Athens,December2011

InvestinginGeothermalEnergy:
GeothermalProspectsof

MilosKimolosPolyaigos,Nisyros,LesvosandMethana
2
Contents

TheGreekRESmarketwithintheEU2020targets

PPCRenewablesS.A.

CompanyProfile

GeothermalProjectsinGreece
3
CurrentSituation

Thehighrenewableenergypotentialin

wind,solar,hydro,geothermalenergy

andbiomasshavealwaysfavouredthe

useofRESenergyinGreece

Despitethesignificantpotentialofthe

country,itsRESsectorhasbeenaflatand

slowlydevelopedmarketduringthepast

years,reaching~1,75GWtoday

TheadoptionoftheEUDirective(28)in

2009

ledtheGreekGovernmentin

passinganewlegislation(L.3851/2010),

aimingtospeeduprenewablelicensing

procedures(i.e.minimizingthe

bureaucracy),settingthusthebasisfora

newnationalfuelmixoverthecoming

years
GreekRESMarket*(InstalledCapacity,End2010)
Approx.8,5%marketshareofelectricity

consumptiontoday
0
1.000
2.000
3.000
4.000
Total Large

HPPs
2,220
SHPPs
196
Biomass
44
Solar
198
Wind
1,736MW
1,298
3,956
*IncludinglargeHPPs
Source:HTSO,PPCRestimates
4
RecentDevelopments
AccordingtoEUdirective,thenationaltargetsfor2020

aresetasfollows:
ShareofenergyfromRESingrossfinalenergy

consumptionat18%by2020(Directive28/2009)
TheGovernmentraisedvoluntarilytheRESpenetration

targetfrom18%to20%
ThetargetfortheshareofelectricenergyfromRESin

grossfinalelectricityconsumptionisset(inthe2010

legislation)at40%by2020
Theother2020targetsare:

Biofuelspenetration:10%

Energysavings:20%(notbinding)

CO
2

reduction

as

follows:

For

sectors

outside

2003/87/C,

4%

reduction

in

emissions

compared

to2005

level

(66.7

mn)until2020,

andForsectors

within2003/87/C,1.74%

yearlyreduction
4
6
8
10
12
14
16
18
20
%
Year
20 19 18 17 16 15 14 13 12 11 10 09 08 07 06 05
9,6
1,9
RESpenetrationinthefinalenergyconsumption(%)
8,5%
20%
Expected development of Greek RES market penetration
to meet the EU target
6,9%
18%
Initial

National

Target
RESmarket

penetrationin

2005
5
BreakDownofNationalRenewableEnergyActionPlanbyRES

TherealizationoftheNREAPtargets

setinthedomesticlegislationwould

requireanaverageof900MW

installationsannually
Installed
Capacity
target
(MW)
%
participation
(MW)
Energy
Production
target
(GWh)
%
participation
(GWh)
WindEnergy 7.500 69,64% 16.797 71,55%
PV 2.450 22,75% 3.225 13,74%
SHPPs 350 3,25% 1.349 5,75%
Biomass 350 3,25% 1.763 7,51%
Geothermalenergy 120 1,11% 343 1,46%
Total 10.770 100,00% 23.477 100,00%
Source: Invest in Greece
6
PPCRenewablesS.A.

CompanyProfile:Mission&Strategy
7
PPCRsCurrentPortfolio
Drama
Thessaloniki
Kavala
Kilkis
Serres
Chalkidiki
Evros
Xanthi Rodopi
Voiotia
Evvoia
Fthiotida
Fokida
Argolida
Korinthia
Larisa
Magnisia
Pieria
Samos
Chios
Attiki
Rhodes
Kyklades
Arkadia
Achaia
Ileia
Lakonia
Zakynthos
Kefallinia
Irakleio
Lasithi
Rethymni
Chania
Ai toloakarnania
Evrytania
Kerkyra
Lefkada
Arta
Thesprotia
Ioannina
Preveza
Karditsa
Trikala
Grevena
Imathia
Kastoria
Kozani
Pella
Florina
Limnos

Wind Farm
SHPPs
P/V
144,7
61,92
1
28,5
0,7
SHPPSinmainland
Windfarmsinislands
PVinmainland
SHPPsinislands
Windfarmsinmainland
PPCR portfolio in MW
(type & geography, End
Q3 2011)
MW
20WindFarms(mainlyinislands)
15SHPPs(mainlyinmainland)
6P/Vinstallations

PPCRcurrentportfolioofinstalledassetsis144,7MW,holdingaleadingpositioninthecountryinSHPPs

