The European Investment Bank to Lend to Reykjavik Energy on Favorable Terms
EUR 170 million for new geothermal development projects
Reykjavik, Iceland – The Reykjavik Energy Board of Directors recently approved the execution of an agreement with the European Investment Bank (EIB) on a new EUR 170 million loan. The interest rate of the 20-year loan is very favorable, only 0.1 percent above the EURIBOR inter-bank rates. It is believed that the company´s strong asset base and profitable operation, as well as the increased global demand for environmentally friendly power, contributed to securing the financing on these favorable terms.
Projects that will benefit from this financing include the expansion of the Hellisheidi power plant and construction of the new Hverahlid power plant.
In spite of the current turbulence on the international financial markets, the financing of Reykjavik Energy´s operations and projects is proceeding securely.
Comments:
Mr. Gudlaugur G. Sverrisson, Chairman of the Board of Reykjavik Energy:
For decades Iceland has been a leader in the utilization of geothermal power, with Reykjavik Energy being the first among equals. International finance organizations clearly trust us to continue leading this development. Reykjavik Energy will show that it is worth the trust.
For further information, contact:
Gudmundur F Sigurjonsson, Phone +354 617 7713, email: gudmundur.sigurjonsson@rei.is
About Reykjavik Energy Invest
Reykjavik Energy Invest hf (REI) is Reykjavik Energy’s international business development and investment arm. REI is a global developer of geothermal power plants and geothermal-based district heating systems. REI focuses on creating partnerships to develop geothermal areas.
The vision of Reykjavik Energy Invest is to become a valued global developer and operator of geothermal power plants and geothermal-based district heating systems. REI will reach these goals through sustainable utilization of natural resources with respect for the environment. REI acts in a socially responsible manner with the goal of improving the prosperity of the areas in which we operate.