OECS Commission plots regional geothermal energy ambitions with feasibility study on shared drill rig

The Organisation of Eastern Caribbean States (OECS) Commission has taken a significant step towards strengthening energy security and advancing the region’s transition to renewable energy with the launch of a comprehensive feasibility study on acquiring a geothermal drill rig for shared use by OECS Member States.

This research is being conducted by Italian firm ELC-Electroconsult S.p.A., the Regional Engineering and Technical Advisor, which is one of six consultancies hired to provide technical assistance and advisory services to beneficiary member states under the OECS GEOBUILD Programme.

The drive to advance geothermal energy development is in response to the urgent need to reduce the region’s heavy dependence on imported petroleum fuels, which has long contributed to high energy costs, economic vulnerability, and foreign exchange pressures across the Eastern Caribbean. 

Dominica is set to join Guadeloupe with a geothermal power plant, expected to meet nearly half of the country’s daily electricity needs by year-end.

The feasibility of acquiring a geothermal drill rig for shared use among OECS Member States could significantly boost renewable energy development in the region and directly address one of the main barriers to geothermal project advancement.

Six OECS Member States—Dominica, Grenada, St. Kitts and Nevis, Saint Lucia, St. Vincent and the Grenadines, and Montserrat—are endowed with significant geothermal resources due to their volcanic origins. Geothermal energy is seen as the most promising renewable energy option for these islands, offering reliable, 24/7 baseload power and the potential to transform national energy matrices, lower electricity costs, and reduce carbon emissions in line with the Paris climate accord commitments.

The OECS Commission, as the regional hub for geothermal development, is leading efforts to build technical, institutional, and human capacity to accelerate the deployment of geothermal projects through the GEOBUILD Programme, which is financed by the Caribbean Development Bank (CDB), the Inter-American Development Bank (IDB), and the European Union’s Caribbean Investment Facility (EU-CIF), with major support from the Green Climate Fund (GCF). The current feasibility study will examine the technical, economic, and operational viability of acquiring and managing a drill rig that could be deployed across multiple islands.

The study evaluates the status and needs of geothermal projects across the OECS, explores various ownership and financing models—including public, private, and public-private partnership (PPP) options—and identifies logistical, regulatory, and capacity-building requirements for successful implementation. It also considers alternative approaches such as coordinated joint bidding for drilling services and lessons from other island regions.

Key challenges identified may include the logistical complexities of operating heavy equipment across multiple islands. The study should provide evidence-based recommendations to ensure that any solution adopted is cost-effective, sustainable, and tailored to the unique needs of OECS Member States.

Mobilisation and demobilisation of rigs from outside the region are among the most expensive components of geothermal drilling in small island states.

By owning or sharing a rig, OECS Member States may be able to spread these costs across multiple projects, making drilling more affordable and improving the economic feasibility of geothermal energy, which is otherwise capital-intensive.

A shared regional drill rig could allow for timelier and coordinated exploration and production drilling campaigns, reducing wait times and enabling projects in countries like Dominica, Grenada, Saint Lucia, St. Vincent and the Grenadines, and Nevis to progress in line with their national energy targets.

Dominica’s exploration and production drilling has led to the construction of a 10-megawatt plant at Laudat in the lush Roseau Valley. The plant is scheduled to be operating by January 2026. St Kitts and Nevis is set to receive bids for production drilling, likely to commence in 2026, with plans for exploration drilling in Grenada and Saint Lucia.

For the people of the OECS, successful geothermal development promises:

OECS GEOBUILD’s Project Manager, Dr Ernie Stapleton, said:

“Working with Member States, regional partners, and international financiers, we will use the findings of this study to gain insights so we can advise member states on the feasibility of having a drill rig for use in drilling, expanding and maintaining geothermal energy production in the OECS. The findings will be presented to key stakeholders, especially the Council of Ministers: Energy in the OECS."

“Drilling for geothermal energy is not new to the Caribbean, but we have to develop the skills and capacity to explore, harness and drill geothermal wells to develop a geothermal industry that is sustainable and that will be owned and managed by our people. We have proved ourselves more than capable of carrying out complex drilling to explore or tap geothermal resources in the region. Witness the progress towards geothermal power in Dominica.” 

In addition to supporting electricity generation, conducting drilling is highly relevant for developing the direct uses of geothermal energy across the OECS. Direct use applications—such as greenhouse heating, crop drying, food processing, aquaculture, spa tourism, and various industrial processes—rely on access to geothermal heat at different temperatures. 

Dr Stapleton added: “Having a dedicated drill rig could enable OECS Member States to tap into shallow and medium-depth geothermal resources, which are often ideal for these direct-use projects. This would not only diversify the economic benefits of geothermal energy by supporting agriculture, manufacturing, and tourism, but also help lower production costs, create new business opportunities, and foster greater resilience through local value-added industries.” 

For policymakers and decision-makers, the feasibility study findings could present an opportunity to develop a roadmap for regional cooperation, investment, and capacity building and inform the design of future energy policy and infrastructure projects as the region embarks on its Decade of Action for Sustainable Energy Development in the OECS.

About OECS GEOBUILD:

The OECS Geothermal Energy Capacity Building for Utilisation, Investment and Local Development (OECS GEOBUILD) ​ is a programme of the Organisation of Eastern Caribbean States Commission aimed at unlocking the geothermal energy potential in five OECS Member States. The programme works to bring economic and environmental benefits beyond electric power generation, contributing to the sustainable development of the region. It is supported by the Caribbean Development Bank, the European Union Caribbean Investment Facility and the Inter-American Development Bank.

Visit OECS GEOBUILD at oecs.int/geobuild

Follow us on social media: