London-based green fund WHEB Partners has invested an undisclosed amount in Green Energy Group (GEG), a Norwegian supplier of small-scale geothermal power plants.
GEG has developed tool kits-like geothermal plants that can be rapidly installed at the well-heads of proven geothermal resources. The investment marks WHEB’s first investment in Norway and is the tenth investment from WHEB’s second private equity fund.
GEG is currently completing its first full-scale pilot power plant in Kenya and says it has a significant pipeline of future projects.
“WHEB was attracted to GEG because we see enormous potential for the acceleration of demand for geothermal power, particularly in the developing world,” said WHEB Managing Partner James McNaught-Davis, in a prepared statement.
GEG is scoring this venture capital at a time when a number of large geothermal companies are having a hard time arranging financing for their own project pipeline. In the past year U.S. developer Raser Technologies filed for bankruptcy and last week Ram Power, unable to secure project capital, was forced to cancel a crucial long-term power purchase agreement with a California utility.
Back in June WHEB announced an investment in PvXchange, a German platform that connects suppliers of photovoltaic components with potential buyers. It also closed the buyout of Resysta International, a producer of alternative building materials.