent to operating geothermal power plants in Nevada and are currently developing an additional 36MW.

Operations of our Electricity Segment

How We Explore and Evaluate Geothermal Resources

We conduct exploration activities globally. It generally takes two to five years from the time we start active exploration of a particular geothermal resource to the time we have resource confirmation through drilling and testing. This timeframe assumes the resource is commercially viable and there is an intention to pursue its development. Exploration activities generally involve the phases described below.

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Initial Evaluation

We identify and evaluate potential geothermal resources through field investigations using a robust geoscience program identified through both public and private data sources. On average, our expenses for an initial evaluation range from approximately $10,000 (mainly in the U.S.) to $50,000 (mainly for international prospects) including travel, chemical analyses, and data acquisition.

If we conclude, based on the information considered in the initial evaluation, that the geothermal resource has potential to support a commercially viable power plant, considering various factors described below, we proceed to land rights acquisition.

Land Acquisition

We acquire land rights to any geothermal resources that our initial evaluation indicates could potentially support a commercially viable power plant. For domestic power plants, we either lease or own the sites on which our power plants are located. For our foreign power plants, our lease rights for the power plant site are generally contained in the terms of a concession agreement or other contract with the host government or an agency thereof.

For most of our current exploration sites in the U.S., we acquire rights to use the geothermal resource through land leases with the BLM (which regulates leasehold interests in U.S. federal land), with various states, or through private leases. A summary of our typical lease terms is provided below under “Description of our Leases and Lands”. The up-front bonus and royalty payments vary from site to site and are based on, among other things, current market conditions.

Surveys

We conduct geological, geochemical, and/or geophysical surveys on the sites we acquire. These surveys are conducted incrementally considering relative value and cost, and the geologic model is updated continuously.

We make a further determination of the commercial viability of the potential geothermal resource based on the results of this process, particularly the results of the geochemical surveys estimating temperature and the overall geologic model, including potential resource size. We generally only move forward with those sites that we believe have a moderate to high probability of successful development.

Exploratory Drilling & Testing

We drill exploratory wells on the high priority, relatively low risk sites to confirm and/or define a geothermal resource. Each year we determine and approve an exploration budget for the entire exploration activity in such year. We prioritize budget allocation between the various geothermal sites based on commercial, business, and portfolio management factors. The costs we incur for exploratory drilling vary from site to site based on various factors, including the accessibility of the drill site, the exploration strategy, and conceptual model of the resource. The type of exploratory drilling performed varies and can range from shallow temperature gradient wells to medium depth core drilling to full-size exploration wells. The exploration program typically focuses on the lowest cost option to de-risk the prospect such as temperature gradient wells to delineate a thermal anomaly and further de-risk targets with larger diameter wells. However, exploration costs, prior to drilling of a full-size well, are $1.0 million to $5.0 million for each site, not including land acquisition, and depending on the success we see in the early stages of exploration. Outside the U.S. exploration costs can be higher.

If we conclude that a geothermal resource will support a commercially viable power plant, we move to the phase of constructing a power plant at the site. Additional wells may be drilled during the plant construction phase to meet the design point criteria.

How We Construct Our Power Plants.

The principal phases involved in constructing one of our geothermal power plants are as follows:

▪Drilling production and injection wells. The number of production and injection wells varies from plant to plant depending on, among other things, the geothermal resource, the projected capacity of the power plant, the power generation equipment to be used and the way geothermal fluids will be re-injected through injection wells to maintain the geothermal resource and surface conditions. In the last five years, our cost for each production and injection well ranged between $2.1 million to $13.0 million. An average cost for a domestic well was approximately $4.3 million and $8.0 million for international wells.

▪Designing the well field, power plant, equipment, controls, and transmission facilities. The designs vary based on various factors, including local laws, required permits, the geothermal resource, the expected capacity of the

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power plant and the way geothermal fluids will be re-injected to maintain the geothermal resource and surface conditions.

▪Obtaining any required permits, electrical interconnection and transmission agreements. The permits and licenses required vary from site to site and are described below under “Environmental Permits”.

▪Manufacturing (or in the case of equipment we do not manufacture ourselves, purchasing) the equipment required for the power plant. Generally, we manufacture most of the power generating unit equipment we use at our power plants. Multiple sources of supply are typically available for all other equipment we do not manufacture.

▪Assembling and constructing the well field, power plant, transmission facilities, and related facilities. We perform site grading and civil, structural, mechanical, insulation, electrical, control, and communication works required for project execution. Construction materials (such as concrete and rebar), equipment (including cranes and forklifts), and tools are supplied as necessary to complete the work.

In general, it has taken approximately two to three years from the time we drill a production well until a power plant becomes operational. During 2025 in the Electricity segment, we focused on the commencement of operations for the repower of the upgrade of Ormesa 1 and the upgrades to our Olkaria III geothermal power plant. We also focused on construction of the Puna repower in Hawaii, Dominica geothermal power plant in the island of Dominica, Bouillante geothermal expansion in Guadeloupe, and construction of the TOPP2 geothermal power plant in New Zealand that was sold at COD to a third party. We also conducted enhancement work in some other of our operating power plants worldwide.

When deciding whether to continue holding lease rights and/or to pursue exploration activity, we diligently prioritize our prospective investments, taking into account resource and probability assessments in order to make informed decisions about whether a particular project will support commercial operation.

We may conclude that a prospective geothermal resource will not support commercial operations. In such case, costs associated with exploration activities will be expensed accordingly under the Write-off of Unsuccessful Exploration Activities line item in the consolidated statements of operations in our financial statements.

How We Operate and Maintain Our Power Plants

Our operations and maintenance practices are designed to minimize operating costs without compromising safety or environmental standards while maximizing plant flexibility and maintaining high reliability. Our operations and maintenance practices for geothermal power plants seek to preserve the sustainable characteristics of the geothermal resources we use to produce electricity and maintain steady-state operations within the constraints of those resources reflected in our relevant geologic and hydrologic studies.

Safety is a key area of concern to us. We believe that the most efficient and profitable performance of our power plants can only be accomplished within a safe working environment for our employees. Our compensation and incentive program includes safety as a factor in evaluating our employees, and we have a well-developed reporting system to track safety and environmental incidents, if any, at our power plants.

How We Sell Electricity

In the U.S., our customers are investor-owned, publicly owned utilities, and, more recently, data centers operators, Hyperscalers, public and private corporations and CCAs. Outside the U.S., our customers are typically state-owned utilities or privately owned entities. In these markets, we generally operate our facilities under rights granted by a governmental agency through a concession agreement.

In all cases, we enter into long-term contracts, typically PPAs, for the sale of electricity or the conversion of geothermal resources into electricity. Historically, revenue from our power plants under a PPA has consisted of two components: energy payments and capacity payments.

Energy payments are usually based on the actual electrical output delivered by a power plant, measured in kilowatt-hours (kWh). Payment rates may be fixed, indexed to the power purchaser’s “avoided” power costs (i.e., the costs the purchaser would have incurred if it generated the power itself), or subject to annual escalation at a predetermined rate.

Capacity payments, on the other hand, are calculated based on the generating capacity or declared capacity of a power plant available for delivery to the customer, regardless of the amount of electrical output actually produced or delivered. Additionally, as an example, one of our power plants in Hawaii is eligible for capacity payments under its PPAs when certain generation levels are met. Conversely, it may be subject to a capacity payment reduction if those levels are not met.

How We Finance Our Power Plants

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We have funded our power plants with different sources of liquidity such as a non-recourse or limited recourse debt, lease financing, tax monetization transactions, internally generated cash, which includes funds from operations, as well as proceeds from loans under corporate credit facilities, bonds (including green bonds), public debt and equity offerings, senior unsecured corporate bonds, and the sale of equity interests and other securities. Our debt financing permits the development of power plants with a limited amount of equity contributions, but also increases the risk that a reduction in cashflow could adversely affect a particular power plant’s ability to meet its debt obligations. Leveraged financing also means that distributions of dividends or other distributions by our subsidiaries to us are contingent on compliance with financial and other covenants contained in the applicable finance documents.