8
MW
110,1
157,7
144,7
Total 3.433,4
understudy 764,0
applicationsforproductionlicense 1.746,4
withproductionlicense 510,6
withapprovedenvironmentalterms
withintallationlicense
inoperation
302,4
620,7
37
25
73
Hybr

id
Biom

ass
Geot

h.
P

V
202
1
201
SHP

P
105
63
42
W

P
2.992
81
2.911
Existing New
PPCRsPipeline

157MWatthefinalstageoflicensingprocedure

Additionally620MWareintheprocesstoobtaintheinstallationlicense
MWperstageoflicensingprocess MWpertypeofRES
9
Power
(MW)
Expected
Geothermal Installed
capacity by 2020
170
1.500.000 99,45
149
Additional estimated
unexploited

geothermal potential
230 2.000.000
99,45 199
x
=
=
348
The total gross turnover of the unexploited geothermal potential

in Greece is estimated at
around

348 million annually.
annual energy
output
(MWh)
energy price
(/MWh)
x
annual

turnover
(

m.)
TOTAL estimated
geothermal potential
in Greece
400 3.500.000
99,45
x =
ThetotalannualturnoverofGreekgeothermalmarketisestimatedat~

348million

basedoncurrentsellingpriceofelectricityproducedintheNetwork
10
PPC/PPCRsMajorGeothermalMilestones

1973:

BeginningofexploratorydrillingforGeothermalFields

1986:

Constructionofthefirst

GeothermalPowerPlantintheislandofMilos(2MW)

1998:

FoundingofPPCRenewablesS.A.

2006:

TransferofallPPCsRESassetstoPPCRenewablesS.A.
Pic.1:Zefyriathen Pic.2:Zefyrianow
11
By2020,PPCRisexpectedtoholdsharesequalto~70%ofthetotalinstalledcapacity

ofgeothermalenergyinGreece

Methana
Ko

Lesvos

Athens
Milos -

Kimolos
A
A

M
Z
K
A
E
K

Nisyros

PPCRsexpectedinstalled

capacityby2020(MW)
120MW
PPCRisexpectedtoplayaleadingrolein

theGreekmarketforgeothermalpower

plantswith120MWofatotalof170MW

by2020.
12
Name Lesvos Nisyros Methana
MilosKimolos

Polyaigos
InstalledCapacity 8MW 5MW 5 MW 5 MW
AnnualProduction 66.500MWh 40.000MWh 40.000

MWh 40.000

MWh
Owner 100%PPCR 100%PPCR 100%PPCR 100%PPCR
Presentstage Preparationfordrilling
Applicationfor

production

license
Signingcontractwith

Ministry()
ApplicationtoRAEfor

productionlicense&

preparationfordrilling
TotalCost 32 m. 40 m. 20 m. 20m.
Estimatedannual

revenue
8,5m. 4,9m. 4,5m. 4,5m.
Portfolioofgeothermalprojectsunderdevelopment
13
NISYROS:AGEOTHERMALPOWERPLANTWILLBEDEVELOPEDONTHEISLAND

ATAg.EIRINI
olderdrillings
Faultsofgeothermalsignificance
Planedpositionfor5MWpowerplant
NISYROS:Thepowerplantwillcovertheelectricpowerneedsofthe9interconnected

islands
Mainfeatures

PPCRhasachievedsocialconsensus

ThegeothermalfieldofMethanaisnotyetfullyexplored

Theprospectistothoroughlyexplorethefield

TheGeothermalPowerPlantwillbeconnectedwiththeGreek

mainlandgrid
InvestmentActivities

34exploratorydrillholesofmediumdepthwillbe

constructed

Drillingofanexplorationwellof2.000mdepthwill

follow
Projectshistory

8studieshavebeenconductedsince2000

PPCRhassecuredtheconsentoftheLocalGovernmentandhas

receivedtherequiredapprovalofenvironmentalterms.

11shallowexploratoryslimholes(depth250m)havealready

beendrilled.
METHANA
Methana:Mapofproject
LEGEND
ARCHAEOLOGICALSITES
SLIMHOLEDRILLINGS
POTENTIALPOSITIONOFNEWWELLS
(INCLINEDWELLS)
MAINRIFTSTRUCTUREOFTHEREGION
MILOS KIMOLOS

POLYAIGOS
MainFeatures

SocialconsensusisvitalforthedevelopmentoftheProject

MilosKimolosPolyaigosisafieldofhighgeothermalcapacity

Withthefullfielddevelopment,andafterconnectingtoSyros,thisfieldcancovermostoftheenergy

demandoftheCyclades

A5MWgeothermalplantwillbedevelopedand2530newjobswillbecreated(directemployment)
MILOS KIMOLOS

POLYAIGOS
Hot Springs
PPC Slimholes
K8
K6
K7
K3
K2
K4
K5
K1
19
LESVOS
Presentsituation
Theinitialexploratorydrillingwasinterruptedduetotechnical

failuresinDec.'08at1,410m,nothavingfoundsatisfactory

temperatures
3explorationwellsareplannedtobedrilledatdepth6001000m

atStipsiandArgenosareas
AreasofGeothermalinterest
ARGEN

OS
STYPSI
POLYCHNI

TOS
StypsiWellTemperatures(
0
C)
Geophysical survey