Agreement Reached on the Split of Geothermal Developer Enex


REYKJAVIK, ICELAND--(Marketwire - February 9, 2009) - The owners of Enex have reached an agreement on the split-up of the geothermal construction and development company. The agreement was confirmed at the Enex shareholders' meeting and by the two largest owners, Geysir Green Energy and Reykjavik Energy Invest (REI), a subsidiary of Reykjavik Energy. Geysir has held 70 percent of Enex and REI 26 percent. The remaining shares are divided among several smaller shareholders.

With this agreement Geysir increases its share in Enex Kina (Enex China), which is developing and operating a geothermal district heating system in Xianyang, China. Geysir is now a 75 percent shareholder in Enex China and REI holds the remaining quarter. Geysir also takes over Enex's German geothermal project development company. This makes Geysir a leading company in geothermal development projects in Germany through Enex's project company and Geysir's subsidiary Exorka, which is also developing such projects in Germany.

REI will acquire Enex's share in Iceland America Energy (IAE), which has been working on geothermal project development in California. Geysir will continue its efforts in the U.S. where the company is a leading investor in two other geothermal development companies.

Besides the above-mentioned projects of Enex, REI and Geysir have been working together on projects in the Philippines in the project development company Envent. With this agreement, Geysir will become a majority holder in Envent (80 percent) and will take over its management.

Asgeir Margeirsson, CEO of Geysir Green Energy, said the result fits well with the company's focus on participating actively in clearly defined projects. "We want to concentrate our efforts on projects where we have a leading part to play, as we are doing in China and the Philippines. At the same time, we are moving away from projects that do not fit as well with our core activity. The agreement gives us a chance to optimize our operations. We see synergy between the geothermal projects of Enex and Exorka in Germany," he said.

About Geysir Green Energy

Geysir Green Energy (www.gge.is) is a leading developer in the geothermal industry, investing in development projects as well as geothermal operations. Since its foundation Geysir has invested around US$ 650 million in geothermal businesses and projects around the world, building on the extensive experience from the Icelandic geothermal arena. Geysir's investments include Iceland Drilling, Enex China, Exorka International, Envent, Western GeoPower and geothermal utilities Hitaveita Sudurnesja Orka and HS Veitur.

Contact Information: For further information, please contact: Asgeir Margeirsson CEO of Geysir Green Energy Tel: +354 412 2000 e-mail: Fridrik Omarsson Head of Marketing, Geysir Green Energy Tel: +354 412 2080 Mobile: +354 665 2080 e-mail:

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