Georit Energy and SK EarthOn Sign MOU for Renewable Energy Business Collaboration

Georit Energy announced on the 20th that it has signed a Memorandum of Understanding (MOU) for cooperation in renewable energy business with SK Earth On. Through this MOU, Georit Energy and SK Earth On plan to collaborate on the development of new projects utilizing geothermal heating and cooling technology.

The two companies will cooperate to secure directional drilling capabilities that enable the installation of geothermal heating and cooling systems in existing buildings. Georit Energy will participate in the geothermal heating and cooling system construction projects for existing buildings promoted by SK Earth On to acquire related drilling capabilities and will also discuss establishing a joint venture to expand the geothermal heating and cooling business domestically.

A company representative stated, "Both companies aim to secure directional drilling capabilities and introduce a new construction method in Korea that minimizes the land area required for construction, allowing geothermal heating and cooling systems to be installed even in existing buildings."

For over 20 years, Georit Energy has established itself as a leader in the building geothermal heating and cooling system industry based on extensive experience and expertise.

The company representative added, "For public institution buildings, the mandatory supply ratio of renewable energy in total energy consumption will expand to 40% by 2030. Although there are differences by local governments for private buildings, both residential and non-residential buildings are required to use about 10% renewable energy, so the market size in related fields is expected to grow."

Through this strategic alliance, SK Earth On plans to develop renewable energy businesses and proceed with new ventures leveraging its know-how and network from the existing upstream oil development business.

A company representative said, "The Seoul Metropolitan Government recently announced a comprehensive plan to promote geothermal energy distribution, aiming to create a world-class ‘geothermal energy city’ for carbon neutrality. The plan includes expanding the use of geothermal energy for building heating and cooling to 1GW (gigawatt, 1000 MW) by 2030, equivalent to the capacity of one nuclear power plant."

This content was produced with the assistance of AI translation services.