The World Bank Implementation Status & Results Report Geothermal Resource Development in Saint Lucia (P149959) Geothermal Resource Development in Saint Lucia (P149959) LATIN AMERICA AND CARIBBEAN | St. Lucia | Energy & Extractives Global Practice | GEF Medium Sized Program | Investment Project Financing | FY 2015 | Seq No: 2 | ARCHIVED on 22-Oct-2018 | ISR34172 | Implementing Agencies: Ministry of Education, Innovation, Gender Relations and Sustainable Development, Ministry of Finance, Economic Growth, Job Creation, External Affairs and the Public Service, Ministry of Infrastructure, Ports, and Energy Key Dates Key Project Dates Bank Approval Date: 03-Dec-2014 Effectiveness Date: 22-Dec-2014 Planned Mid Term Review Date: -- Actual Mid-Term Review Date: -- Original Closing Date: 31-Jan-2017 Revised Closing Date: 25-Jan-2019 pdoTable Project Development Objectives Project Development Objective (from Project Appraisal Document) The development objective of the project is to provide support for GoSL to make an informed decision regarding geothermal exploration and development in Saint Lucia by undertaking key upstream preparatory activities. Such support would help the GoSL confirm areas for drilling, partner with a qualified developer, and design a geothermal exploration/resource confirmation program for sustainable implementation – all in line with good industry practices and international standards. Has the Project Development Objective been changed since Board Approval of the Project Objective? No Components Table Name Upstream geothermal development preparation and project management Transaction and regulatory support Overall Ratings Name Previous Rating Current Rating Progress towards achievement of PDO Moderately Satisfactory Moderately Satisfactory Overall Implementation Progress (IP) Moderately Satisfactory Moderately Satisfactory Overall Risk Rating Moderate Moderate Implementation Status and Key Decisions The Project Development Objective (PDO) for this project is to help the Government of Saint Lucia make informed decisions regarding geothermal exploration and development by undertaking key upstream preparatory activities. The project has helped the Government of Saint Lucia (GoSL) carry out surface studies and related activities, including aerial light-detection-and-ranging mapping surveys, hire a technical coordinator, initiate negotiations with a potential partner, and conduct a pre-feasibility study and an environmental and social impact assessment. The surface exploration studies have indicated the likely existence of a geothermal reservoir of sufficient size for geothermal exploration. 10/22/2018 Page 1 of 5 The World Bank Implementation Status & Results Report Geothermal Resource Development in Saint Lucia (P149959) Successful implementation of these upstream activities has led to the decision to support preparation of the US$22 million Saint Lucia Renewable Energy Sector Development Project [P161316] to assess the viability of indigenous geothermal energy resources through the implementation of a geothermal exploration drilling program. The GRDP project will close on January 25, 2019, and the final project activities are underway, including due diligence of the legal and regulatory framework for development of a future geothermal power plant, if the RESD project successfully confirms a viable geothermal resource. The teams are working to maximize use of the remaining funds; however, any unused resources will be returned to the GEF – no additional extensions will be sought for this activity. Risks Systematic Operations Risk-rating Tool Risk Category Rating at Approval Previous Rating Current Rating Political and Governance -- Moderate Moderate Macroeconomic -- Moderate Moderate Sector Strategies and Policies -- Moderate Moderate Technical Design of Project or Program -- Moderate Moderate Institutional Capacity for Implementation and Sustainability -- Substantial Substantial Fiduciary -- Moderate Moderate Environment and Social -- Moderate Moderate Stakeholders -- Low Low Other -- -- -- Overall -- Moderate Moderate Results PDO Indicators by Objectives / Outcomes The development objective of the project is to provide support for GoSL to make an informed IN00637469 ►Pre-Feasibility assessment technically confirming three to four areas as being sound for exploration drilling for geothermal resources, informing the government strategy for advancement (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target 1 assessment 1 assessment There is no previous confirming up to three confirming up to three Value assessment on these -- areas as being sound areas as being sound areas for exploration drilling for exploration drilling Date 16-Oct-2014 -- 26-Sep-2018 25-Jan-2019 IN00637438 ►Agreement reached with a qualified developer as a partner to carry out exploration drilling, informing the developmental finance for the program (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target 10/22/2018 Page 2 of 5 The World Bank Implementation Status & Results Report Geothermal Resource Development in Saint Lucia (P149959) Discussion with developer(s) have been ongoing - 0 equitable grant expectation revised - 1 agreement reached Value agreements with a -- no final agreement with a qualified qualified developer expected until after developer drilling exploration campaign confirms the resource quality Date 16-Oct-2014 -- 26-Sep-2018 30-Jun-2022 IN00637472 ►Funding for implementing an exploration drilling program is confirmed (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Financing package ofUS$22.5 million No funding currently identified; 17 million Value allocated for exploration -- has been approved; 5 $20-30 US million drilling million (IDA credit) proceeding to Board approval in May 2019. Date 16-Oct-2014 -- 26-Sep-2018 25-Jan-2019 Intermediate Results Indicators by Components Component 1: Upstream geothermal development preparation and project management IN00637470 ►Planned Outputs (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Completed surface reconnaissance studies ( Geo Key technical studies Mapping, LiDAR (such as Geo assessment and Mapping, LiDAR Magneto-telluric test), assessment and No studies conducted for Value -- hired, technical Magneto-telluric test) project experts / advisory, for evaluating completed geothermal resource at prefeasibility study, surface level final ESIA to be completed completed in October 2019 Date 16-Oct-2014 -- 26-Sep-2018 25-Jan-2019 Component 2: Transaction and regulatory support IN00637471 ►Planned Outputs (Text, Custom) Baseline Actual (Previous) Actual (Current) End Target Communications Legal and transaction Value No support for project -- support contracted and advisory services, underway. Legal and Communications 10/22/2018 Page 3 of 5 The World Bank Implementation Status & Results Report Geothermal Resource Development in Saint Lucia (P149959) regulatory advisory support, Review and services to be propose revisions to contracted in coming existing regulatory weeks. framework Date 16-Oct-2014 -- 26-Sep-2018 25-Jan-2019 Data on Financial Performance Disbursements (by loan) Project Loan/Credit/TF Status Currency Original Revised Cancelled Disbursed Undisbursed % Disbursed P149959 TF-18390 Closed USD 1.00 0.92 0.08 0.92 0.00 100% P149959 TF-18581 Effective USD 1.00 1.00 0.00 0.58 0.42 58% Key Dates (by loan) Project Loan/Credit/TF Status Approval Date Signing Date Effectiveness Date Orig. Closing Date Rev. Closing Date P149959 TF-18390 Closed 22-Dec-2014 22-Dec-2014 22-Dec-2014 31-Jan-2017 31-Dec-2017 P149959 TF-18581 Effective 22-Dec-2014 22-Dec-2014 22-Dec-2014 31-Jan-2017 25-Jan-2019 Cumulative Disbursements 10/22/2018 Page 4 of 5 The World Bank Implementation Status & Results Report Geothermal Resource Development in Saint Lucia (P149959) Restructuring History There has been no restructuring to date. Related Project(s) There are no related projects. 10/22/2018 Page 5 of 5