Innargi to explore geothermal potential in Poznan, Poland

Signing of letter of intent between Innargi and Veolia Energi Poland (source: Innargi)

Danish geothermal heating developer Innargi has signed a Letter of Intent together with local utilities Veolia Energia Polska and  Veolia Energia Poznan to explore the potential for geothermal district heating in the city of Poznan in Poland. This marks the start of the first project of Innargi outside Denmark.

Under this cooperation, the companies will investigate the possibility of putting up a 100-MW geothermal heating in Poznan, the fifth largest city of Poland. Work on the in-depth assessment will start this year, with a fully operation geothermal heating facility expected in approximately five years if the results of the investigation come out positive.

The project is aimed at decarbonizing district heating and is in line with Veolia’s mission to be the benchmark company for ecological transformation. Exploration research for geothermal resources will serve to evaluate the potential for developing geothermal district heating in Poznan. The project has been launched as part of ongoing efforts to find alternatives for coal, improve efficiency of renewable energy sources, and stabilize district heating prices for the end consumer.

“It is our ambition to be the benchmark company for the energy conversion process. Therefore, we are focused on diversifying our energy mix to also include renewable energy resources,” said Veolia Energia Polska CEO Frederic Faroche.

“We expect that the ground-breaking geothermal project in Poznan will demonstrate the significant potential of geothermal energy for large district heating systems in Central and Eastern Europe,” said Innargi Managing Director Samir Abboud.

A low-risk business model

Despite the many advantages of harnessing geothermal for district heating, the utilization of geothermal heating in Europe has been hampered by high start-up costs and the inherent uncertainty of subsurface conditions. Innargi’s business model offers geothermal heat as a service, thereby protecting Veolia from investment costs and risks during the exploration, construction, and operational phases.

Innargi is currently preparing for the drilling of the two geothermal boreholes in Aarhus, Denmark. The company is also in various stages of geothermal development and/or exploration in Copenhagen, Holbaek, and the towns of Skanderborg and Hørning.

The City of Poznan supports geothermal heating

The City of Poznan has been very supportive of the entire approval process of the agreement signed between the parties.

“The decarbonization of district heating and the improvement of air quality for a better environment in Poznan is extremely important. The utilisation of geothermal heating in Poznan requires good cooperation with our city planners and environmental experts. We look forward to the partnership and are eager for the project to succeed,” said Poznan Mayor Jacek Jaskowiak.

“For years, we have been cooperating closely with the Poznan City Council in a joint effort to develop pro-environmental and innovative solutions. Thanks to the City’s openness to initiatives serving the local community, we have so far been able to implement a number of investments advancing decarbonization,” added Veolia Energia Poznan CEO and General Manager Jan Pic.

Source: Innargi