Microsoft Word - Annual report_year1_ending 31Aug10_EPG37.doc2021. 3. 15. · Geothermal Exploration...
Transcript of Microsoft Word - Annual report_year1_ending 31Aug10_EPG37.doc2021. 3. 15. · Geothermal Exploration...
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CLEAN ENERGY AUSTRALASIA Pty LtdABN 30122645229
Annual Report
Licence Year 1
Reporting Period
Year Ending 31 August 2010
Geothermal Exploration Permit EPG 37
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CONTENTS Page No.
1 INTRODUCTION..................................................................................................32 PERMIT SUMMARY.............................................................................................63. SUMMARY OF ACTIVITIES.................................................................................7
Drilling and Related Activities...............................................................................7Geophysical / Seismic Data Acquisition...............................................................7Geochemical, Gravity, Magnetic and other surveys.............................................7Geological, Geophysical and Engineering review of data.....................................7Compliance with Objectives..................................................................................7Geothermal Energy Usage...................................................................................8Water usage.........................................................................................................8Reports.................................................................................................................8Future Work Program...........................................................................................8
4. EXPENDITURE STATEMENT...........................................................................10
EPG-37
0 25 50 km
Location Map of EPG37 Seismic linesGeothermal Exploration Permit EPG37Petroleum Exploration Wells Powerlines (approx)
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1 INTRODUCTION
This annual report is submitted pursuant to the Geothermal Exploration Regulation 2005. Geothermal exploration permit EPG37, was granted to Clean Energy Australasia Pty Ltd (CEA) on 3rd August 2009. CEA is a private company formed in 2006. The permit is located within the Great Artesian Basin (GAB) in central western Queensland proximal to the regional centre of Longreach.
The area is considered to be highly prospective for geothermal resources because
a) High heat producing granites are known to exist from regional geological and geophysical mapping. This has been confirmed by the drilling of many petroleum exploration wells and hot water bores where detailed temperature and other geophysical logging has been undertaken.
b) Sediments in the licenses vary from 1 to 2km in thickness and provide thermal insulation. This means that high temperature rocks can be reached using conventional petroleum technology.
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EPG37 – Block Identification Numbers Map
EPG37 – Gravity Map
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EPG37 – Magnetics Map
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2 PERMIT SUMMARY
For the duration of the licence year, licensees for Geothermal Exploration Permit EPG37 were:
Clean Energy Australasia Pty Ltd 100%
The current work program objectives associated with EPG37 can be seen in Table 1.
Table 1 Current work objectives by licence year – EPG37
Licence Year
Licence dates
Work Program Objectives
Year 1 03-08-2009 - Review of existing geological, geophysical and engineering31-08-2010 data.
Reprocess seismic, gravity and magnetic surveys (ifrequired).
Year 2 01-09-2010 -31-08-2011
Conduct and/or reprocess seismic, gravity and magnetic surveys (if required). Review for potential in-fill seismic, gravity and magnetic surveys. Review surface, environmental, heritage and other stakeholders and subsurface data for suitable well locations. Conduct pilot drilling to 500 metres to measure temperature gradient and heat flow-4 wells.
Year 3 01-09-2011 -31-08-2012
Conduct and/or reprocess seismic, gravity and magnetic surveys (if required). Acquire & process 200km new potential field geophysical surveys (eg gravity, magnetics, seismic).Selection of well locations, preparation and requisite approvals for drilling programs and site preparations. Conduct pilot drilling to 500 metres to measure temperature gradient and heat flow-8 wells. Conduct pilot drilling 250-500 metres into basement (total depth 1500 metres)-1 well.Design and plan a demonstration heat exchange and/or process heat flow test.
Year 4 01-09-2012 -31-08-2013
Conduct pilot drilling to 500 metres to measure temperature gradient and heat flow-4 wells. Conduct pilot drilling to 500- 1000 metres into basement (total depth 2000 metres)-2 wells. Drill 1 deep well to 3000 metres. Conduct fracture stimulation on basement to create underground heat exchanger-2 wells. Conduct heat exchange /process heat flow / subsurface communication test on at least 2 wells.
Licence Year 1 concludes on 31 August 2010. The following table displays the work program objectives (after all variations) and the actual work completed up until the end of the current licence reporting period of this report.
