Two additional wells to be drilled for geothermal project, Dominica, Caribbean
The Dominica geothermal project in the Caribbean has signed a drilling contracts for two new wells with Iceland Drilling Company.
Last week, the Caribbean country of Dominica has signed a $12.5 million drilling contract with Iceland Drilling Company. The agreement was signed on February 15, 2022, according to Dr. Vince Henderson, Planning, Economic Development, Climate Resilience, Sustainable Development and Renewable Energy. Plans for the drilling of two new geothermal wells were announced in July 2021, as we reported. The company drilled
Under the contract two new wells are to be drilled later this year. Last week, a delegation from the World Bank headed its Country Representative for the Caribbean, visited the site of the project.
The majority of the money for the drilling of new wells comes from grants provided by the United Kingdom. The World Bank has approved funding of $27 million to support the development of a 7 MW geothermal power plant. With the geothermal project, Dominica will increase the share of renewables in the energy mix and create a clear road map for private sector investment in geothermal development.
Today, Dominica relies heavily on diesel power generation with an average price of electricity of around US$ 0.33/ kWh and a strong exposure to volatile international oil prices.
The project is being developed by the Dominica Geothermal Development Company. A $17.2 million credit from the International Development Association (IDA), funding of $9.95 million from the Clean Technology Fund (CTF), grants from the UK’s Department for International Development (DFID) – $10 million from DFID and $2 million from the Samll Island Developing States DOCK Initiative, as well as technical assistance from the government of New Zealand and the Agence Francaise de Developpement.
Source: Nation News, Loop