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Iceland Drilling secures drilling contract in Dominica

Iceland Drilling secures drilling contract in Dominica Drilling rig by Iceland Drilling on site in Iceland (source: Iceland Drilling)
Alexander Richter 13 Apr 2011

Specialized geothermal drilling company Iceland Drilling secured a drilling contract for a geothermal power project in the Caribbean state of Dominica. The overall project cost is about $17 million. ISOR another Icelandic company is going to provide its exploration services, as well as well testing after the drilling.

Picked up by Icelandic media based on news from Dominica in the Caribbean, it is reported that Icelandic drilling company Iceland Drilling (Jardboranir) has been contracted to drill geothermal wells for a project in the Roseau Valley area on the island. Icelandic GeoSurvey (ISOR) will provide services around that contract.

“The contracts for the nearly $17 million project were signed yesterday between the Icelandic company and the government of Dominica. Funded by the French, European Union and Dominican government, this project is expected to provide an alternative local energy source, in addition to exporting to the neighboring French islands of Guadeloupe and Martinique.

One of the expected benefits of this initiative according to officials is to lower government’s expenditure on energy costs.

Minister responsible for Energy and Ports Rayburn Blackmoore told the signing ceremony yesterday that the government spends way too much on energy.
“In 2008, we spent $49.1 million on diesel import for the purpose of energy generation. 2009, my dear friends, we spent $63.1 million for the same activity. For the first half of 2010, we spent $38.9 million. This simply means we’re spending too much money on the importation of diesel for the express purpose of energy generation,” he informed.

“Further, we the consumers, pay 58 cents for the first 50 kilowatts per hour on our bills and 67 cents for above 50 kilowatts per hour. When one compounds that with the reality of an average of 43 cents on every dollar for a fuel surcharge, we can appreciate the impact that it’s having on our economy in a negative way on the individual households, especially in the rural communities…We cannot get to the next level with that reality,” he stated.

Meanwhile Prime Minister Roosevelt Skerrit said that the initiative will create employment for locals.

The project is set to commence on July 22, 2011 while completion is set for December 21, 2012. Drilling will occur in the Laudat and Wotten Waven communities.”

Source: Dominica Central, further details on the project and contract via Caribbean News Now