Feasability study, 90 MWe Geothermal Power Plant, Iceland

EFLA Consulting Engineers was retained by Norðurál Helguvík ehf. and Reykjavík Energy to pre-design a 90 MWe Geothermal Power plant at Hverahlíð in the south of Iceland. Three geothermal wells where drilled and confirmed steam to support 45MWe. 

The deliverable was a feasibility report and a detailed project plan for the development of few power plant configurations showing Capex, investment, Opex and reinvestment for reflecting the electrical price needed for the Geothermal Power Plant. 

About this Project

Norðurál Helguvík ehf. and Reykjavík Energy

2012 - 2013 

Southwest Iceland


The project's objective

EFLA Consulting Engineers was retained by Norðurál Helguvík ehf. and Reykjavík Energy as an independent engineering consultant to pre-design a 90 MWe geothermal power plant at Hverahlíð in south of Iceland. The project started in the summer 2012 and finished a year later.

The clients and the consultants were part of a steering committee created for this project and led by EFLA.

The main focus of the project was to establish an agreement on capital and operational cost estimate and time frame and a project plan for development of several power plant configurations. The project started by reviewing existing cost estimates and other data.

EFLA then suggested known geothermal power plant configurations that where suitable for operation in Hverahlíð. EFLA started with 12 configurations, that where thermodynamically modelled and compared the capital and operational costs. From the initial 12 configurations, 6 where chosen to proceed with for further design.

The deliverables were pre-designs of a geothermal power plant in Hverahlíð, as well as capital and operational cost estimation.

Environmental issues

Reykjavík Energy wanted to include in the pre-design the H2S abatement system that was in line with the company's objective. EFLA considered the best available technology in the H2S abatement and also in pumping gas back into the ground, as has been done in the Puna Geothermal Power Plant in Hawaii. The pumping gas was considered most favourable and was therefore included in EFLA's capital and operational cost estimation. 

EFLA's role

  • Project management
  • Environmental analysis
  • Well design Preliminary design of steam gathering system
  • Preliminary power plant design
  • Thermodynamic modelling and optimization
  • Evaluation of capital cost
  • Engineering optimization of the power plant's overall efficiency
  • Design of non-condensable gas reinjection
  • Evaluation of operational cost
  • Evaluation of cash flow