Cindrigo has reassured perception within the business viability of the Slatina 3 geothermal venture in Croatia following a requested for a 6-month license extension.
Cindrigo Holdings Ltd. (Cindrigo) by means of subsidiary EES Dravacel Energetika d.o.o. (Dravacel) has requested for a six-month extension for the exploration license on the Slatina-3 geothermal venture in Croatia. With this request, the drilling operations in Slatina-3 which had been set to start by February 2024 had been paused pending the choice by the Croatian Hydrocarbon Company.
Cindrigo began the event of Croatian geothermal initiatives following the acquisition of share capital of Vitality Co-invest World Corp. again in 2022. Throughout the identical yr, Dravacel was in a position to safe the situation allow for drilling within the Slatina-3 website as a part of creating a 20-MW geothermal energy plant.
Cindrigo states that the six-month extension is important to have the ability to end the work wanted to progress to the Exploitation Section. Furthermore, the corporate is assured that it has executed ample work to show its dedication to the venture and perception in its business viability, and thus the license extension shall be granted.
Except for pausing the drilling operations, Cindrigo had additionally determined to postpone the drawdown of funds from the Tri Ri Asset Administration (TRAM) till the license extension has been granted. In February 2024, Cindrigo entered right into a £10 million convertible mortgage settlement for the Slatina-3 growth with TRAM, a USA and Canada-based funding agency.
“We consider that the choice to pause website operations and the drawdown of TRAM’s funds till we obtain affirmation of the licence extension represents a prudent strategy to managing the Undertaking and its funding necessities,” mentioned Lars Guldstrand, CEO of Cindrigo.
“We nonetheless have excessive confidence within the Slatina 3 venture’s potential which is underpinned by compelling geothermal information indicative of a high-quality reservoir. So far, almost €8 million has been invested within the Undertaking, with roughly €3 million allotted in 2024 alone, which illustrates our unwavering dedication to its success.”.
