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Exhibit 4.85

EMPLOYMENT AGREEMENT FAIRBANK

THIS EMPLOYMENT AGREEMENT
(Agreement) is made and entered into effective as of October 1, 2007 the
(Effective Date), by and between Nevada Geothermal Power Company, a Nevada
Corporation (the Company) and BRIAN FAIRBANK (Employee),with
reference to the following:

B A C K G R O U N D

| | A. | The Company is in the geothermal energy business (the
      Business).                                                                                                                                                                                                               
| | -- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |    |                                                                                                                                                                                                                                                                                        
| | B. | Employee has extensive geothermal energy
    experience.                                                                                                                                                                                                                               
| |    |                                                                                                                                                                                                                                                                                        
| | C. | The Company now desires to retain the full-time services
      of Employee as President and Chief Executive Officer (CEO) for the
      Company and Employee is willing to be employed by the Company in that
      capacity on the terms and conditions set forth in this
Agreement.
| |    |                                                                                                                                                                                                                                                                                        
| | D. | The position will be based in Vancouver,
  Canada.                                                                                                                                                                                                                                     

Now THEREFORE, in consideration
of the promises herein made and on the terms and subject to the conditions
herein contained, the Company and Employees,hereby agree as
follows:

1. EMPLOYMENT. The Company hereby
employs Employee on the terms set forth herein and Employee hereby accepts such
employment beginning on the Effective Date and ending on October 1, 2007 (the
Term), unless sooner terminated pursuant to Section 5 below.

Commencing on the first
anniversary of the Effective Date (October 1, 2008), and on each anniversary of
the Effective Date thereafter, the Term of this Agreement shall be automatically
extended for an additional year unless, not later than 90 days prior to each
such date, the Company or the Employee -give written notice not to extend the
Term or the Term as extended hereunder. in the event, not later than 90 days
prior to October 1, 2008, the Company gives written notice to the Employee of
its intention not to extend the Term, the Employee will be entitled to the
compensation described in Section 5.6. The obligations of the Company and the
Employee under this Agreement which by their nature may require either-partial
or total performance after the expiration of the Term or the Term as extended
hereunder shall survive such expiration.
For greater clarity: provided neither party has issued the notice not
to extend the Term   on each anniversary of the Effective Date, the Term as
extended becomes two (2) years.

2. DUTIES.During the period of his employment with the
Company hereunder, Employee will be employed a President and CEO of the company
and Employee will:

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|EMPLOYMENT
      AGREEMENT - FAIRBANK | Page
      2
|------------------------------------- | ------------

(a) devote his full business time
and attention, and give his best effort and skill solely to the Company's
business affairs and interests;

(b) perform such services and
assume such duties and responsibilities appropriate to the positions of
President and CEO and those which may from time to time be reasonably assigned
to him by the Board of Directors of the Company, to whom Employee will directly
report; and

(c) In all respects use his best
efforts to further, enhance and develop the Company's business affairs,
interests and welfare.

(d) complete all duties and
responsibilities listed in Schedule A attached.

3. COMPENSATION. In
consideration of Employee's services to the Company during the term of this
Agreement, Employee will receive the following compensation:

(a) The Company shall pay
Employee a base salary of Cdn $250,000 per annum. Employee's base salary will be
paid in equal installments (pro rated for portions of a pay period) on the
Company's regular pay days and the Company will deduct from such compensation
all deductions required by applicable laws. On each anniversary of the Effective
Date, Employee's base safely shall be adjusted by the Board of Directors upon
assessment of the Employee's performance in accordance with the policies and
procedures from time to time set by the Compensation Committee of the Board of
Directors of the Company.

(b) Employee will participate in
the Company's incentive stock option plan. All options granted to the Employee
prior to October 1, 2007 will remain in effect in accordance with the agreements
pursuant to which they were granted, 4. BENEFITS AND
REIMBURSEMENTS.

4.1 Employee will, during the
term hereof, have the right to receive such benefits as are generally made
available to a full-time manager if the Company. In addition, or inclusive, of
such benefits, the Company will provide Employee with the following:

(a) The Company's standard medical and
dental plan insurance covering Employee at id his immediate family; and

(b) In addition to normal
statutory holidays recognized by the Company, Employee will be entitled to 6
weeks paid vacation per year, subject to providing notice to the Board of
Directors as to the timing of such vacation time. Such vacation time
shall be vested upon the Effective Date Employee may accrue or
carry forward up to 2 weeksof unused vacation per year, but in no event
shall the total of Employee's annual vacation entitlement of 5 weeks and the
unused vacation weeks carded forward exceed 8 weeks. If Employee has 2 weeks of
unused vacation accruing, further accruals will be suspended until such time as
one or two of the accrued weeks are used.

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|EMPLOYMENT AGREEMENT - FAIRBANK | Page 3
|------------------------------- | ------

4.2 (a) The Company will
reimburse Employee for travel and other out-of-pocket expenses reasonably
incurred by Employee in the performance of his duties hereunder, including
without limitation, telephone and cellular phone expenses, and costs incurred to
entertain clients, employees or business associates, provided that all such
expenses will be reimbursed only (I) upon the presentation by Employee to the
Company of such documentation as may be reasonably necessary to substantiate
that all such expenses were incurred in the performance of his duties, and (ii)
if such expenses are consistent with all policies of the Company in effect from
time to time as to the kind and amount o' such expenses:

5. TERMINATION OF EMPLOYMENT.

5 1 Employee shall provide 180 days' written notice if
intending to terminate this Agreement.

5.2 Death of Employee,

This Agreement will terminate upon the death of Employee.

5.3 Permanent Disability of Employee.

The Agreement will terminate if
  Employee becomes permanently disabled. Employee will be deemed permanently
  disabled for the purpose of this Agreement if Employee becomes physically or
  mentally incapable of performing his duties hereunder for ninety (90)
  consecutive days.

5.4 Employees Discharge for Cause.

The Board of Directors will have
the right to terminate Employee's employment hereunder for Cause at any time.
For such purposes, Cause means the occurrence of one or more of the
following: (i) the commission by Employee of any fraudulent act, embezzlement,
theft, bad faith, gross negligence, recklessness or willful misconduct; drug
and/or substance abuse (ii) incompetence or repeated failure or refusal to
properly perform the duties required by this Agreement as may be reasonably
assigned to Employee by the Board of Directors from time to time; (iii)
conviction of a felony; (iv) any material misrepresentation by Employee to the
Board of Directors regarding the operation of the business; or (v) breach of any
covenant of this Agreement..

5.5 The Company's Sight to Terminate without Cause.

Subject to the payment to
Employee of the severance payments as provided in Section 5.6(b) below, and
subject to maintaining the period in which Employee may exercise his stock
option as provided in Section 5.6(c) below, the Company will have the right,
exercisable at any time to terminate Employee's employment with the Company
without Cause (as defined in Section 5.4 above), immediately upon written
notice to Employee.

5.6 Compensation Upon Termination

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|EMPLOYMENT AGREEMENT - FAMBANK | Page 4
|------------------------------ | ------

(a) Upon termination of Employee's
employment pursuant to this Section 5.5 (without cause), Employee will be
entitled to:

(i) the compensation provided for in
Section 3(a) hereof for the period of time ending with the date of
termination;

(ii) health benefits to be extended
for a period of six (6) months;

(iii) reimbursement for such expenses
as Employee may have properly incurred on. behalf of the Company as provided in
Section 42(a) above prior to the date of termination; and

For greater certainty, these payments
and compliance with the obligations in Section 5.6 (b) will fully discharge all
responsibilities of the Company to Employee under this Agreement or relating to
or arising out of the termination of Employee'.5 employment

(b) If the Board of Directors
terminates Employees employment pursuant to Section .5 (without cause), in
addition to the amounts payable in Section 5.6 (a) above, Employee shall be
entitled to severance payments determined as follows:

i) At the employee's discretion,
either a lump sum equal to two times the Employee's then current annual salary
(not less than Cdn. 44250,000); or

ii) Twenty-four (24) monthly payments,
each equal' to the Employee's then current monthly salary, with the first
payment due on the regular payroll day following advice from the Employee of the
monthly payment option;

iii) Severance payments shall be
subject to normal payroll deductions and other withholdings as required by law.
The payments set forth in this Section 5.6 will fully discharge all
responsibilities of the Company to Employee under this Agreement or relating to
or arising out of the termination of Employee's employment and shall be
conditional upon Employee's execution of a Release in favour of the Company.

(c) If the Board of Director terminates
this Agreement pursuant to Section 5.5 (without cause), all granted stock
options shall remain in effect for the greater of twelve (12) months or, the
time allowable under the applicable Stock Exchange policies or regulations
governing the issue of such options by the Company and as described in the
option plan pursuant to which the options were issued.

(d) In the event of termination
pursuant to Sections 5.2 (death) or 5.3 (permanent disability), all granted
stock options shall remain in effect for the greater of twelve (12) months or,
the time allowable under the applicable Stock Exchange policies or regulations
governing the issue of such options by the Company and as described in the
option plan pursuant to which the options were issued.

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|EMPLOYMENT AGREEMENT -- FAIRBANK | Page 5
|-------------------------------- | ------

(e) In the event of termination
pursuant to Section 5.4 (for cause), all granted stock options shall- remain in
effect for such time as the Company, in it sole discretion, shall deem
appropriate, such time being between zero (0) and ninety (90) days or as
described in the option plan pursuant to which the options were issued,
whichever is greater.

(f) In the event of a Change of
Control of the Company (as defined below) if Employee's employment is terminated
by the Company pursuant to Section 5.5 (without cause) within twelve (12) months
of the Change of Control, Employee will receive in addition to the compensation
described in Section 5.6, an amount equal to twenty-four (24) months salary,
based on the then current annual salary (not less than Cdn. $250,000) Less all
deductions required by applicable laws,
paid out in a lump sum or
twenty-four, (24) monthly payments each equal to the Employee's then
current monthly salary, at the Employee's discretion.

(g) In the event of a Change of
Control (as defined below) if Employee's employment is terminated by virtue of
his election to resign within twelve (12) months of the change of Control,
Employee will receive an amount equal to twenty-four (24) months salary, based
on the then current annual salary (not less than CDN$250,000) less !ill
deductions required by applicable laws, paid out in a lump sump or twenty-four
(24) monthly payments, each equal to the Employee's then current monthly salary,
at the Employee's discretion.

(h) For the purposes of this
Section 5.6, a Change of Control shall be deemed to have occurred when:

(i) a majority of the directors are not
individuals nominated by the Company's then incumbent Board of Directors; or

(ii) any person or group of persons
acquires the ability, directly or indirectly, to direct the management and
policies of the Company through:

| |  | (A) | the legal or beneficial ownership of voting
      securities;            
| |  | --- | -------------------------------------------------------------------------
| |  |     |                                                                          
| |  | (B) | . the right to appoint managers, directors or corporate
      management;
| |  |     |                                                                          
| |  | (C) | contract;                                                                
| |  |     |                                                                          
| |  | (D) | operating agreement;                                                     
| |  |     |                                                                          
| |  | (E) | voting trust or otherwise.                                               

6. UNFAIR COMPLETION BY EMPLOYEE.

6.1 Employee agrees that ail
trade secrets, confidential or proprietary information with respect: to the
activities and businesses -of the Company, including, without limitation,
personnel information, secret processes, know-how, customer lists, data bases,
idea, techniques, processes, inventions (whether patentable, or not), and

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|EMPLOYMENT AGREEMENT - FAIRBANK | Page 6
|------------------------------- | ------

other technical plans, business plans, marketing plans, product
plans, forecasts, contacts, strategies and information (collectively
Proprietary Information) which were leaned by Employee in the course of his
employment by the Company, and any other Proprietary Information received,
developed or learned by employee hereafter in the course of his future
employment by or in association with the Company, are confidential and Mill be
kept and held in confidence and trust as a fiduciary by Employee. Employee will
not use or disclose Proprietary information of the Company except as necessary
in the normal course of the business of the Company for its sole and exclusive
benefit, unless Employee is compelled so to disclose under process of law, in
which case Employee will first notify the Company promptly after receipt of a
demand to so disclose, and will afford the Company the opportunity to contest,
prevent or limit such disclosure.

6.2 Employee and the Company
acknowledge that:

| | (i) each covenant and restriction contained in
      Section 61 and Article 7 of this Agreement is necessary, fundamental, and
      required for the protection of the Company's business;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
| |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| | (ii) such relate to matters which are, of a
      special, unique, cold extraordinary character that gives each of them a
      special, unique, and extraordinary value; and                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
| |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
| | (iii) a breach of any such covenant or
      restriction will result in irreparable harm and damage to the Company
      which cannot be compensated adequately by a monetary award. Accordingly,
      it is expressly agreed that, in addition to all other remedies available
      at law or in equity, and notwithstanding anything to the contrary in
      Section 9 below, the Company will be entitled to the immediate remedy of a
      temporary restraining order, preliminary injunction, or such other form of
      injunctive or equitable relief as may be used by any court of
      competent jurisdiction to restrain or enjoin any of the parties to
      this Agreement from breaching any such covenant or restriction, or
      otherwise specifically to enforce the provisions contained in Section al
      and Article 7 of this Agreement,

7. PROPRIETARY MATTERS.Employee expressly understands and agrees that any and all improvements,
inventions, discoveries, processes, or know-how related to the business of the
Company that are generated or conceived by Employee during the term of this
Agreement, whether so generated or conceived during Employee's regular working
hours or otherwise, will be the sole and exclusive property of the Company, and
Employee will, whenever requested to do so by the Company (either during the
term of this Agreement or thereafter), execute and assign any and all
applications, assignments and/or other instruments and do all things which the
Company may deem necessary or appropriate in order to apply for, obtain,
maintain, enforce and defend patents, copyrights, trade names or trademarks of
the United States or of foreign countries for said improvements, inventions,
discoveries, processes, or know-how, or in order to assign and convey or
otherwise make available to the Company the sole and exclusive right, title, and
interest in and to said improvements, inventions, discoveries, processes,
know-how, applications, patents, copyrights, trade names or trademarks,

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|EMPLOYMENT
      AGREEMENT  FAIRBANK | Page
      7
|------------------------------------- | ------------

8. KEY-MAN INSURANCE.
Employee agrees to make himself available and to undergo, at the Company's
request and expense, any physical examination or other procedure necessary to
allow the Company to obtain a key-man insurance policy on Employee. If the
Company obtains such policy, it will maintain the policy at its expense and ail
proceeds will be the sole property of the Company.

9. MISCELLANEOUS

9.1
Governing Law; Interpretation. This Agreement will be governed by the
substantive laws of the Province of British Columbia applicable to contracts
entered into and fully performed in such jurisdiction. The headings and captions
of the Article-6 and Sections of this Agreement are for convenience only and in
no way define, limit or extend the scope or Intent of this Agreement or any
provision hereof. This Agreement will be construed as a whole, according to its
fair meaning, and not in favor of or against any party, regardless of which
party may have initially drafted certain provisions set forth herein.

9.2
Assignment. This Agreement is personal to Employee and he may not assign
any of his rights or delegate any of his obligations hereunder without first
obtaining the prior written consent of the Board of Directors.

9.3
Notices.Any notice, request, claim or other communication required or
permitted hereunder will be in writing and will be deemed to have been duly
given if delivered by hand or if sent by certified mail, postage and
..certification prepaid, to Employee at his residence (as noted in the Company's
records), or to the Company at its address as set forth below its signature on
the signature page of this Agreement, or to such other address or addresses as
either party may have furnished to the other in writing in accordance
herewith.

For notices and communications to the
Company:

Nevada Geothermal Power

900- 409 Granville
Street,Vancouver, B.C. V6C 1T2e-mail: astudley@nevadageothermal.comTelephone:
604 088 1553

9.4Severability. in the event any provision of this Agreement or the
application of any such provision to either of the parties is held by a court of
competent jurisdiction to be contrary to law, such provision will be deemed
amended to the tent necessary to comply with such law, and the remaining
provisions of this Agreement will remain in full force and effect.

9.5
Entire Agreement; Amendments. This Agreement (together with the Stock
Option Agreement and any other exhibits and attachments hereto) constitutes the
final and complete expression of all of the terms of the understanding and
agreement between the parties to this Agreement with respect to the subject
matter hereof, and this Agreement replaces and supersedes any and all prior or
contemporaneous

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|EMPLOYMENT AGREEMENT - FAIRBANK | Page 8
|------------------------------- | ------

9.8 Attorneys' Fees.In the
event it becomes necessary for any party to initiate legal action or any other
proceeding to enforce, defend or construe such party's rights We or obligations
under this Agreement, the prevailing patty will be entitled to its reasonable
costs and expenses, including attorneys' fees, incurred in connection with such
action or proceeding.

10. Employee Acknowledgment.
Employee acknowledges that he has been given the opportunity to consult with
legal counsel concerning the rights and obligations arising under this Agreement
(including for purposes of this Section 10, the Stock Option Agreement), that he
has read and understands each and every provision of this Agreement, and that he
is fully aware of the legal effect and implications of this Agreement.

IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be duly executed as of the day and year first above written.

