Cindrigo Holdings Ltd - Guernsey-based energy producer - Announces its subsidiary Cindrigo Geothermal Ltd buys 90% of the shares of Croatian geothermal firm EES Dravacel energetika DOO. EES Dravacel holds a geothermal exploration license of 623,510 square foot near Slatina, Croatia.

‘Dravacel has prepared formal requests for all permits necessary to obtain the right to implement a well-defined drilling programme to access the geothermal heat resource and the necessary permit is anticipated to be issued shortly,’ Cindrigo Holdings explains.

Dravacel will develop a 20 megawatt geothermal power plant. Cindrigo expects the project to produce about £12 million in earnings before interest, tax, depreciation and amortisation per year, with potential dividend streams to itself. Cindrigo says the acquisition is part of its growth strategy as it aims to secure 200 megawatts in contractual licenses by 2023, up to 450 megawatts by 2025 and 1,000 megawatts by 2030.

‘Geothermal is an exciting and high growth clean energy resource, which is forecast to play an increasingly prominent role as a green baseload power source, amid a spiralling energy price environment and global shift to renewable energy,’ says Cindrigo Chief Executive Officer Lars Guldstrand.

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12-month change: unchanged

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