In 2025, we entered into several corporate and project finance loans, renewed our commercial papers and expanded our revolving credit facilities to support our geothermal and storage growth. In addition, we monetized PTCs and ITCs from our Heber geothermal complex and BESS projects.

Description of Our Leases and Lands

We have domestic leases on approximately 434,430 acres of federal, state, and private land in California, Hawaii, Nevada, New Mexico, Utah, Idaho and Oregon. The approximate breakdown between federal, state and private leases and owned land is as follows:

•~78% of the acreage under our control is leased from the U.S. government, mainly through the BLM. Roughly 3% of that acreage is currently suspended;

•~18% is leased or subleased from private landowners and/or leaseholders; and

•~4% is owned by Ormat.

Internationally, our land position includes approximately 5,006 acres in various countries.

BLM Geothermal Leases

Certain of our domestic project subsidiaries have entered into geothermal resource leases with the U.S. government, pursuant to which they have obtained the right to conduct their geothermal development and operations on federally-owned land. These leases are made pursuant to the Geothermal Steam Act. The lessor under such leases is the U.S. government, acting through the BLM.

BLM geothermal leases grant the geothermal lessee the right and privilege to drill for, extract, produce, remove, utilize, sell, and dispose of geothermal resources on certain lands, together with the right to build and maintain necessary improvements thereon. The actual ownership of the geothermal resources and other minerals beneath the land is retained in the federal mineral estate. The geothermal lease does not grant to the geothermal lessee the exclusive right to develop the lands, although the geothermal lessee does hold the exclusive right to develop geothermal resources within the lands. Since BLM leases do not grant to the geothermal lessee the exclusive right to use the surface of the land, BLM may grant rights to others for activities that do not unreasonably interfere with the geothermal lessee’s uses of the same land, including, off-road vehicles, and/or wind or solar energy developments.

Typical BLM leases issued to geothermal lessees before August 8, 2005 have a primary term of ten years and will renew so long as geothermal resources are being produced or utilized in commercial quantities but cannot exceed a period of forty years after the end of the primary term. If at the end of the forty-year period geothermal steam is still being produced or utilized in commercial quantities and the lands are not needed for other purposes, the geothermal lessee will have a preferential right to renew the lease for a second forty-year term, under terms and conditions as the BLM deems appropriate.

BLM leases issued after August 8, 2005 have a primary term of ten years. If the geothermal lessee does not reach commercial production within the primary term, the BLM may grant two five-year extensions. If the lessee is drilling a well for the purposes of commercial production, the lease may be extended for five years and thereafter, as long as steam is being produced and used in commercial quantities, the lease may be extended for up to thirty-five years. If, at the end of the extended 35-year term, geothermal steam is still being produced or utilized in commercial quantities and the lands are not needed for other purposes, the geothermal lessee will have a preferential right to renew the lease under terms and conditions as the BLM deems appropriate.

For BLM leases issued before August 8, 2005, the geothermal lessee is required to pay an annual rental fee (on a per acre basis), which escalates according to a schedule described therein, until production of geothermal steam in commercial quantities has commenced. After such production has commenced, the geothermal lessee is required to pay royalties (on a monthly basis) on the amount or value of (i) steam, (ii) by-products derived from production, and (iii) commercially de-mineralized water sold or utilized by the project (or reasonably susceptible to such sale or use).

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For BLM leases issued after August 8, 2005, (i) a geothermal lessee who has obtained a lease through a non-competitive bidding process will pay an annual rental fee equal to $1.00 per acre for the first ten years and $5.00 per acre each year thereafter; and (ii) a geothermal lessee who has obtained a lease through a competitive process will pay a rental equal to $2.00 per acre for the first year, $3.00 per acre for the second through tenth year and $5.00 per acre each year thereafter. Rental fees paid before the first day of the year for which the rental is owed will be credited towards royalty payments for that year. For BLM leases issued, effective, or pending on August 5, 2005 or thereafter, royalty rates are fixed between 1.0%-2.5% of the gross proceeds from the sale of electricity during the first ten years of production under the lease. The royalty rate set by the BLM for geothermal resources produced for the commercial generation of electricity but not sold in an arm’s length transaction is 1.75% for the first 10 years of production and 3.5% thereafter. The royalty rate for geothermal resources sold by the geothermal lessee or an affiliate in an arm’s length transaction is 10.0% of the gross proceeds from the arm’s length sale.

The holder of a BLM geothermal lease has the ability to request in writing that the BLM suspend operations related to certain leases or an approved unit for reasons that negatively impact the operator’s ability to develop the resource. BLM reviews these requests and determines if the suspension is justified. If a suspension is approved the operator is no longer required to drill, produce geothermal resources or pay rents or royalties during the suspension and the lease term will be extended by the length of time the suspension is in effect. Leases can be unsuspended via a written request to BLM and when the suspension ends the operator resumes rental and royalty payments along with drilling and production requirements.

In the event of a default under any BLM lease, or the failure to comply with any of the provisions of the Geothermal Steam Act or regulations issued under the Geothermal Steam Act or the terms or stipulations of the lease, the BLM may, 30 days after notice of default is provided to the relevant project, (i) suspend operations until the requested action is taken, or (ii) cancel the lease.

Private Geothermal Leases

Certain of our domestic project subsidiaries have entered into geothermal resources leases with private parties, pursuant to which they have obtained the right to conduct their geothermal development and operations on privately owned land. In many cases, the lessor under these private geothermal leases owns only the geothermal resource and not the surface of the land.

Typically, the leases grant our project subsidiaries the exclusive right and privilege to drill for, produce, extract, take and remove from the leased land water, brine, steam, steam power, minerals (other than oil), salts, chemicals, gases (other than gases associated with oil), and other products produced or extracted by such project subsidiary. The project subsidiaries are also granted certain non-exclusive rights pertaining to the construction and operation of plants, structures, and facilities on the leased land. Additionally, the project subsidiaries are granted the right to dispose geothermal fluid as well as the right to re-inject into the leased land water, brine, steam, and gases in a well or wells for the purpose of maintaining or restoring pressure in the productive zones beneath the leased land or other land in the vicinity. Because the private geothermal leases do not grant to the lessee the exclusive right to use the surface of the land, the lessor reserves the right to conduct other activities on the leased land in a manner that does not unreasonably interfere with the geothermal lessee’s uses of the same land, which other activities may include agricultural use (farming or grazing), recreational use and hunting, and/or wind or solar energy developments.

The leases provide for a term consisting of a primary term in the range of five to 30 years, depending on the lease, and so long thereafter as lease products are being produced or the project subsidiary is engaged in drilling, extraction, processing, or reworking operations on the leased land.

As consideration under most of our project subsidiaries’ private leases, the project subsidiary must pay to the lessor a certain specified percentage of the value “at the well” (which is not attributable to the enhanced value of electricity generation), gross proceeds, or gross revenues of all lease products produced, saved, and sold on a monthly basis. In certain of our project subsidiaries’ private leases, royalties payable to the lessor by the project subsidiary are based on the gross revenues received by the lessee from the sale or use of the geothermal substances, either from electricity production or the value of the geothermal resource “at the well”.

In addition, pursuant to the leases, the project subsidiary typically agrees to commence drilling, extraction or processing operations on the leased land within the primary term, and to conduct such operations with reasonable diligence until lease products have been found, extracted and processed in quantities deemed “paying quantities” by the project subsidiary, or until further operations would, in such project subsidiary’s judgment, be unprofitable or impracticable. The project subsidiary has the right at any time within the primary term to terminate the lease and surrender the relevant land. If the project subsidiary has not commenced any such operations on said land (or on the unit area, if the lease has been

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unitized), or terminated the lease within the primary term, the project subsidiary must pay to the lessor, in order to maintain its lease position, annually in advance, a rental fee until operations are commenced on the leased land.

If the project subsidiary fails to pay any installment of royalty or rental when due and if such default continues for a period of fifteen days specified in the lease, for example, after its receipt of written notice thereof from the lessor, then at the option of the lessor, the lease will terminate as to the portion or portions thereof as to which the project subsidiary is in default. If the project subsidiary defaults in the performance of any obligations under the lease, other than a payment default, and if, for a period of 90 days after written notice is given to it by the lessor of such default, the project subsidiary fails to commence and thereafter diligently and in good faith take remedial measures to remedy such default, the lessor may terminate the lease.

