Alterra Power announce successful completion of the deep drilling program at its Icelandic subsidiary HS Orka's Reykjanes geothermal field.
Hole IDDP2 was completed at a record depth of 4,650 meters. Initial well readings (427°C temperature, 340 bars pressure) indicate supercritical conditions at the base of the well, comprising significantly higher energy content versus conventional high-temperature geothermal steam.
Based on these early readings, if the well is able to be utilized for electric production, it may produce as much as 30-50 MW of output, which would be directed to HS Orka's Reykjanes plant. The final production potential for the well will not be known until late 2018 after further tests and research.
Ásgeir Margeirsson, CEO of HS Orka, said, "We're pleased to complete this well with such remarkable early-stage results. We expect the final down-well temperatures to be much higher than 427°C, which could lead to production capacity of several regular geothermal wells."
Ross Beaty, Alterra's Executive Chairman, said, "I congratulate our strong Icelandic team and their partners for this successful landmark program. This deep drilling program has profound significance for our own energy output and growth opportunities at Reykjanes and for other geothermal operations in Iceland and elsewhere."
HS Orka led the deep drilling program in collaboration and joint funding with Statoil, two other Icelandic power companies and the Icelandic National Energy Authority. Grants for the program were also received from the European Union and others.