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Table 2 Final work program and work completed (as of end of current reporting period) by licence year - EPG37
Licence Year
Work Program Objectives Actual Work
Year 1 Review of existing geological, geophysical and engineering data
Geological, geophysical and engineering data review. Conducted stake holder consultations with landholders and local government, Commenced desktop scoping of geothermal pilot and up scaling to geothermal power plant to supply Longreach
3. SUMMARY OF ACTIVITIES A summary of activities is provided below in designated sections.
Drilling and Related Activities
No drilling activities were undertaken in the licence reporting period. There are no geothermal exploration wells to report
Geophysical / Seismic Data Acquisition
No geophysical data acquisition was undertaken in the licence reporting period
Geochemical, Gravity, Magnetic and other surveys
No survey activities undertaken in the licence reporting period
Geological, Geophysical and Engineering review of data
The main work done in Year 1 reporting period was the detailed review of geological and geophysical data. This work focussed on identifying areas where granitic basement could be encountered at depths around 1-2 kilometres and with temperature gradients of 40-60oC per kilometre or greater.
The geological setting of the EPG is well understood by officers of CEA. Geoscientific data sets were combined to identify likely target areas for detailed temperature modelling and basement mapping. The rocks of interest include the hot sedimentary aquifers of the GAB as well as the underlying radiogenic granites identified and cored in petroleum exploration well Toobrac 1.
Assessment of the geothermal resources of EPG37 is ongoing.
Compliance with Objectives
CEA as Operator for EPG37 has complied with all the agreed objectives for the reporting year.
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CEA has actively pursued geothermal exploration and development objectives with several detailed applications for grant funding have been made to date, as follows;
Queensland Government Renewable Energy Fund (QREF) May 2008 – 5MW geothermal demonstration plant to supply Longreach
Federal Government Renewable Energy development Program (REDP), Application April 2009 – 25MW geothermal power plant for local power supply and for network mitigation of the Longreach and Barcaldine region.
1-2 MW pilot geothermal power project in EPG37 was submitted in round 2 of the Commonwealth Government’s Geothermal Drilling Program in August 2009
Unfortunately all these applications were unsuccessful, due to several factors including perceived high project risk, the infant nature of the Australian geothermal industry, and inadequate policy and funding support from Governments.
Geothermal Energy Usage
No geothermal energy was used or released in the reporting year
Water usage
No water was taken during the reporting year for activities authorised under the permit
Reports
There were no other reports given to the chief executive during the reporting year.
Future Work Program
The work program for Year 2
Licence Year
Licence dates
Work Program Objectives
Year 2 01-09-2010 -31-08-2011
Conduct and/or reprocess seismic, gravity and magnetic surveys (if required). Review for potential in-fill seismic, gravity and magnetic surveys. Review surface, environmental, heritage and other stakeholders and subsurface data for suitable well locations. Conduct pilot drilling to 500 metres to measure temperature gradient and heat flow-4 wells.
Geological, Geophysical and Engineering work, in year 2 will be directed into expanding the prospectivity data base and will include detailed well design and development of a data acquisition strategy. Consultations will be undertaken with local government, landholders, environmental, heritage and other stakeholders for suitable well locations and for geophysical activities
In preparation for following program years, work will be carried out to identify geophysical survey required from ongoing geoscientific and engineering reviews
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such as MT, seismic (reprocessing, infill, etc.), gravity/magnetic. DST and wire-line log data from existing petroleum wells will be examined to determine extrapolated BHT and temperature profiles of the sedimentary and basement rocks.
CEA will continue to pursue both hot rocks and hydrothermal project opportunities that may involve drilling, and/or utilising existing wells. Assessment of geothermal resources will be on going
However, there is concern that future work program objectives, in particular capital intensive field activities such as drilling, may be adversely impacted by the 2008/09 Global Financial Crisis. CEA has sought to meet with Queensland Government officers to seek relaxation of future work program objectives.
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4. EXPENDITURE STATEMENT
Pursuant to Schedule 2 of the Geothermal Exploration Regulation 2005, the expenditure report must separately itemise expenditure in relation to the following, as appropriate;
a) Drilling an exploration bore;
b) seismic surveying;
c) scientific or technical surveying
d) technical evaluation and analysis;
e) cultural heritage survey costs;
f) facility construction and modification;
g) operational and administrative expenses
Please refer to Appendix 1 for the expenditure statement table for the current reporting period. The expenditure statement is decreed commercial in confidence and will therefore be provided separately.