We do not regard any property that we lease as material unless and until we begin construction of a power plant on the property.

Description of Our Power Plants

Domestic Operating Power Plants

The following descriptions summarize certain industry metrics for our domestic operating power plants:

Power plants in the U.S.

Project NameSize (MW)TechnologyResource CoolingCustomerPPA Expiration

Blue Mountain
22Geothermal water-cooled binary system3 to 4°F per year
NV Energy

2047

Brawley 3Geothermal water-cooled binary system
Depends on the mix of used production wells , with current decline rate around 1°F per year

SCE2031

Brady Complex 24Geothermal air and water-cooled binary system
Brady and Desert Peak 2 - declining at less than 2°F per year. DP2 declining at less than 1°F per year
Brady - SCPPA DP2 - NV Energy
Brady — 2043 Desert Peak 2 — end of 2053

Brady Solar30Solar PV System
NA

Internal use (5)

NA

Don A. Campbell Complex (1)
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Geothermal air-cooled binary system

Declining at 3-4°F per year
SCPPA
Phase 1 - 2034

Phase 2 -2035

Heber Complex
91
Geothermal binary systems using both water and air-cooled systems

1°F to 2°per year

SCPPA and Peninsula Clean Energy (PCE), CPA

Heber 1 — 2051 Heber 2 — end of 2038 Heber South — End of 2037

Jersey Valley 8
Geothermal air-cooled binary system
Under 2°F per year

Nevada Power Company2032

Mammoth Complex 65Geothermal air-cooled binary system
1°F per year

PG&E and Southern California Edison (will be replaced by a PPA with Calpine). Monterey Bay, SCPPA and SVCE

G-1 and G-3 - 2033 CD4 - 2047

G-2 plant - 2037

McGinness Hills Complex (7)
141(4)Geothermal air-cooled binary system
5°F per year
Nevada Power Company and SCPPA.Phases 1 and 2 - 2033

Phase 3 - 2043.

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Project NameSize (MW)TechnologyResource CoolingCustomerPPA Expiration

Neal Hot Springs
22Geothermal air-cooled binary system

1.5°F over the past year

Idaho Power Company2038

OREG 1
22Geothermal air-cooled binary system NABasin Electric Power Cooperative2031

OREG 2
22Geothermal air-cooled binary system NABasin Electric Power Cooperative2034

OREG 3
5.5Geothermal air-cooled binary system NAGreat River Energy.2029

Ormesa Complex 40
Geothermal water-cooled binary system.

1°F to 2°F per year
SCPPA under a single PPA.2042

Puna Complex
38Geothermal combined cycle and air-cooled binary systemThe resource temperature is stable HELCO2027

Raft River 12Geothermal water-cooled binary systemThe resource temperature is stable
Idaho Power Company
2032

San Emidio Complex
39Geothermal- water-cooled binary system
Temperature declining in response to recent increase in flow from North Valley Plant. Expect to stabilize over next few years.

NV Energy

San Emidio-2038 North Valley-2048

North Valley Solar
7Solar PV System
NA

Internal use

NA

Steamboat Complex 79
Geothermal air cooled binary system

2°F to 3°F per year

* Steamboat 2 & 3- SCPPA

* Galena1 & 3- Nevada Power Company

* Galena 2 & Steamboat Hills- SCPPA

Steamboat 2 and 3- 2043

Galena1- 2026

Steamboat Hills and Galena 2 - 2043

Galena 3- 2028

Steamboat Complex Solar
17Solar PV SystemNA
Internal use (5)
NA

Tungsten Mountain Geothermal 41Geothermal air and water-cooled binary system
About 3°F to 4°F per year

SCPPA2043

Tungsten Mountain Solar
12Solar PV SystemNA
Internal use (5)
NA

Tuscarora 17
Geothermal hybrid air and water-cooled binary system

1°F to 2°F per year

Nevada Power Company
2032

Dixie Valley (6)
64Geothermal air-cooled binary system and water-cooled flash system.1 to 2°F per yearSCE2038

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Project NameSize (MW)TechnologyResource CoolingCustomerPPA Expiration

Beowawe20Geothermal air-cooled binary systemTemperature beginning to stabilize following increase in flow from Beowawe upgrade, expect to moderate over next few yearsNV Energy2053

Beowawe Solar

6
Solar PV System
NA

Internal use (5)

NA

Wister20Solar PV SystemNASan Diego Gas & Electric2042

Stillwater Complex
14Geothermal air-cooled binary system
1°F to 2°F per year
NV Energy
2029

Stillwater Solar PV I
20Solar PV SystemNA
NV Energy

2029

Stillwater Solar PV
20Solar PV SystemNA
Wynn Las Vegas

2025

Salt Wells10Geothermal air-cooled binary system
1°F to 2°F per year
NV Energy
2029

Cove Fort18Geothermal air-cooled binary systemThe resource temperature is stableSalt River Project
2033

Woods Hill20Solar PV SystemNA
Seven different off-takers in Connecticut

2038

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Foreign Power plants

Project NameSize (MW)TechnologyResource CoolingCustomerPPA Expiration

Amatitlan (Guatemala)
20Geothermal air-cooled binary system and a small back pressure steam turbine (one MW)
About 2°F per year
INDE and another local purchaser.
End of 2027

Bouillante (France)
15
Geothermal direct steam turbines with sea-water cooling system
The resource temperature is stableEDF pursuant to a PPA.2030

Olkaria III Complex (Kenya) (2)
150Geothermal air-cooled binary system
Temperature stabilized in 2024
KPLCPlant 2 - 2033

Plant 1&3 - 2034

Plant 4 - 2036

Platanares (Honduras) (3)

30(4)
Geothermal air-cooled binary system
4°F to 5°F per year
ENEE2047

Zunil (Guatemala)20Geothermal air-cooled binary systemThe resource temperature is stableINDE2034

Sarulla Complex - (Indonesia)
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Geothermal Combined Cycle steam and air cooled binary systems

NIL power plant - 3°F per year and SIL - about 1°F per year
PLN2047

Ijen (Indonesia)

17(9)
Geothermal air-cooled binary system
NA(8)

PLN

2055

1.Don A. Campbell has experienced cooling since mid-2016, with a 3-4°F decline in the last year, causing a reduction in its generating capacity. A temperature mitigation program is ongoing.

2.The complex is experiencing heavy curtailments by KPLC, however the capacity payments are paid on the full generating capacity.

3.We hold the Platanares assets, including the project’s wells, land, permits and a PPA, under a BOT structure for 15 years from September 26, 2017, the date the Platanares plant commenced commercial operation. A portion of the land on which the project is located is held by us through a lease from a local municipality.

4.In the second quarter of 2022, Sarulla agreed with its banks on a framework that will enable it to perform remediation works that are aimed to restore the power plants' performance. The first phase of the recovery plan included the drilling of an additional production well, which was successful, and certain modifications to surface equipment are still underway. Following the positive indications from the first phase, during the second quarter of 2024, Sarulla commenced discussions with the banks towards implementation of an additional phases and expects to commence drilling of additional 2 wells, starting in 2026, aiming for the same target zone of the successful well drilled earlier.

5.The Tungsten, Brady, Steamboat, Beowawe, North Valley and Still Water Solar PV power plants generate energy that is used for the auxiliary power of the geothermal power plants.

6.McGinness Hills Complex has experienced cooling in the last few years, with an approximately 5°F decline in the last year. Temperature mitigation program is ongoing, investigating new production and injection areas.. In addition, the complex experienced heavy curtailments during the year as a result of NV Energy T-line maintenance.

7.Ijen power plant in Indonesia commenced operation in February 2025.

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8.Represents Ormat’s 49% equity share in the project

9.Amatitlan PPA is expected to expire at the end of 2027, we are currently working to extend the PPA.

