Russia, Iceland sign geothermal energy agreement

26.10.2011 14:24:22 (GMT+12)

Russia and Iceland have agreed cooperation in geothermal energy production.

Under the intergovernmental agreement, which was signed on Monday by Russian Energy Minister Sergei Shmatko and Icelandic Minister of Industry, Energy and Tourism Katrin Juliusdottir, the parties plan to design and build geothermal energy generating facilities.

Shmatko said Russia expects to take equity stakes in Icelandic companies working in the field of renewable energy and implement joint projects in the Russian far eastern Kamchatka peninsula, which is rich in geothermal resources and where three geothermal power generating plants are currently in operation.

In particular, the Russian government intends to create special geothermic energy demand in Kamchatka, including the development of metallurgical facilities using geothermal energy, he said.

(RIA Novosti).