Mitsubishi Materials Corp. and Mitsubishi Gas Chemical Co. set up a venture with plans to develop a geothermal power project in Japan’s northern prefecture of Iwate.

The venture will conduct an environmental impact assessment after earlier tests confirmed an area in Hachimantai City has 15 MW of geothermal capacity, the companies said in a statement Thursday.

The partners are aiming for the plant to start running in 2022, Hiroshi Shimizu, a spokesman for Mitsubishi Materials, said by phone.

Mitsubishi Materials has a 60 percent stake in the venture, while Mitsubishi Gas Chemical holds the remainder.