Future Projects

Projects Released for Construction

We have several projects in various stages of construction, including 11 projects that we have released for construction with a total capacity of 136.5MW and one project with capacity of 10MW to 15MW that is in the early stages of construction.

These projects are expected to have a total geothermal generating capacity of between 101MW and 106MW (representing our interest) and solar PV projects with a total capacity of 36MW.

Project NameLocationExpected Size (MW)TechnologyCustomerExpected CODCurrent Condition

ZunilGuatemala5Geothermal air-cooled binary systemINDE
2027

Drilling was delayed to 2027

Bouillante
Guadeloupe
10
Geothermal water-cooled binary system

EDF

Q3 2026

Construction progressing

DominicaDominica10Geothermal air-cooled binary systemDOMLEC
Q1 2026
Construction completed. Commissioning undergoing.

Cove Fort upgrade

Utah, U.S.
7Geothermal air-cooled binary system
Salt River Project

Q2 2026
Construction ongoing

Stillwater upgrade

NV, U.S

3
Geothermal air-cooled binary system
NV Energy

Q4 2026

Plant partially online. Work in progress.

Salt Wells upgrade

NV, U.S
5Geothermal air-cooled binary system
NV Energy

Q2 2026
Main equipment shipped.

McGinness SolarNevada, U.S.14Solar PV
NA

Q4 2026
Engineering and procurement ongoing

Heber Complex

California,U.S.
27Geothermal air-cooled binary system
SCPPA

H2 2027
Engineering and procurement ongoing

Heber Complex

California,U.S.
22
Solar PV

NA

H2 2027
Engineering and procurement ongoing

Blue Mountain upgrade
Nevada, U.S.
3.5

Geothermal

NV Energy

2027

Project release

Greenfield
Nevada, U.S.
30

Geothermal

TBD

2027
Project release

Total
136.5

Carson LakeNevada, U.S.10 - 15Geothermal air-cooled binary systemNo PPATBD
On Hold

Projects under Various Stages of Development that were not Released for Construction

We also have projects under various stages of development in the U.S. that we estimate will increase the generating capacity of our geothermal and Solar PV projects by approximately 24MW. We expect to continue to explore these and

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other opportunities for expansion so long as they continue to meet our business objectives and investment criteria. However, we prioritize our investments based on their readiness for continued construction and expected economics and therefore we are not planning to invest in all of such projects in 2026.

ProjectLocationTechnologySize (MW)CustomerExpected COD

Dixie MeadowsNevada, U.S.
Geothermal
12SCPPAOn Hold

Blue Mountain
Nevada, U.S.
Solar PV
12
NA

H1 2027

Total
24

Future Prospects

We have a substantial land position that is expected to support future development and on which we have started or plan to start exploration activity.

Our current land position is comprised of various leases, concessions and private land for geothermal resources in 50 prospects across the western U.S., Latin America and Africa. In the U.S. we hold 34 prospects:

•23 prospects in Nevada

•5 prospects in California

•2 prospects in Oregon

•3 prospects in Utah

•1 in New Mexico

Outside the U.S. we hold 16 prospects:

•8 prospects in Indonesia

•4 prospects Ethiopia

•2 prospects in Guatemala

•1 prospect in Honduras

•1 prospect in New Zealand

Competition

Electricity Segment

Ormat's Electricity Segment competes with geothermal developers during the early stages of project development. At this stage, the company must either acquire resource rights or purchase a site. If Ormat is unsuccessful in securing the lease, the acquiring entity may still become a customer of Ormat’s Product Segment.

Our primary competitors are smaller, pure-play developers focused on resource identification and development. In the U.S., industry newcomers are emerging, targeting advanced subsurface geothermal systems and competing for geothermal leases using innovative drilling techniques and technologies. Internationally, competitors gain expertise from projects in their home regions. In Indonesia, Ormat faces competition from companies such as Kaishan, PT Pertamina Geothermal Energy, PT Star Energy, and, in a recent tender, Chevron (in partnership with Pertamina). Although Impex remains active in Japan's geothermal sector, Ormat has yet to encounter direct competition from Impex. Meanwhile, Turkish developers are increasingly focusing on international market expansion. Ormat also competes with other smaller pure-play geothermal developers and local providers.

In the U.S., higher electricity demand has led to rising PPA pricing and reduced scarcity in acquiring new PPAs. As a geothermal company, Ormat prioritizes markets where its vertical integration offers a competitive advantage, enabling it to develop cost-effective baseload projects.

In addition, recently, a group of venture-backed companies is entering the geothermal industry, primarily focused on enhanced geothermal systems and other next-generation technologies recently started to enter. These companies are leveraging advances in horizontal drilling, subsurface imaging, reservoir stimulation, and closed-loop or hybrid geothermal concepts, often adapted from oil and gas applications. While many of these entrants remain in the pilot or early or advanced commercial stages, they are actively competing for geothermal leases, talent, and public and private funding in the United

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States and other markets. As these technologies mature and are deployed at commercial scale, such companies could become competitors to Ormat in the development of future geothermal projects, particularly in regions without conventional hydrothermal resources.

Product Segment

In our Product segment, we face competition from power plant equipment manufacturers and system integrators as well as engineering or project management companies.

Our competitors among power plant equipment suppliers are divided by technology, steam turbines and binary power plant manufacturers. Our main steam turbine competitors are industrial steam turbine manufacturers such as Mitsubishi Heavy Industries, Fuji Electric Co., Ltd. and Toshiba Corporation of Japan, GE/Nuovo Pignone and Ansaldo Energia of Italy.

Our binary technology competitors are manufacturers using the ORC technology. These include Mitsubishi Heavy Industries through Turboden, TICA, a Chinese air conditioning company that acquired Italian Exergy, Egesim, a Turkish electrical contractor who is collaborating with Atlas Copco mainly in the Turkish market, Baker Hughes, one of the world’s largest oilfield services and energy technology companies, which provides comprehensive subsurface-to-surface solutions. Internationally, other competitors are Kaishan, a Chinese compressor manufacturer that also develops its own projects and Fuji Electric Co., Ltd of Japan.

While we believe that we have a distinct competitive advantage based on our accumulated experience, an increase in competition, which we are currently experiencing, has started to affect our ability to secure new purchase orders from potential customers. The increased competition led to a reduction in the operating margins, which in turn impacted our profitability.

In the case of proposed EPC projects we also compete with other service suppliers, such as project/engineering companies or EPC contractors.

Energy Storage Segment

In the Energy Storage segment, we face significant competition from companies that have already established businesses in the sector, companies that are seeking to acquire established businesses to gain a foothold in the sector, and new market entrants.

The energy storage space is comprised of a multitude of companies with different business strategies, such as project developers, independent power producers, system integrators, EPC contractors, component suppliers (e.g. batteries, inverters, control software, and balance of plant), and scheduling coordinators, among others.

We continue to develop greenfield projects with great emphasis on the quality of the location and other characteristics that will make for highly profitable projects as well as targeting strategic acquisitions of development assets. Additionally, we believe that our participation and expertise in various parts of the value chain, such as engineering, procurement, construction, project development, operation and maintenance, and asset management and market participation, together with our long-term experience in commercial operations gives us a competitive advantage in the market of utility scale energy storage.

Customers

All of our revenues from the sale of electricity in the year ended December 31, 2025 were derived from fully-contracted energy and/or capacity payments under long-term PPAs with governmental, public or private utility entities. The percentage of total revenues above 5% is detailed in the table below:

Utility% of total revenues for the year ended

December 31, 2025

SCPPA (U.S.)
17.8%

NV Energy (U.S.)
13.8%

KPLC (Kenya)
11.9%

Based on publicly available information, as of December 31, 2025, the credit ratings of our rated electric utility customers are as set forth below:

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IssuerStandard & Poor’s Ratings Services
Moody’s Investors Service Inc.

Southern California Edison

BBB- (Negative)
Baa1 (Stable)

HELCO

B+ (Positive watch)

Ba2 (Positive)

Sierra Pacific Power Company
A- (Stable)
Baa2 (Stable)

Nevada Power Company
A- (Stable)
Baa1 (Stable)

SCPPA
AA+ (Stable)Stable

PG&E

BB (Positive)

Baa3 (Positive)

EDF

BBB+ (Stable)
Baa1 (Stable)

The credit ratings of any power purchaser may change from time to time. There is no publicly available information with respect to the credit rating or stability of the power purchasers under the PPAs for our foreign power plants other than EDF (France).

