Syntholene Energy has entered a 500m² lease agreement at the Husavik Power Station site in Iceland.

Syntholene plans to use the site as its first location in demonstration-scale thermally-integrated electrolyser. The company has received approval for a construction permit for Húsavík.

Katrín Sigurjónsdóttir, Mayor of Norðurþing, stated:, “The municipality of Norðurþing, owner of Húsavík Energy, is proud to support the development of Syntholene through its Demonstration Facility for non-fossil aviation fuel. Syntholene’s goals of the sensible use of geothermal energy to produce cost effective and environmentally friendly synthetic fuel for the benefit of society, align with the goals of the municipality of Norðurþing. We look forward to supporting this initiative to make possible the expansion of the project and meet domestic demand for aviation fuel.”

“This lease and permit represent a transformational step in establishing Syntholene’s Icelandic footprint,” said Dan Sutton, CEO of Syntholene. “The site at Húsavík Power Station offers an exceptional combination of geothermal availability, infrastructure, workforce readiness, and political alignment. It provides a strategic launch point for our first Demonstration Facility while offering Syntholene a pathway to scale in one of the most geothermally abundant regions on Earth.”

The lease is effective until 1st April 2027 and the permit is effective until the end of March 2027. Subject to the conditions of grant being satisfied, this approval enables Syntholene to proceed with on-site preparation and construction activities, including the deployment of its modular, Demonstration Facility integrating geothermal heat exchange and solid oxide electrolysis systems. The permitting process included coordination with local authorities to ensure alignment with land use planning, environmental considerations, and safety requirements associated with hydrogen-integrated industrial operations.

“We are honoured to work with the community of Húsavík and its leadership at a time when new industrial diversification is desired by the community,” Sutton added. “Syntholene aspires to help build long-term economic diversification in the region, while advancing our mission to deliver ultra-pure, cost-competitive synthetic fuels.”

Located inside the town of Húsavík and adjacent to a commercial port, the Húsavík Power Station represents a preserved geothermal energy centre, including heat-exchangers, district-heating ties, water cooling systems, and a 20-km insulated geothermal pipeline from the Hveravellir geothermal field in Reykjahverfi.

Syntholene Energy has appointed HD ehf. (“HD IS”), a leading Icelandic engineering and construction services firm, as general contractor for the company’s demonstration facility in Húsavík, Iceland. The appointment represents a critical step in advancing the company’s development timeline by establishing a locally anchored execution partner with direct experience in Icelandic infrastructure delivery, regulatory coordination, and industrial project management.