Earths Energy Limited (ASX: EE1) (Earths Energy or Company) is pleased to announce that it has expanded the scope of its initial techno-economic assessment to include a comprehensive feasibility study for its Paralana and Flinders West projects in South Australia.
This decision follows a review of the Company's project data and status by GLJ Ltd (GLJ), a recognised global energy leader in geothermal project evaluation and assurance.
HIGHLIGHTS
- A preliminary review of EE1's Paralana and Flinders West projects has been carried out by GLJ, as announced previously1
- o Paralana and Flinders West Projects are among Australia's most advanced geothermal projects. To date, $40m has been spent on study and fieldwork (including drilling) by previous project owners; and
- o Preliminary reviews by GLJ of this data have demonstrated potential to include a feasibility analysis of both geothermal energy production and carbon capture capabilities within the scope of the evaluation.
- The Company has now commissioned GLJ to deliver a Techno-Economic Feasibility Study (TEFS), to be finalised by December 2024, which will comprise
- o Detailed analysis of various geothermal extraction technologies, reservoir simulations, cost estimation for well design and surface facilities, and economic models; and
- o Evaluation of potential synergies between geothermal energy production and carbon capture utilisation and storage technologies.
1 See ASX announcement 16 July 2024
Josh Puckridge, Earths Energy CEO, commented:
"We are excited to scale the study of our geothermal projects in South Australia to include a more comprehensive feasibility study, including the evaluation of both geothermal opportunities and carbon sequestration. We anticipate this study will assist us to develop a clear path to maximising both energy production and the potential for the integration of CCUS technologies, to deliver on our vision of green baseload power production that contributes meaningfully to Australia's energy transition. Earths Energy is committed to advancing these projects swiftly, leveraging the expertise of GLJ and our experienced team."
Greg Owens, GLJ Vice President, New Ventures and Technical Services, commented:
"With expertise in conventional and emerging geothermal technologies, the GLJ team provides valuable advice on geothermal projects to help understand and leverage the latest advancements in geothermal extraction technologies from Enhanced Geothermal Systems (EGS) to Advanced Geothermal Systems (AGS). GLJ is recognised as a global leader in Carbon Capture Utilization and Storage (CCUS) evaluation. Our preliminary review of Earths Energy's projects in South Australia gave us confidence to embark on a techno-economic feasibility study and we look forward to working with Josh and his team to deliver this in a timely fashion."
EXPANDED SCOPE OF FEASIBILITY STUDY WORK
As previously announced on 10 July 2024, Earths Energy's South Australian projects, Paralana and Flinders West, are Australia's most advanced geothermal projects, with more than $40 m spent to date on fieldwork and studies by previous project owners. The Paralana Project, drilled to 3,685 metres with a bottom hole temperature of 171°C, has shown a thermal gradient of 46°C per km, significantly above the Australian average. Meanwhile, the Flinders West Project has demonstrated a high geothermal gradient of over 43°C per km, confirming its potential for commercial geothermal power production.
In the ASX announcement dated 16 July 2024, EE1 informed the market of GLJ's appointment as a technical advisor and highlighted GLJ's extensive experience in geothermal and CCUS technologies.
Initial reviews by GLJ have demonstrated significant potential for both geothermal energy production and carbon capture capabilities at Paralana and Flinders West. Given these findings, the Company has engaged GLJ to undertake a more comprehensive Techno-Economic Feasibility Study.
