The exploratory efforts of Veitur has led to the discovery of hot water at Brimnes and Geldinganes, which could expand the capital area’s district heating system. Veitur expects the discovery to enhance the reliability of the energy supply while also addressing increased energy demand in the capital area.
Significant discoveries
The geothermal exploration efforts of Veitur – Iceland’s largest utility company – in the capital area have recently proven successful.
As noted in an announcement on Veitur’s website today, hot water has been discovered at two locations within Reykjavík: Brimnes in Kjalarnes and Geldinganes near Grafarvogur.
“Preliminary findings suggest the presence of a new geothermal system at Brimnes that could be utilised for the capital area,” Veitur notes. “At Geldinganes, where finding hot water has proven challenging despite long-standing geological predictions of geothermal potential, this discovery marks a notable success.”
Veitur hails the discovery as “highly positive” given that the demand for energy for heating and industrial use in the capital area continues to grow alongside an expanding population.
“Demand for hot water has grown rapidly alongside the expanding community [in the capital area], and Veitur must scale accordingly to meet increasing energy needs,” the announcement reads.
Veitur estimates that the “peak demand for hot water for heating increases by an average of 120 litres per second annually.”
Fifth and sixth low-temperature areas
As noted by Veitur, the capital area’s district heating system currently sources hot water from the Nesjavellir and Hellisheiði power plants, as well as four low-temperature geothermal fields: Reykjahlíð and Reykir in Mosfellsbær, and Laugarnes and Elliðaárdalur in Reykjavík.
“It now appears likely that a fifth and possibly sixth low-temperature geothermal area – at Kjalarnes and Geldinganes – will be added to the system,” the announcement notes.
Expanding upon the discovery at the two sites, Veitur notes that this fall at Brimnes, the company had discovered water at nearly 100°C. Although work on the well is ongoing, preliminary testing shows a flow of almost 40 litres per second.
“To put this in perspective, this water volume is sufficient to meet the maximum usage needs of a community of approximately 2,000 people,” Veitur notes, adding that initial estimates suggest that up to 200 litres per second of hot water could be extracted at Brimnes (corresponding to the maximum needs of a neighbourhood of around 10,000 people).
Regarding Kjalarnes, Veitur notes that while earlier wells in the area revealed high temperatures but insufficient water flow, the new well at Geldinganes (R-44) appears to have struck permeable fractures, producing 90°C water with an estimated flow rate of 20 litres per second.
“Most cost-effect” energy source
In its announcement, Veitur explains that when a new low-temperature geothermal area is discovered, it expands the usable reservoir for the district heating system, giving Veitur increased access to hot water.
“If all goes as planned, water from these new areas will be integrated into the capital area’s district heating system in the coming years. Low-temperature geothermal energy, which can be directly utilised in district heating, is the most cost-effective energy source available for such systems.”
Furthermore, adding new production areas strengthens infrastructure, as sourcing water from multiple locations enhances operational security. The more resources and production sites connected to the district heating system, the better equipped it is to ensure reliability.
“By incorporating these new geothermal fields, the system spreads its risk – moving from relying on six sources to eight.”


