European cleantech private-equity fund WHEB Partners has invested in Oslo-based Green Energy Group (GEG), a supplier of small-scale, containerised geothermal power plants. The company was started in 2008 in Oslo and also has an office in Reykjavik, Iceland.
Geothermal power generation is currently approaching 11GW globally, yet the immediately addressable worldwide geothermal capacity is estimated at 140 GW. GEG is seeking to meet the continuing demand for cheaper and more flexible geothermal power-generation solutions with its proprietary offering of modular, mobile power plants, which can be placed at the well-heads of particular geothermal resources.
The company claims it can deliver power plants at a lower cost-per-megawatt (MW) than standard geothermal projects due to the standardisation of most of the key components combined with the efficient optimisation of its turbines to the steam and pressure characteristics of each individual well. The well-head concept enables optimum power to be produced from each individual well by negating the need for well redundancy or an excess steam buffer to cater for well failures. Additional benefits are that developers should be able to generate power earlier in the project-development lifecycle, rather than waiting until a critical mass of productive steam wells are drilled before building a traditional, large scale plant; as well as the generation of electricity from remote wells that are outside the topographical reach of an existing plant.
GEG’s patented solution is mounted in 40-foot ISO containers and can be moved between sites (for example if a steam well fails due to seismic activity).
GEG is currently completing its first full-scale pilot power plant in the Kenyan Rift Valley and states that it has a significant pipeline of future projects.
It is WHEB's first investment in Norway and tenth investment from WHEB’s second private equity fund.
James McNaught-Davis, Managing Partner of WHEB Partners, said: “WHEB was attracted to GEG because we see enormous potential for the acceleration of demand for geothermal power, particularly in the developing world. GEG provides a solution which will enable developers, utilities and independent power producers to accelerate the rate at which they deliver power online in new developments, increase the output of existing geothermal fields and develop small-scale power plants for distributed renewable power generation in remote areas. Furthermore, GEG’s management team is truly world-class, bringing together years of experience in successful and fast growing companies.”
Terje Laugerud, CEO of GEG said “We are delighted that we have secured an investment from WHEB Partners. As a highly experienced and value-adding investment partner, they have not only provided capital for our expansion but are also bringing to bear their extensive network and experience. The support of WHEB and other investors will help us complete our pilot plant, streamline our supply chain and start delivering power plants to all our prospective customers.”
About WHEB Partners
WHEB Partners invests in cleantech companies with high growth potential. A pioneer in Europe’s clean technology sector, WHEB began as an award winning clean technology incubator and corporate finance firm in 1995 before focusing on private equity fund management. It raised the UK’s first broad based clean technology fund in 2005 and now manages two clean technology funds with total assets under management of £130 million. WHEB’s team of investment professionals are based in both its London and Munich offices. WHEB Ventures is supported by the European Union through the Competitiveness and Innovation Framework Programme (CIP). More information at www.whebpartners.com
About Green Energy Group AS
GEG was founded in early 2008 and is headquarted in Oslo, Norway with its engineering and technical team based in Reykjavik, Iceland. The highly experienced executive team at GEG
has assembled a team commanding a wealth of experience within the design, engineering, project management and operation of geothermal plants and is supported by a Board of Directors drawn from both investment banking and the engineering sector. The company is focused on delivering turnkey 3.2 MW to 6.4 MW flash type modular power plants.