16 Sep 2021 07:00
16 September 2021
IGas Energy plc (AIM: IGAS) ("IGas" or "the Company")
Agreement signed with CeraPhi for repurposing onshore assets for geothermal energy
IGas is pleased to announce that it has agreed a Heads of Terms (HoT) with CeraPhi Energy, a specialist in repurposing oil and gas assets for geothermal energy.
IGas and CeraPhi will jointly develop geothermal energy projects utilising specific wells in IGas's asset portfolio.
The first project will be sited in the Lincoln area on one of IGas's existing sites. The development will capitalise on IGas's deep local knowledge, surface infrastructure and existing wells and CeraPhi's patented technology, CeraPhiWell, a closed loop downhole heat exchanger.
This pathfinder project will be used to demonstrate the commercial potential for geothermal energy production from repurposing existing oil and gas assets for direct heat for agriculture, residential heating and cooling, and the development of hybrid energy systems generating both heat and power.
Commenting Stephen Bowler, IGas CEO, said:
"The signing of the agreement with CeraPhi is another important step in IGas's drive to diversify its operations, adding to the ongoing work on hydrogen production and carbon storage and bolstering our established geothermal offering.
As local authorities and other large-scale users of heat transition away from fossil fuels we are receiving an increasing number of enquiries looking to geothermal as a solution and through this growing pipeline of development opportunities, IGas is well-positioned to deliver a solution to the long-term decarbonisation for heat in the UK."
Karl Farrow, CeraPhi Energy, CEO said:
"The repurposing of oil and gas wells to access subsurface thermal heat to produce baseload clean energy has to become a primary step to developing a wider appreciation of what geothermal can provide us. This agreement with IGas is yet another demonstration of the energy transition harnessing existing skills and expertise that we have in the UK to support a net zero target."
For further information please contact:
IGas Energy plc Tel: +44 (0)20 7993 9899
Stephen Bowler, Chief Executive Officer
Ann-marie Wilkinson, Director of Corporate Affairs
Investec Bank plc (NOMAD and Joint Corporate Broker) Tel: +44 (0)20 7597 5970
Sara Hale/Jeremy Ellis/Virginia Bull
Canaccord Genuity (Joint Corporate Broker) Tel: +44 (0)20 7523 8000
Henry Fitzgerald-O'Connor/James Asensio
Vigo Consulting Tel: +44 (0)20 7390 0230
Patrick d'Ancona/Chris McMahon/Kendall Hill