A Memorandum of Understanding has been signed between the Spanish branch of Australian company Petratherm, Petratherm España, and Italian company Enel Green Power.
The Memorandum of Understanding includes the development of geothermal projects on the Iberian Peninsula and the Canary Islands, with direct and external costs to be shared equally between the two companies.
It will also include the formation of a technical committee, comprising representatives of both parties to oversee the exploration and development program.
In relation to Petratherm's advanced Tenerife geothermal project located in the Canary Islands, Enel Power will contribute 50 per cent of all exploration costs and fund the first deep production well, in return for a majority equity stake in the project.
Enel Green Power holds 800 MW of geothermal capacity, and a development portfolio of more than 300 MW.