NEVADA GEOTHERMAL POWER COMPANY.
      Per: /s/ Gordon BloomquistGordon Bloomquist, Chairman Nomination and Compensation
      Committee
      Per: /s/ Jim YatesJim Yates, Member Board
      of Directors


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|EMPLOYMENT AGREEMENT FAIRBANK | Page 9
|----------------------------- | ------

|SIGNED, SEALED and DELIVERED | ) |                       
|---------------------------- | - | ----------------------
|By Brian Fairbank in the     | ) |                       
|                             | ) |                       
|Presence of                  | ) |                       
|/s/ Markus K. Christen       | ) |                       
|Markus K Christen            | ) |                       
|Name                         | ) | /s/ Brian
    Fairbank
|6 Maher Road                 |   |                       
|                             | ) | BRIAN FAIRBAN**K**    
|AddressSomerset, NJ 08873    | ) | Oct 1, 2007           
|                             |   |                       
|Finance                      | ) |                       
|Occupation                   | ) |                       
|                             | ) |                       

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|EMPLOYMENT AGREEMENT- FAIRBANK | Page l0
|------------------------------ | -------

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | SCHEDULE A     |                              
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | -------------- | -----------------------------
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                |                              
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                |                              
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                |                              
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                |                              
|Job Title:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | CEO/ President | Reports to: Board o Directors
|Provide leadership to position the
      company at the forefront of the industry. Develop a strategic and
      financial plan and associated budget to advance the company's mission and
      objectives relative to the development of geothermal projects, the
      promotion of revenue generation, profitability and growth as an
      organization. Oversee company operations to insure production efficiency,
      quality service, and cost- effective management of resources and
      personnel.
|
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                |                              
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                |                              
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  |                |                              
|PRIMARY RESPONSIBILITIES                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |               

|1.  | Develop a strategic and financial plan and associated
      budget to advance the company's mission end objectives and to develop new
      geothermal projects, promote revenue generation, profitability, and growth
      as an organization.
|--- | ------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |                                                                                                                                                                                                                                                 
|2.  | Review approved plans and budgets as part of the annual
      planning and budgeting cycle and present recommendations to the board of
      &octal and or the appropriate committee.                                                           
|    |                                                                                                                                                                                                                                                 
|3.  | Develop and provide appropriate policy recommendations
      for consideration by the board.                                                                                                                                                    
|    |                                                                                                                                                                                                                                                 
|4.  | Propose agencies for the board of directors reflecting
      issues, opportunities, and priorities.                                                                                                                                             
|    |                                                                                                                                                                                                                                                 
|5.  | Present background materials upon two (2) business days
      notice and cause minutes to be kept et all Board meetings                                                                                                                         
|    |                                                                                                                                                                                                                                                 
|6.  | Oversee company operations to insure production
      efficiency, quality, service, and cost- effective management of resources.
      personnel and company assets.                                                                            
|    |                                                                                                                                                                                                                                                 
|7.  | Plan, develop, and implement strategies for generating
      resources and/or revenues for the company.                                                                                                                                         
|    |                                                                                                                                                                                                                                                 
|8.  | Identify acquisition and merger opportunities and direct
      implementation activities.                                                                                                                                                       
|    |                                                                                                                                                                                                                                                 
|9.  | Approve company operational procedures, policies, and
      standards with approval of the 9. Board of Directors.                                                                                                                               
|    |                                                                                                                                                                                                                                                 
|10. | Review activity reports and financial statements to
      determine progress and status in attaining objectives and revise
      objectives and plans in accordance with current conditions.                                                    
|    |                                                                                                                                                                                                                                                 
|11. | Effectively manage the human resources of the
      organization according to authorized personal policies and procedures that
      fully conform to current laws and regulations                                                              
|    |                                                                                                                                                                                                                                                 
|12. | Evaluate performance of executives for compliance with
      established policies and objectives of the company and contributions in
      attaining objectives.                                                                                
|    |                                                                                                                                                                                                                                                 
|13. | Promote the company through written articles and personal
      presentations at conferences and on radio and TV.                                                                                                                               
|    |                                                                                                                                                                                                                                                 
|14. | Represent the company at legislative sessions, committee
      meetings, and at formal functions.                                                                                                                                               
|    |                                                                                                                                                                                                                                                 
|15. | Promote the company to local, regional, national, and
      international constituencies.                                                                                                                                                       
|    |                                                                                                                                                                                                                                                 
|16. | Present company report at Annual Stockholder and Board of
      Director meetings.                                                                                                                                                              
|    |                                                                                                                                                                                                                                                 
|17  | Direct company planning and policy-making
    committees.                                                                                                                                                                                       
|    |                                                                                                                                                                                                                                                 
|18  | Oversee foreign operations to include evaluating
      operating and financial performance.                                                                                                                                                     
|    |                                                                                                                                                                                                                                                 
|19. | Must use a formal daily time tracking system for tracking
      the various projects as well as for sick days, vacation days
etc.                                                                                                               
|    |                                                                                                                                                                                                                                                 
|20. | Other duties as assigned,                                                                                                                                                                                                                       

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