The European Investment Bank (EIB) has agreed to provide a €125M loan to the National Power Company of Iceland Landsvirkjun to build a new geothermal power plant at Theistareykir, Iceland.


The funding will be used to support the design, construction and operation of a new 90MWe geothermal power station and its geothermal wells.

The project will be located near Húsavik, in the northeast of the country, where nine wells with more than 50MWe capacity have already been drilled and tested.

EIB’s vice president Cristian Popa said: “Iceland is in a very special position when it comes to renewable energy and it’s great to see how Landsvirkjun is making the most of it.

“The EIB is glad that it can support this important energy project, which also highlights how the bank supports the energy sector around Europe.

“The Icelandic expertise in this area is state of the art and serves as a blue print for geothermal projects around the globe."