Statoil studying Iceland power exports
Date: 09-Oct-02
Country: NORWAY
It said in a statement that it had signed a letter of intent with Norwegian grid operator Statnett and Icelandic power group Landsvirkjun to do a feasibility study by early 2003 of a 600 MW power station.
Under the plan, geothermal energy from a depth of 1,000-2,000 metres would drive turbines tied to electricity generators. It said that a power station would generate about five terawatt hours a year, or 4-5 percent of Norway's annual hydropower output.
If the plant were built, a submarine power cable about 1,200 kms (745.6 miles) long would have to be laid, either to Britain or Norway or to both. Transmission losses over the cable would be about six percent.
Statoil said preliminary assessments indicated that the project could compete with other types of renewable power but that geothermal power from Iceland was not competitive at current prices.
Even so, many nations are demanding that a certain percentage of power be generated from non-polluting sources, such as geothermal power, to help cut emissions of greenhouse gases blamed for global warming.
