Asia Development Bank (ADB) said on Thursday it would provide a $250 million loan to Sinopec Green Energy Geothermal Co (SGE) and Iceland’s Arctic Green Energy Corp (AGE) to develop clean geothermal heat in smog-prone northern China. SGE is a joint venture set up by China’s state-owned oil giant Sinopec and AGE.
The project will focus on the Beijing-Tianjin-Hebei region, but SGE chairman Liu Shiliang said the partners plan to “replicate their successful collaboration across Asia.” China had planned to develop geothermal energy in the Beijing-Tianjin-Hebei belt as part of its anti-smog campaign, the country said in guidelines published in January.
