Iceland Drilling Company Makes New Zealand Contract Skip to content

Iceland Drilling Company Makes New Zealand Contract

By Iceland Review

Jardboranir (Iceland Drilling Company) has reached an agreement with one of New Zealand’s largest energy companies, Mighty River Power, for a geothermal drilling project in New Zealand, as announced last week.


Steam rising out of geothermal boreholes on Hellisheidi, southwest Iceland. Photo by Geir Ólafsson.

The contract, valued at ISK 3 billion (USD 26 million, EUR 18 million), will be signed later this month. The project involves drilling in the Ngatamariki geothermal steam field, some 17 km northeast of Lake Taupo in the middle of New Zealand’s North Island, a press release describes.

The energy will supply a new electricity generation plant in the area. The plant will initially output 82 MW, and it will be increased in stages. The contract has a minimum term of two years.

“We have known for a while that New Zealanders are placing greater emphasis on increasing the proportion of renewable energy they use, and they are well aware that geothermal energy is an economical and eco-friendly power source,” commented CEO of Jardboranir Bent S. Einarsson.

“New Zealanders are already one of the global leaders in this field, and they are highly motivated to achieve even greater success,” he added.

Jardboranir’s largest drilling rig, Týr, will be transported half-way around the world for the project. Between 30 and 40 experts from Jardboranir are expected to travel overseas to work on the project and its preparation.

Mark Trigg, General Manager of Development at Mighty River Power, said, “We are extremely pleased to welcome to New Zealand a drilling company from Iceland that will bring extensive experience of geothermal drilling along with a new generation of equipment that is more automated than the drilling equipment we use today.”

“It represents a significant step forward in drilling technology in New Zealand. In addition to being used in the Ngatamariki geothermal steam fields, the rig is expected to be available for exploratory drilling and for drilling replacement wells in existing fields,” he added.

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