Aug 03 2007

Geysir Green Energy Acquires Shares in WGP

Iceland Review
31 July 2007

Icelandic investment company Geysir Green Energy has acquired one fifth of the shares in the Canadian geothermal company Western GeoPower Corporation. Geysir Green Energy, which specializes in investments in the geothermal energy sector, paid ISK 600 million (USD 9.79 million) for the 40 million shares it bought.

Ásgeir Margeirsson, CEO of Geysir Green Energy, will become a member of the board of WGP. In an interview with Fréttabladid daily, he declared that the acquisition was a part of Geysir’s strategy to become an influential player in the American energy sector. WGP is constructing a geothermal plant in Sonoma County in California. The capital that Geysir has provided will be used to complete the construction.

Geysir Green Energy is owned by FL Group, Glitnir Bank and VGK-Hönnun. It is the biggest shareholder in the energy company Enex which has also undertaken projects in the US. “Therefore, we have a twofold connection to the US energy market,” says Margeirsson.