In 2010 the Geothermal studies were completed on Montserrat and the DFID approved the funding for the drilling of two exploratory/ production wells. The Ministry of Communication, Works, Energy and Labour (MCWEL) was tasked with the responsibility to procure a consultant to undertake an Environmental Impact Assessment (EIA); negotiate land purchase for the third well; conduct site preparation and security fencing; dredging at Plymouth jetty; road and drainage preparation between Plymouth jetty and third well during the period 2014- 2015. The two wells, Mon1- and Mon-2, were successfully drilled and were found to be capable of sustaining the electrical capacity of approving 1.5-2 MW each. Hence the combined power from these wells was capable of providing more than 100% of the island’s current peak power demand and electricity consumption. A third well, with a different project management arrangement was not successful but still has potential for future development.
The Ministry conducted an Early Market Engagement (EME) exercise in 2017 with the following objectives:
- Inform the marketplace of the proposed Montserrat Geothermal Plant Public Private Partnership Project – Design, Engineering, Procurement, Construction (EPC) and Partial Financing services for Montserrat Geothermal 2.5 – 5 MW Plant development.
- Seek information from the industry regarding the following key areas
- Feasibility: Whether what is sought is feasible?
- Capability: The ability of the market (single supplier or consortium) to achieve what is required?
- Maturity: Whether there is an established market for the requirement and whether there are enough suppliers in existence for a competitive procurement?
- Capacity: Whether the market can achieve what is required quickly enough or on the small scale?
- Seek innovative solutions from the industry as to project procurement strategy for the proposed Montserrat Geothermal Plant Project
MCWEL received seven (7) submissions from some of the leading companies in the geothermal energy industry in response to this EME, which suggests an adequate level of interest and market appetite shown by suppliers in the proposed Montserrat Geothermal Project. Although the EME had a very positive outcome, additional feasibility studies along with an advance economic cost/benefit analysis is still required.
The Government continues to make a concerted effort to continuously review various options to maximize the island benefits from this resource. The objective of the Government of Montserrat is optimize the utilization of indigenous resources such as Geothermal energy to advance the country’s sustainable development plans.