Our revenues from the Product segment are derived from contractors, owners, or operators of power plants, process companies, and pipelines.

Our revenues from the Energy Storage segment are derived from selling energy, capacity services under long term capacity contracts and/or ancillary services in merchant markets like PJM, ISO New England, ERCOT and CAISO or under long-term tolling agreement that secure fixed revenues. In addition, we are pursuing projects that will serve entities, such as investor-owned utilities, publicly owned utilities and community choice aggregators.

Human Capital Resources

Our Team

As of December 31, 2025, we employed 1,648 professionals across our global operations with the following breakdown by country: 531 in Israel, 797 in the U.S., and 320 in other countries along with 70 temporary and contracted team members.

Workforce Health and Safety

The health and safety of our employees, subcontractors, the public, and the environment is our overarching priority. We proactively identify, assess and manage risks in the facilities and offices that we own and operate. Our goal is to report, analyze, learn and improve performance to reduce the number of safety incidents.

Competitive Compensation and Benefits

We are committed to providing competitive and comprehensive benefits. Our offerings include market-aligned compensation, comprehensive healthcare coverage, short- and long-term disability benefits, and paid maternity and paternity leave. We provide retirement and pension plans in all eligible countries, including 401(k) options in the U.S. In addition, we sponsor professional development and learning opportunities to foster career growth. These benefits help us attract and retain top talent—driving innovation and long-term success.

Employee Investment

We are committed to empowering our employees through education, development, and training. Our programs include technical and soft skills training offered in-person and online, as well as leadership development programs.

Collective Bargaining Agreements & Employee Unions

As of December 31, 2025, the only employees currently represented by a labor union are the employees of our Bouillante power plant located in Guadeloupe and our battery and maintenance employees in Philadelphia. The employees in Guadeloupe are represented by the Confédération Générale du Travail de Guadeloupe and those in Philadelphia by the IBEW Local 777.

We do not maintain collective bargaining agreements for our Israeli employees. However, certain provisions of a sector-wide agreement between the Histadrut (General Federation of Labor in Israel) and the Coordination Bureau of Economic Organizations may apply to some non-managerial employees in finance, administration, and sales and marketing roles. These provisions primarily address cost-of-living adjustments, workday length, minimum wages, workplace accident insurance, vacation and sick leave, severance pay, pension contributions, and other employment conditions.

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We currently provide benefits and working conditions that meet or exceed these standards. To date, we have not experienced any labor disputes, strikes, or work stoppages, and we remain committed to fostering a positive and collaborative work environment for all employees.

Insurance

We maintain partial physical damage and business interruption insurance, including the perils of flood, volcanic eruption, earthquake and windstorm, cyber coverage, general and excess liability, pollution legal liability, control of well, drilling rigs, construction risks, as well as customary worker’s compensation and automobile, marine transportation insurance, charterers’ liability and such other commercially available insurance as is generally carried by companies engaged in similar businesses and owning similar properties in the same general areas as us. Such insurance covering our properties extends to Ormat and/or our owned, controlled, direct or indirect affiliated or associated companies, subsidiary companies or corporations in amounts generally based upon the estimated replacement value and maximum foreseeable loss of our facilities (provided that certain perils including earthquake, volcanic eruption and flood coverage are subject to sublimit and/or annual aggregate limits depending on the type and location of the facility) and business interruption insurance coverage in an amount that also varies from location to location but limited to 12 months of operation.

We purchase, when and where available, certain insurance policies to cover a portion or all of our book equity investment to specified political risks involved in operating in developing countries. We hold a global political risk insurance program covering the significant political risks at certain of our locations. This program is issued by the global insurers in the private sector. Such insurance policies generally cover, subject to the limitations and restrictions contained therein, losses derived from a specified governmental act, such as expropriation, political violence, and the inability to convert local currency into hard currency and, in certain cases, the breach of agreements with governmental entities, in approximately 70% of our book net equity investment.

Regulation of the Electric Utility Industry in the U.S.

The following is a summary overview of the electric utility industry and applicable federal and state regulations and should not be considered a full statement of the law or all issues pertaining thereto.

PURPA

PURPA and FERC's regulations thereunder exempt owners of certain Qualifying Facilities, including small power production facilities that use geothermal resources as their primary energy source, from regulation under the PUHCA 2005, from many provisions of the FPA and from state laws relating to the financial, organization and rate regulation of electric utilities.

PURPA provides the owners of power plants certain benefits described below if a power plant is a “Qualifying Facility.” A small power production facility is a Qualifying Facility if: (i) the facility does not exceed 80 MW; (ii) the primary energy source of the facility is biomass, waste, geothermal, or renewable resources, or any combination thereof, and at least 75% of the total energy input of the facility is from these sources, and fossil fuel input is limited to specified uses; and (iii) the facility, if larger than one megawatt, has filed with FERC a notice of self-certification of qualifying status, or has been certified as a Qualifying Facility by FERC. The 80 MW size limitation, however, does not apply to a facility if (i) it produces electric energy solely by the use, as a primary energy input, of solar, wind, waste or geothermal resources; and (ii) an application for certification or a notice of self-certification of qualifying status of the facility was submitted not later than December 31, 1994, and construction of the facility commenced not later than December 31, 1999.

With respect to the FPA, FERC's regulations under PURPA do not exempt from the rate provisions of the FPA sales of energy or capacity from Qualifying Facilities larger than 20 MW in size that are made (a) pursuant to a contract executed after March 17, 2006 or (b) not pursuant to a state regulatory authority’s implementation of PURPA. The practical effect of these regulations is to require owners of Qualifying Facilities that are larger than 20 MW in size to obtain market-based rate authority from FERC if they seek to sell energy or capacity other than pursuant to a contract executed on or before March 17, 2006 or pursuant to a state regulatory authority’s implementation of PURPA. A sale to a public utility under PURPA at state approved avoided cost rates is generally exempt from FERC rate regulation.

In addition, provided that the purchasing electric utility has not been relieved from its mandatory purchase obligation, PURPA and FERC’s regulations obligate electric utilities to purchase energy and capacity from Qualifying Facilities at either the electric utility’s avoided cost or a negotiated rate. FERC's regulations under PURPA allow FERC, upon request of a utility, to terminate a utility’s obligation to purchase energy from Qualifying Facilities upon a finding that Qualifying Facilities have nondiscriminatory access to: (i) independently administered, auction-based day ahead, and real time markets for electric energy and wholesale markets for long-term sales of capacity and electric energy; (ii) transmission and interconnection services provided by a FERC-approved regional transmission entity and administered under an open-access

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transmission tariff that affords nondiscriminatory treatment to all customers, and competitive wholesale markets that provide a meaningful opportunity to sell capacity, including long-term and short-term sales, and electric energy, including long-term, short-term, and real-time sales, to buyers other than the utility to which the Qualifying Facility is interconnected; or (iii) wholesale markets for the sale of capacity and electric energy that are at a minimum of comparable competitive quality as markets described in (i) and (ii) above. FERC regulations protect a Qualifying Facility’s rights under any contract or obligation involving purchases or sales that are entered into before FERC has determined that the contracting utility is entitled to relief from the mandatory purchase obligation. FERC has granted the request of California investor-owned utilities for a waiver of the mandatory purchase obligation for Qualifying Facilities larger than 20 MW in size. In addition, FERC subsequently amended its PURPA regulations to reduce the rebuttable presumption that small power production facilities in organized markets have nondiscriminatory access to markets from 20MW to 5MW. Therefore, the California investor-owned utilities may have a basis to further reduce their mandatory purchase obligation.

With certain limited exceptions, we expect that our power plants in the U.S will continue to meet all criteria required for Qualifying Facility status under PURPA. However, if any of our domestic power plants were to lose its Qualifying Facility status, such power plant could become subject to the full scope of the FPA and applicable state regulation. The application of the FPA and other applicable state regulation to our domestic power plants could require our operations to comply with an increasingly complex regulatory regime that may be costly and greatly reduce our operational flexibility.

