SINOPEC Green Energy Geothermal Development Co., Ltd.(SGEG), the joint venture between the Icelandic ORKA Energy and SINOPE New Star Group, signed a cooperation agreement on geothermal utilization between with the government of Zhouzhi County, Xi'an City on 29 June.

According to the agreement, both parties have agreed to develop in cooperation an overall district heating plan for Zhouzhi County, where geothermal energy will be used for space heating wherever possible. In exchange for exclusivity rights, SGEG commits to utilize Zhouzhi County's geothermal resources in a sustainable way and the government of Xi'an City commits to form supportive policies for SGEG to realize the objectives of this agreement.

The signing ceremony was witnessed by ther visiting Icelandic Minister for Foreign Affairs & External Trade Mr. Gunnar Sveinsson and Mr. Qiao Zhen, Vice Mayor of Xi'an City.

SGEG currently operates 48 geothermal heat centrals and 30 geothermal wells within Shaanxi Province, with 24 new heat centrals expected to come online this year.