Geothermal power in Australia

The 30 MW Paralana project is located adjacent to the Beverley Uranium Mine. It is an enhanced geothermal system (EGS) project, based on Petratherm’s "heat exchanger within insulator" model.[5]

A 25 MW Cooper Basin demonstration project to assess the potential of hot-rock geothermal energy for zero-emission, base-load power was commenced by Geodynamics. However, the project was abandoned after being assessed as uneconomic due to a combination of the cost of commercialising generation and the remoteness of the site.

"The technology worked but unfortunately the cost of implementing the technology and also the cost of delivering the electricity that was produced to a market was just greater than the revenue stream that we could create," Geodynamics chief executive Chris Murray said.

Professor Martin Hand ran the South Australian Centre for Geothermal Energy Research at the University of Adelaide said, "I think it was talked up too much — it's a very nice concept on the front page of a newspaper, looks very easy to do, and I think it was over-spruiked”

Geodynamics is no longer exploring geothermal power and is instead looking at other green energy initiatives. It has therefore changed its name to ReNu Energy and changed its ASX code to RNE.

The Jurien-Woodada project, owned by New World Energy Limited, is the most advanced geothermal play in Western Australia for electricity production. The project is adjacent to transmission infrastructure and large resource-driven energy markets in the mid-west region. The project area has the potential to contain both hot sedimentary aquifer and EGS styles and is being assessed for delivery of electricity into Western Australia's South West Interconnected System.

The Penola Project is part of Panax’s Limestone Coast Project and is the largest of only four known Measured Geothermal Resources in Australia. An independent assessment has estimated the geothermal resource potential at 11,000 petajoules.

The Penola Project has an extensive database with 28 petroleum wells. The deepest petroleum exploration well is approximately 4,000 metres and intersects more than 1,000 metres of the target reservoir, the Pretty Hill Sandstone.

Panax’s Salamander-1 well, drilled in 2010 is the first deep geothermal well drilled in the Otway Basin. It was completed in record time and is the first to demonstrate conventional geothermal technology in Australia. First steam was produced and the well-testing programme was also completed on the project in 2010.

The Salamander-1 well met its primary objectives. At 4,000 metres projected geothermal temperatures were exceeded by more than 10°C and target reservoir rocks met the requirements for the development of a geothermal demonstration plant. An in-house pre-feasibility study found the project has the potential to generate power at $83 per megawatt hour, which is cheaper than wind power. Complications with the well were found during well-testing. Reservoir engineers have been engaged to examine the well and carry out remediation works.

Panax a conventional geothermal technology in Australia with its Salamander-1 well and is securing funding from the Australian Federal Government to progress the Penola Project.