PUHCA

Under PUHCA 2005, the books and records of a utility holding company, its affiliates, associate companies, and subsidiaries are subject to FERC and state commission review with respect to transactions that are subject to the jurisdiction of either FERC or the state commission or costs incurred by a jurisdictional utility in the same holding company system. However, if a company is a utility holding company solely with respect to Qualifying Facilities, exempt wholesale generators, or foreign utility companies, it will not be subject to review of books and records by FERC under PUHCA 2005. Qualifying Facilities or exempt wholesale generators that make only wholesale sales of electricity are not subject to state commissions’ rate regulations and, therefore, in all likelihood would not be subject to any review of their books and records by state commissions pursuant to PUHCA 2005 as long as the Qualifying Facility is not part of a holding company system that includes a utility subject to regulation in that state. Additionally, most or all of our power plants and storage projects qualify as exempt wholesale generators, exempting them from PUHCA requirements as well.

FPA

Pursuant to the FPA, FERC has exclusive jurisdiction over the rates for most wholesale sales of electricity and transmission of electricity in interstate commerce. These rates may be based on a cost-of-service approach or may be determined on a market basis through competitive bidding or negotiation. FERC can accept, reject or suspend rates. The rates can be suspended for up to five months, at which point the rates become effective subject to refund. FERC can order refunds for rates that are found to be “unjust and unreasonable” or “unduly discriminatory or preferential.”

Moreover, the loss of the Qualifying Facility status of any of our power plants might also permit the off-taker, pursuant to the terms of its PPA, to cease taking and paying for electricity from the relevant power plant and to seek refunds for past amounts paid and/or a reduction in future payments.

Additionally, FERC possesses civil penalty authority, up to approximately $1.6 million per violation of the FPA per day. FERC can also require the disgorgement of unjust profits earned in connection with such violations of the FPA and revoke the right of the power plants to make sales at market-based rates.

Under the Energy Policy Act of 2005, the FPA was supplemented to empower FERC to ensure the reliability of the bulk electric system. Such authority required that FERC assume both oversight and enforcement roles. Pursuant to its new directive, FERC certified the North American Electric Reliability Corporation as the nation’s Electric Reliability Organization (ERO) to develop and enforce mandatory reliability standards to address medium and long-term reliability concerns. Today, enforcement of the mandatory reliability standards, including the protection of critical energy infrastructure, is a substantial function of the ERO and of FERC, which may impose penalties of up to approximately $1.6 million a day for violating mandatory reliability standards. We examine our projects’ compliance with NERC standards on an ongoing basis and begin work on the process of NERC registration as new projects approach the threshold at which NERC standards become applicable.

Thus, if any of the power plants were to lose Qualifying Facility status, the application of the FPA and other applicable state regulations to such power plants could require compliance with an increasingly complex regulatory regime that may be costly and greatly reduce our operational flexibility. Even if a power plant does not lose Qualifying Facility status, the owner of a Qualifying Facility/power plant in excess of 20 MW will become subject to rate regulation under the FPA for

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sales of energy or capacity pursuant to a contract executed after March 17, 2006 or not pursuant to a state regulatory authority’s implementation of PURPA. A decrease in existing rates or being ordered by FERC to pay refunds for rates found to be “unjust and unreasonable” or “unduly discriminatory or preferential” would likely result in a decrease in our future revenues.

State Regulation

Our power plants in California, Nevada, Oregon, and Idaho, by virtue of being Qualifying Facilities that make only wholesale sales of electricity, are not subject to rate, financial and organizational regulations applicable to electric utilities in those states. The power plants each sell or will sell their electrical output under PPAs to electric utilities (Sierra Pacific Power Company, Nevada Power Company, Peninsula Clean Energy, SCPPA and Idaho Power Company). All of the utilities except SCPPA are regulated by their respective state public utilities commissions. Sierra Pacific Power Company and Nevada Power Company, which merged and are doing business as NV Energy, are regulated by the PUCN. Peninsula Clean Energy is regulated by the CPUC.

Under Hawaiian law, non-fossil generators are not subject to regulation as public utilities. Hawaiian law provides that a geothermal power producer is to negotiate the rate for its output with the public utility purchaser. If such rate cannot be determined by mutual accord, the PUCH will set a just and reasonable rate. If a non-fossil generator in Hawaii is a Qualifying Facility, federal law applies to such Qualifying Facility and the utility is required to purchase the energy and capacity at its avoided cost. The rates for our power plant in Hawaii are established under a long-term PPA with HELCO.

Environmental Permits

U.S. environmental permitting regimes with respect to geothermal projects center upon several general areas of focus. The first involves land use approvals. These may take the form of Special Use Permits or Conditional Use Permits from local planning authorities or a series of operation and utilization plan approvals and right of way approvals where the geothermal facility is entirely or partly on BLM or United States Forest Service lands. Certain federal approvals require a review of environmental impacts in conformance with the federal National Environmental Policy Act. In California, some local permit approvals require a similar review of environmental impacts under a state statute known as the California Environmental Quality Act. These federal and local land use approvals typically impose conditions and restrictions on the construction, scope and operation of geothermal projects.

The second category of permitting focuses on the installation and use of the geothermal wells themselves. Geothermal projects typically have four types of wells: (i) resource confirmation wells designed to define and verify the geothermal resource, (ii) production wells to extract the hot geothermal liquids (also known as brine) for the power plant, (iii) injection wells to inject the brine back into the subsurface resource, and (iv) monitoring wells to monitor the geothermal resource. For example, on BLM lands in Nevada, California, Oregon, Utah, and Idaho, the well permits take the form of geothermal drilling permits for well installation. Approvals are also required to modify wells, including for use as production or injection wells. For all wells drilled in Nevada, a geothermal drilling permit must also be obtained from the Nevada Division of Minerals. Those wells in Nevada to be used for injection will also require Underground Injection Control (UIC) permits from the Nevada Division of Environmental Protection, Bureau of Water Pollution Control. All geothermal wells drilled in Oregon (except on tribal lands) require a geothermal well drilling permit from the Oregon Department of Geology and Mineral Industries. All geothermal wells drilled in Idaho require a well construction permit from the Idaho Department of Water Resources (IDWR) and injection wells also require UIC permitting through IDWR. Geothermal wells in Utah require permits from the Utah Division of Water Rights, and injection wells require a permit from the Utah Department of Environmental Quality. Geothermal wells on private lands in California require drilling permits from the California Department of Conservation’s Geologic Energy Management Division (CalGEM). The eventual designation of these installed wells as individual production or injection wells and the ultimate closure of any wells is also reviewed and approved by CalGEM.

The third category of permits involves the regulation of potential air emissions associated with the construction and operation of wells and power plants and surface water discharges associated with construction and operations activities. Generally, each well and plant requires a preconstruction air permit and storm water discharge permit before earthwork can commence. In addition, in some jurisdictions the wells that are to be used for production require, and those used for injection may require air emissions permits to operate. Internal combustion engines and other air pollutant emissions sources at the projects may also require air emissions permits, including managing fugitive dust emissions during construction. For our projects, these permits are typically issued at the state or county level. Permits are also required to manage storm water during project construction and to manage drilling mud from well construction, as well as to manage certain discharges to surface impoundment, if any.

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The fourth category of permits, required in Nevada, California, Oregon, Utah, and Idaho, includes ministerial permits such as building permits, hazardous materials storage and management permits, and pressure vessel operating permits. We are also required to obtain water rights permits in Nevada if water cooling is being used at the power plant. In addition to permits, there are various regulatory plans and programs that are required, including risk management plans (federal and state programs) and hazardous materials management plans (in California).

In some cases, our projects may also require permits, issued by the applicable federal agencies or authorized state agencies, regarding threatened or endangered species, permits to impact wetlands or other waters and notices of construction of structures which may have an impact on airspace. Environmental laws and regulations may change in the future that may modify the time it takes to receive such permits and the associated costs of compliance.

