"We are discussing a large project to build a geothermal station and possible construction of a power-intensive metallurgy plant in Kamchatka," Shmatko told a government meeting.
"We are filled with enthusiasm. Iceland is very constructive and considers cooperation with Russia as one of its priorities. This is why we are full of hope."
Shmatko said that he had visited several large Icelandic enterprises which use hot springs as an energy source. Iceland is fully self-sufficient in energy with the help of renewable energy sources, he said.
Russia plans to get 4.5 percent of its energy from renewable energy sources by 2020, he said.
