Bruck geothermal power plant

Project description

The Bruck geothermal project is being developed by Silenos Energy Geothermie Garching a.d.Alz, a subsidiary of STRABAG SE and RAG Austria AG.

The project contains an approximately 4,31 MW power plant for the renewable energy supply of around 14,000 households in the region, with additionally-planned heat extraction for the municipality of Garching an der Alz. The project is already well advanced with the two deep wells bored and tested in 2018 and 2019.

Scope of work

Norton Rose Fulbright advised the lenders on the project financing of the project.

Under the terms of the agreement, Société Générale, Luxembourg, and Erste Bank Group, Vienna, are financing around 80 percent of the investment sum of about €80 million through a loan with a term of up to 20 years.

What makes the project unique

The project financing demonstrates that despite challenges both underground and above surface, geothermal projects remain an increasingly important and economically attractive pillar of the energy market because they provide a combination of heat and electricity as well as a stable energy source not dependent on weather conditions.

The project is the first geothermal project to reach financial close in Germany in more than a decade.

Office

The project was led out of our Munich and Hamburg offices.