Our Battery Energy Storage System (BESS) projects are subject to similar permitting and regulatory compliance requirements. All of our current BESS projects are located on privately owned land and may require ministerial permits from local agencies as described above or undergo a state environmental permitting process (e.g., under the California Environmental Quality Act) with the city or county as the lead permitting agency. Storage projects are also required to comply with all applicable federal, state, and local laws and regulations, and similar to geothermal projects, may require various regulatory plans and programs including emergency action plans and fire response plans.

As of the date of this report, all of the material environmental permits and approvals currently required for our operating power plants and BESS projects have been obtained. We sometimes experience regulatory delays in obtaining various environmental permits and approvals required for projects in development and construction. These delays may lead to increases in the time and cost to complete these projects. Our operations are designed and conducted to comply with applicable environmental permit and approval requirements. Non-compliance with any such requirements could result in fines and penalties and could also affect our ability to operate the affected project.

Environmental Laws and Regulations

Our facilities and operations are subject to a number of federal, state, local and foreign environmental laws and regulations relating to development, construction and operation. In the U.S, these may include the Clean Air Act, the Clean Water Act, the Emergency Planning and Community Right-to-Know Act, the Endangered Species Act, the National Environmental Policy Act, the Resource Conservation and Recovery Act, and related state laws and regulations.

Our geothermal operations involve significant quantities of brine (substantially, all of which we reinject into the subsurface) and scale, both of which can contain materials (such as arsenic, antimony, lead, and naturally occurring radioactive materials) in concentrations that exceed regulatory limits used to define hazardous waste. We also use various substances, including isopentane and industrial lubricants that could become potential contaminants and are generally flammable. As a result, our projects are subject to domestic and foreign federal, state and local statutory and regulatory requirements regarding the generation, handling, transportation, use, storage, treatment, fugitive emissions, and disposal of hazardous substances. The cost of investigation and removal or remediation activities associated with a spill or release of such materials could be significant. Hazardous materials are also used in our equipment manufacturing operations in Israel.

Although we are not aware of any mismanagement of these materials, including any mismanagement prior to the acquisition of some of our power plants that has materially impaired any of the power plant sites, any disposal or release of these materials onto the power plant sites, other than by means of permitted injection wells, or could lead to contamination of the environment and result in material cleanup requirements or other responsive obligations under applicable environmental laws.

Regulation Related to the Energy Storage Segment

Our participation in the energy storage space and in energy management requires us to obtain and maintain certain additional authorizations and approvals. These include (1) authorization from FERC to make wholesale sales of energy, capacity, and ancillary services at market-based rates, and (2) membership status with eligibility to serve designated contractual functions in the ISO/RTOs of PJM, NYISO, CAISO, ISO-NE, and ERCOT. Among other requirements, our market-based rate sellers are subject to certain market behavior and anti-market manipulation rules and, if any of our subsidiaries were deemed to have violated any one of those rules, such subsidiary could be subject to potential disgorgement of profits associated with the violation and/or suspension or revocation of market-based rate authority, as well as criminal and civil penalties. If the market-based rate authority for one (or more) of our subsidiaries was revoked or it was not able to obtain market-based rate authority when necessary, and it was required to sell energy on a cost-of-service basis, it could become subject to the full accounting, record keeping and reporting requirements of FERC. In the future, we may need to obtain and maintain similar membership and eligibility status with other ISO/RTOs in order to offer such services in their respective areas.

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Regulation of the Electric Utility Industry in our Foreign Countries of Operation

The following is a summary overview of certain aspects of the electric industry in the foreign countries in which we have an operating geothermal power plant. As such, it should not be considered a full statement of the laws in such countries or all of the issues pertaining thereto.

Guatemala

The General Electricity Law of 1996, Decree 93-96, created a wholesale electricity market in Guatemala and established a new regulatory framework for the electricity sector. The law created a new regulatory commission, the CNEE, and a new Independent System Operator and wholesale power market administrator, the AMM, for the operation and administration of the sector. The AMM is a private not-for-profit entity. The CNEE functions as an independent agency under the Ministry of Energy and Mines and is in charge of regulating, supervising, and controlling compliance with the electricity law, overseeing the market and setting rates for transmission services, and distribution to medium and small customers. All distribution companies must supply electricity to such customers, and need power purchase agreements with independent power producers to cover that demand pursuant to long-term contracts with electricity generators. Large customers can contract directly with the distribution companies, electricity generators or power marketers, or buy energy in the spot market. Guatemala has approved a Law of Incentives for the Development of Renewable Energy Power plants, Decree 52-2003, in order to promote the development of renewable energy power plants in Guatemala. This law provides certain benefits to companies utilizing renewable energy, including a 10-year exemption from corporate income tax and VAT on imports and customs duties for new generation equipment. In August 2024 CNEE issued a resolution that approved the Technical Norms for the Connection, Operation, Control and Commercialization of the Renewable Distributed Generation and Self-producers Users with Exceeding Amounts of Energy. This Technical Norm was created to regulate all aspects of generation, connection, operation, control and commercialization of electric energy produced with renewable sources to promote and facilitate the installation of new generation plants, and to promote the connection of existing generation plants which have excess amounts of electric energy for commercialization, provided the capacity does not exceed 5MW. At present, the General Electricity Law and the Law of Incentives for the Development or Renewable Energy Power Plants are still in force.

Kenya

The electric power sector in Kenya is regulated by the Kenyan Energy Act. Among other things, the Kenyan Energy Act provides for the licensing of electricity power producers and public electricity suppliers or distributors. KPLC is the major licensed public electricity supplier and has a virtual monopoly in the distribution of electricity in the country with the exception of a few off-grid, which have been licensed by the EPRA. The Kenyan Energy Act permits IPPs to install power generators and sell electricity to KPLC, which is owned by various private and government entities, and which currently purchases energy and capacity from other IPPs in addition to our Olkaria III complex. The electricity sector is regulated by the EPRA under the Kenyan Energy Act. KPLC’s retail electricity rates are subject to approval by the EPRA. The EPRA has an expanded mandate to regulate not just the electric power sector but the entire energy sector in Kenya. Transmission of electricity is undertaken by KETRACO while another company, GDC, is responsible for geothermal assessment, drilling of wells and sale of steam for electricity operations to IPPs and KenGen. Both KETRACO and GDC are wholly owned by the government of Kenya. Renewable energy dominated by geothermal, wind and, presently at a lower level, solar is one of the key energy sub-sectors in Kenya contributing significantly to the overall energy mix as a result of the implementation of the feed-in tariff policy by the Ministry of Energy. The implementation of the Renewable Energy Auctions Policy by the Ministry of Energy, which was expected to replace the feed-in-tariff policy with respect to solar, wind and other renewable energy projects exceeding 20MW, has yet to be implemented. Under the national constitution enacted in August 2010, formulation of energy policy (including electricity) and energy regulation are functions of the national government. However, the constitution lists the planning and development of electricity and energy regulation as a function of the county governments (i.e. the regional or local level where an individual power plant is or is intended to be located).

Indonesia

The Electricity Law No. 32 of 2009 (in conjunction with Government Regulation In Lieu of Law No. 2 of 2022 on Job Creation*/Omnibus Law) is the principal regulation for the electricity industry in Indonesia which divides the industry into two broad categories: (1) electrical power provision, covering electric power generation, transmission, distribution and sales, and (2) electrical power support such as services (consulting, construction, installation, operation & maintenance, certification & training, testing etc.) and industry (manufacture of tools, power plant equipment, cables, electrical equipment, etc.). The Electrical power provision business is dominated by PLN (a state-owned enterprise), which is the sole owner of transmission and distribution assets and 91.6% of the power generation assets as per 2023. Private sector participation in power generation is allowed through an IPP scheme, mostly done through tenders or direct appointment for

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some power sources such as geothermal. Geothermal power is regulated by The Geothermal Law issued in 2014 (Law No 21 of 2014, as also amended by the Indonesian Omnibus Law in 2022), that endorses private participation as geothermal IPP. The Central government conducts tenders for geothermal fields, awarding a Geothermal Business License for the winner. Geothermal Business License holders can conduct exploration and feasibility studies within five years and subject to two extensions of one-year each, conduct well development and power plant construction and sell the electricity generated to PLN for a maximum of 30 years. Prior to the expiration of the Geothermal License, the IPP can propose to extend the license for an additional 20 years. In 2022, Presidential Regulation No. 112 was enacted with the aim of accelerating renewable energy. This regulation replaces the basis of the renewable energy tariff from the average electricity generation basic cost to a ceiling price. In this scheme, the tariff is negotiated between the IPP and PLN and must not be higher than the ceiling tariff set for a particular type of renewable energy power plant, which then is multiplied by a factor based on location.

