REYKJAVIK, Iceland--(BUSINESS WIRE)--Today marks the start of construction of the Þeistareykir Geothermal Power Station in the North East of Iceland. The development of the Þeistareykir Power Station is in line with Landsvirkjun’s policy on the responsible utilisation of renewable energy resources. The first phase of the development involves the construction of a 45 MW station. The further expansion of the station is under consideration as the National Energy Authority has issued a power production licence for a 100 MW geothermal station in Þeistareykir.
Hörður Arnarson, CEO of Landsvirkjun, said: “Iceland is privileged to have access to renewable, natural resources and Landsvirkjun has now taken another step in harnessing this energy in a sustainable and responsible manner. Landsvirkjun provides secure, long term renewable energy contracts at competitive prices, and the Þeistareykir Geothermal Power Station will enable us to increase the electricity supply in the North East of Iceland, which is a prerequisite for expanding the industrial sector in the area.”
The facility is scheduled to commence power production in the autumn of 2017. The project schedule includes the erection of a steam supply system, civil works such as the construction of the power station, the installation and commissioning of mechanical and electrical equipment as well as control equipment.
Landsvirkjun has been involved in preparation measures for the Þeistareykir geothermal power project for the last few years including research, drilling and preparation work, excavation work, the construction of access roads to the project site and the installation of a water supply system. Þeistareykir already harnesses enough steam to generate the equivalent of 50MW of electrical energy.
Landsvirkjun has signed a contract with LNS Saga for the construction of the powerhouse and steam supply system for the Þeistareykir Geothermal Power Station. The Company has also signed a contract with the consortium of Fuji Electric and Balcke Dürr for the purchase of a 45 MW power-generating unit and cold end equipment for the Station.
Landsvirkjun is the National Power Company of Iceland, was established in 1965 and is a state owned company. Landsvirkjun’s role is to maximise the potential yield and value of the natural resources it has been entrusted with, in a sustainable, responsible and efficient manner. The Company produces electricity from renewable resources such as hydropower, wind power and geothermal energy producing 75% of all electricity in Iceland. The Company is also a leader in sustainable energy generation and supports increased expertise, innovation and technological development.