Swedish outfit Climeon has agreed a conditional Skr300m (€31m) deal with Icelandic company CP Energy Holding to produce 15MW of geothermal electricity in the country.
The order, which is subject to financing being secured, will see the delivery 100 Climeon Heat Power modules to be installed at up to 15 sites over a 30-month period.
The Swedish developer has agreed to provide financing for the first phase of seven modules scheduled to be online by the end of 2018.
CP Energy Holding will seek government backing and input from private investors and banks for the remaining 93 150kW units that make up the second phase.
The modules will be installed and operated by the newly established Icelandic company Varmaorka.
Climeon head of geothermal sales Ruben Havsed said: “Being able to provide a competitive power solution in a market with the world’s lowest energy prices gives us great assurance that our technology will be commercially viable in any geography.”
Image: Pixabay