Guadeloupe

EDF is the transmission and distribution utility in Guadeloupe and also operates a significant portion of Guadeloupe’s fossil fuel energy generation. There are also a number of IPPs in Guadeloupe, primarily producing renewable electricity. The electricity sector in Guadeloupe is regulated by the Commission Regulation of Energy (CRE), which also regulates the French electricity and gas markets in mainland France and its other overseas territories. The electricity sector in Guadeloupe is characterized by both enabling features and obstacles with respect to renewable energy. One of the most influential enabling features is a French law requiring the utility to purchase power from any interconnected renewable generator. The major obstacle preventing further uptake of renewable electricity generation is the cap on variable generation at 30% of instantaneous system load.

Honduras

In 2014, Honduras approved its new Law of Electrical Industry, which provides the legal framework for the electricity sector and replaces the previous Electricity Subsector Framework Law. The Law establishes technology-specific auctions for renewable energy. It creates the Regulatory Commission of Electric Power (CREE) as the entity in charge of supervising the bidding processes and the awarding of PPAs. CREE is also responsible for granting study permits for the construction of generation projects that use renewable natural resources. Permits will have a maximum duration of two years, and will be revoked if no studies have been initiated within a period of six months and the reports required by the CREE have not been submitted. The new law also establishes that all new capacity must be contracted through auctions and that the government can set a minimum quota for renewables in each auction. With respect to metering, after previous regulation applied legal incentives to renewable energy metering, the new law mandates utilities to buy excess power and credit it towards monthly bills and to install bi-directional meters.

Among others, the objectives of the law are to adapt the electricity sector’s legislation to the Framework Treaty for the Central American Electricity Market, which Honduras is a party to, and update the operating rules in the country’s electricity industry by incorporating structures and modern practices to increase the sector’s efficiency and competency in the production and marketing of electricity services.

With the passage of this new law, Honduras has moved into a new and open market. Under this legislation, all aspects of the market have been opened to private parties. This legislation is still being implemented within the market.

Honduras also approved a Law of Incentives for Renewable Energy Projects, Decree 70-2007, further amended by Decree 138-2013, with additional incentives such as to solar PV projects. The purpose, as in other countries of the region, is to promote the development of renewable energy power plants. Laws provide certain benefits to companies that generate power through renewable sources, including a 10-year exemption from corporate income tax and VAT on imports and customs duties, a fast-track process for certain permits and a Sovereign Guaranty by the Central Government for the payments of the off-taker, the Public Utility Company, ENEE. At present, the Law of the Electrical Industry and the Laws of Incentives for Renewable Energy Projects are still in force.

Operations of our Product Segment

Power Units for Geothermal Power Plants

We design, manufacture, and sell power units for geothermal electricity generation, which we refer to as OECs. Our customers include contractors and geothermal plant owners and operators.

The power units are usually paid for in installments, in accordance with milestones set forth in the supply agreement. We also provide the purchaser with spare parts (either upon their request or our recommendation). We provide the purchaser with at least a 12-month warranty for such products. We provide the purchaser with performance guarantees

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(usually in the form of standby letters of credit), which partially terminate upon delivery of the equipment to the site and terminates in full at the end of the warranty period.

Power Units for Recovered Energy-Based Power Generation

We design, manufacture, and sell power units used to generate electricity from recovered energy or so-called “waste heat”. Our existing and target customers include interstate natural gas pipeline owners and operators, gas processing plant owners and operators, cement plant owners and operators, biomass facilities owners and operators and all other companies engaged in energy-intensive industrial processes such as glass, steel and other. We manufacture and sell the power units for recovered energy-based power generation to third parties for use in “inside-the-fence” installations or otherwise.

EPC of Power Plants

We engineer, procure and construct, as an EPC contractor, geothermal and recovered energy power plants on a turnkey basis, using power units we design and manufacture. Our customers are geothermal power plant owners as well as our target customers for the sale of our recovered-energy based power units described above. Unlike many other companies that provide EPC services, we believe that our advantage is in using our own manufactured equipment and thus have better quality and control over the quality, timing and delivery of equipment and related costs. The consideration for such services is usually paid in installments, in accordance with milestones set forth in the EPC contract and related documents. We provide performance guarantees securing our obligations under the contract.

In connection with the sale of our power units for geothermal power plants, power units for recovered energy-based power generation, we enter into agreements, from time to time, with sales representatives for the marketing and sale of such products pursuant to which we are obligated to pay commissions to such representatives upon the sale of our products in the relevant territory.

Our manufacturing operations and products are certified ISO 9001, ISO 14001, American Society of Mechanical Engineers (ASME), Pressure Equipment Directive, and TÜV, and we are an approved supplier to many electric utilities around the world.

Production pumps

Ormat delivers a full-service approach to Production Pump sales, offering not just the pump itself but the entire supporting ecosystem, including auxiliary systems, control systems, and electrical equipment. By leveraging its own inventory of pump components, Ormat provides competitive lead times and rapid delivery. Drawing on the extensive operational knowledge gained from managing over 140 pumps across its global fleet, Ormat provides expert support throughout the process, from pump definition and selection to installation supervision. Each pump is backed by a minimum 12-month warranty, reinforcing Ormat’s commitment to reliability and customer confidence. This comprehensive offering positions Ormat as a trusted partner for geothermal operators and strengthens its leadership in the renewable energy sector.

Backlog

We have a product backlog of approximately $352.0 million as of February 25, 2026, which includes revenues for the period between January 1, 2026 and February 25, 2026, compared to $340.0 million as of February 22, 2025, which included revenues for the period between January 1, 2025 and February 26, 2025. The backlog as of February 25, 2026 includes an amount of approximately $100 million related to Topp 2, which we agreed to sell in January 2026 to a third party.

The following is a breakdown of the Product segment backlog amount (in millions)by country as of February 25, 2026:

Country
Backlog Amount
Percentage of Backlog

New Zealand$238.067.7%

Asia
90.525.7%

Dominica
6.61.9%

Portugal
5.21.5%

Guatemala
8.02.3%

U.S.
2.80.8%

Others0.60.2%

Total$351.7100%

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The following is a breakdown of the Product segment backlog by technology as of February 25, 2026:

% of Total BacklogLatest Expected Completion

Geothermal
99.3%2026

Recovered Energy
0.1%2026

Others0.6%2026

Operations of our Energy Storage Segment

Storage Projects

In addition to our Geothermal activity, we own, operate and develop energy storage projects in the U.S. at a total capacity of 415MW/1,540MWh.

Under construction and development

We have 7 projects in various stages of construction and development with a total capacity of 410.0MW, as listed in the table below.

Project NameCustomerLocationSize (MW)MWhType of contractExpected COD

Bird DogEquilibrium EnergyTX60120
Merchant

Q2 2026

ShirkCAISOCA80320
Merchant and RA contract
Q1 2026

Griffith
CAISO

CA
100400
TBD
2027

Rosh Pina & Bet Alpha
Israeli Electricity Authority Israel150600Full tolling2028

Brur Hayil
Israeli Electricity Authority Israel20100
Merchant
2028

Total410.01,540.0

Energy Storage Pipeline

For an energy storage prospect to move into the EPC phase, it requires site control, an executed interconnection agreement, permits from all authorities and a viable financial model. We have a substantial pipeline of approximately 2.7GW/10.0GWh of projects in different stages of development for future growth in the U.S. and Israel that we expect will help support our target to reach an energy storage portfolio of between 950-1050MW/2,500-2,900MWh by the end of 2028.

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