CNA – Chubu Electric Power said yesterday it would invest up to JPY5 billion (USD34 million) in a Canadian geothermal venture, Eavor Technologies, as it moves to expand its renewable energy portfolio and fight climate change.
Within a few weeks, Chubu will invest between JPY1 billion and JPY5 billion (USD7 million to USD34 million) for a stake ranging from 10 per cent to 20 per cent in Eavor, according to its deputy chief executive of global business Katsuji Sugimori.
Eavor’s technology circulates water in a closed loop underground to extract heat efficiently even in areas where sufficient amounts of hot water or steam cannot be obtained by conventional geothermal means.
It can be used in a wide range of areas, and avoids the typical exploration risk stemming from a shortage of hot water or steam underground, Chubu said.
“We want to apply the technology in Japan in the future,” Sugimori told a news conference.
The Canadian venture aims to commercialise two projects being developed, one in the United States and another in Germany, in 2024, Chubu said.
Eavor’s investors include venture funds owned by global energy and metals producers such as BP, Chevron and BHP.
