IGas (AIM: IGAS), the onshore oil and gas firm, has been selected as preferred bidder to deliver geothermal energy to a UK hospital.
The London-listed firm’s geothermal subsidiary, GT Energy, has been tapped for the heat solution for the Salisbury District Hospital NHS Trust.
Geothermal energy is a type of renewable resource taken from within the earth, stored in rocks and fluids, and harvested for clean power.
It’s envisaged that GT Energy will own and operate the facility for Salisbury District Hospital, with heat suppy to begin in early 2026, subject to planning.
IGas was picked through the Carbon and Energy Fund (CEF) framework; a UK Government initiative to fund and manage complex energy infrastructure upgrades to the NHS and wider public sector.
The next step is creation of a partnership between GT Energy, the Trust and the CEF.
GT Energy will de-risk and develop the geothermal project for the UK hospital from initial feasibility through to consenting and construction of the wells and energy sector.
The plant is proposed to fulfil the full heat requirements of the hospital on a long-term energy supply.
IGas said it expects to make future grant requests to the UK Government Public Sector Decarbonisation Scheme (PSDS) to assist in the funding of the project.
© Supplied by GT EnergyIGas chief operating officer Ross Glover said: “This is an important step forward for GT Energy. The NHS 2040 net zero target places it at the forefront of decarbonising healthcare, making it the world’s first national health system to commit to become ‘carbon net zero’, backed by clear deliverables and milestones. GT Energy along with the Trust and the CEF look forward to realising this project which will position Salisbury NHS Foundation Trust at the forefront of the NHS’s ambition.”
Established in 2013, GT Energy has conducted feasibility studies for geothermal projects in the UK and Ireland and partnered on projects in Germany.
IGas acquired the firm in 2020.
Brian Johnson, Director of Estates Salisbury NHS Trust said: “This is an incredibly exciting development for the Trust in our journey toward net carbon zero. Eliminating our reliance upon fossil fuels with an on-site geothermal source will be both renewable and give us strong resilience from external (off-site) energy infrastructure and the associated inflationary pressures.
“We are proud to be working with GT Energy and trailblazing geothermal energy opportunities within the NHS and look forward to the development of this infrastructure upgrade over the coming months.”
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