The JV will focus on exploration in the permeable sandstone zones above the granite to depths of approximately 3km. Origin Energy’s existing Innamincka Deeps JV with Geodynamics (operator) focuses on higher temperature enhanced geothermal systems in the deeper granites to around 5km depths in the region.
Grant King, managing director of Origin Energy, said: “The shallows work complements our existing hot rocks project with Geodynamics in the deeps as the Joint Venture continues to explore the potential upside of the vast heat resources in the granite that is considered the most prospective resource of its kind in Australia.
“Exploring the shallows of the Innamincka tenements will allow us to investigate alternative ways of accessing heat resources.”
The initial exploratory work for the Innamincka shallows JV includes the drilling and testing of two slim wells to depths of approximately 2,200mt during the next 12 months at a cost of approximately $10m to assess the viability of geothermal energy production in the shallows.
In addition to its 50% share of project expenditure for the JV, Origin Energy will contribute $4.5m of future project expenditure in exchange for a 20% increase in its interest in the shallows area.
