Please Note: Blog posts are not selected, edited or screened by Seeking Alpha editors.

KGL Resources And Geodynamics Receive Consent For Geothermal Exploration In Solomon Islands

KGL Resources (ASX:KGL) and Geodynamics (ASX:GDY) have received consent relating to exploration activities for the Savo Island Geothermal Power Project in Solomon Islands.

The development consent from the Solomon Islands Department of Environment follows review of the project's Environmental and Social Impact Assessment (ESIA) and Environmental Management Plan.

With approvals in place, the two companies will now focus on concluding negotiations with the Solomon Islands Electricity Authority and Solomon Islands Government on the key terms of the power purchase agreement necessary to underwrite the project.

The ESIA and EMP provide a comprehensive guide to the monitoring, mitigation and remediation measures that will be implemented by Geodynamics for exploration drilling activities.

In particular, the ESIA highlighted the potential positive impacts for the Solomon Islands from the proposed projects, by replacing imported diesel fuel with a sustainable locally produced electricity supply.

Savo Island Geothermal Power Project

The Savo Island Geothermal Power Project is a proposed 20 to 30 megawatt geothermal power plant located on Savo Island in the Solomon Islands.

Geodynamics is earning a 70% interest in the project, which will tap a volcanic based geothermal resource.

Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX "Small and Mid-cap" stocks with distribution in Australia, UK, North America and Hong Kong / China.