Hungarian PannEnergy signs deal with Croation community

Alexander Richter 21 Jun 2009

PannErgy signed its first cross-border cooperation agreement with the local government of Koprivnica, Croatia. The project is just across the border from the company's project at Csurgó, Hungary.

In a recent announcement earlier this month, Hungarian geothermal developer PannErgy (listed on the Budapest Stock Exchange) reports about its “first cross-border cooperation agreement with the local government of Koprivnica, Croatia.”

The company signed a pre-contract and states that within the framework of this contract, “Within the framework of this pre-contract, the first measurements will be performed to serve as the basis of the
detailed geological analysis that will be considered in relation to the continuation of the project. These
measurements will ascertain whether the areas in the surroundings of Koprivnica are suitable for geothermal drillings. In connection with the project, Csurgó and Koprivnica as settlements lying on the two sides of the national borders will jointly apply for grants in the EUís cross-border cooperation scheme in order to fund surface measurements and test drilling.

In association with the execution of the agreement, György Horuczi, Pannergy Polifin A Ltd’s business development director said: “Pannergy is committed to becoming the leading geothermal energy supplier of the Pannonian Basin. We are conducting negotiations with local governments in several neighbouring countries, in particular Slovakia, Romania, Slovenia, Croatia and Serbia in order to make preparations for cross-border cooperative efforts. One of the first milestones of this unfolding process is Koprivnica, where we have just concluded a pre-contract. We think that the projects launched in Hungary are good models for local governments abroad, and with our experience having earned so far we can have a pioneering role in the exploitation of renewable energy resources in the neighbouring countries, as well, which is also a priority of the European Union.”

Source: Company announcement