St. Vincent Geothermal Power Plant

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The project includes the construction of a 10 MW geothermal power plant at the foot of La Soufriere volcano on the northern part of St. Vincent island of the Caribbean country St. Vincent and the Grenadines. The SPV for the project is called St. Vincent Geothermal Company Ltd and it is owned by Reykjavik Geothermal (Iceland) and the Government of St. Vincent and the Grenadines. The Government initially owned a 25% stake in the SPV, however it was able to increase its stake to 49%, thanks to grants and concessional loans such as $ 15 million concessionary loan provided by Abu Dhabi Fund for Development (ADFD) via International Renewable Energy Agency IRENA. St. Vincent Electricity Services (VINLEC), which is a state-owned utility, will purchase the produced electricity. The project cost is around $ 82 million. Caribbean Development Bank (CDB) secured $27 million in financing for the project through contributions from partners. CDB itself contributed $ 9.5 million. In addition, a package of resources worth $ 16.3 million have been secured through Inter-American Development Bank (IDB), consisting of an IDB loan, a grant from the Global Environmental Facility, and contingently recoverable grant resources from the Clean Technology Fund. Investment grants have been provided by the United Kingdom’s Department for International Development (DFID) in the amount of GBP 4 million or $ 5.2 million and by the European Union’s Caribbean Investment Facility (EU-CIF) under its Geothermal Risk Mitigation for the Eastern Caribbean Programme in the amount of EUR 4.9 million or $ 5.48 million. The Government of New Zealand supported with technical assistance. Financial close was announced on 17 May 2019. Mannvit is the engineer and drilling consultant for the project, while Jacobs will be acting as a drilling supervisor. The drilling contractor is Iceland Drilling Company. https://www.caribank.org/newsroom/news-and-events/cdb-partners-support-st-vincent-and-grenadines-geothermal-energy-drive https://www.caribank.org/work-with-us/procurement/procurement-notices/st-vincent-geothermal-drilling-project http://www.thinkgeoenergy.com/preparation-started-on-drill-site-for-geothermal-project-in-st-vincent-and-grenadines/ http://www.rg.is/en/frettir/press-release-st.-vincent-geothermal-project https://www.slideshare.net/IcelandGeothermal/c1-financing-geothermal-development-overview-challenges-and-opportunities-open-book-approach http://ceebip.org/st-vincents-geothermal-project-gets-us15-million-loan/