Polaris awards geothermal wells drilling contract in Nicaragua

Canadian renewables firm Polaris Infrastructure Inc (TSE:PIF) said on Tuesday it has hired Iceland Drilling Co to drill at least two new production wells for the 72-MW San Jacinto-Tizate geothermal project in Nicaragua.

More specifically, Polaris Energy Nicaragua SA (PENSA) and Iceland Drilling Co have signed a rig services agreement that envisages drilling no less than two new production wells as well as the work-over of four existing injection wells, with an option for a third new well. PENSA expects a spud date on its first production well early next month.

The value of the deal was not disclosed.

The San Jacinto-Tizate project, owned by PENSA, is located in the northwest of Nicaragua, near the city of Leon. The company has a licence for the generation of 72 MW net at the particular site for a 30-year term that commenced in December 2003.

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