Reservoir Capital Corporation's subsidiary, Southern European Exploration d.o.o. (SEE) has been granted an exploration permit for the Vranjska Banja location in Serbia. The company is the first ever private energy development company to get such a permit for geothermal development in Serbia. SEE has applied for another three permits for locations in the northern province of Vojvodina. The country has recently amended its feed-in tariffs and renewable energy legislation to be on par with the European Union's regulations, and is hoping to attract and stimulate renewable energy development on its territory. The new feed-in tariff guarantees 7.5 EURO cents per kWh for geothermal energy derived electricity.

The Vranjska Banja location is a 17.5 km2 area, which has an elevated geothermal gradient. Existing wells in the area, the VG-2 and VG-3 have confirmed the high temperature gradient. VG-2 has identified several hot water aquifiers, registering 126 degrees Celsius between the depths of 864-890 meters. VG-3 registered 124 degrees Celsius between 1500-1575 meters in depth.

The three additional permits are for targets in the Pannonian Basin in the countr's norther province of Vojvodina. This area has so far seen some 80 wells drilled in the past.

[source: Reservoir Capital Corporation, image: Energie-Atlas GmbH]