In Japan, the two national projects concerning direct utilization of geothermal resources have started in fiscal 1980 under the financial support of the Agency of Natural Resources and Energy and the Ministry of International Trade and Industry. Investigations of the geothermal water supply associated with each project are aimed at verification of: (1) heat extraction, through heat exchangers, from a relatively large quantity of geothermal water discharged from the existing production wells of the geothermal power plants; (2) transportation of fresh-heated water to distant places where it will be used for various space heating and agribusiness applications; and (3) injection of geothermal water, after heat extraction into the aquifer. Since almost all the production wells in Japan are the water-dominated type, a large quantity of geothermal water, suitable for direct applications, is expected to be available for use as an alternative energy source. Two power stations, Kakkonda geothermal power plant (50 MW) and Onuma geothermal power plant (10 MW) (near the Hachimantai volcano) were selected to supply geothermal water to Shizukuishi, Iwate, and Kazuno, Akita, respectively