Origin Energy withdraws from Innamincka JVs with Geodynamics
Origin Energy will withdraw from the Innamincka Deeps and Innamincka Shallows Joint Ventures with Geodynamics in Australia effective June 30, 2013.
Australian Geodynamics announces that Origin Energy (ASX: ORG) has advised the company, “that it will withdraw from the Innamincka Deeps and Innamincka Shallows Joint Ventures effective 30 June 2013.”
This is “subsequent to (Origin Energy’s) decision in August 2012 to cease funding their joint venture share of the costs to complete the Habanero-4 well, and earlier decision not to participate in the proposed FY2013 Work Program and Budget to complete the testing program and trial operations of the 1 MW Habanero Pilot Plant at Innamincka.
Mr Geoff Ward, Managing Director and Chief Executive Officer of Geodynamics said, “I would like to thank Origin for their contribution since joining the joint venture in 2007. The support they have provided has allowed Geodynamics to significantly progress the development and demonstration of an Enhanced Geothermal Systemin Australia. With the successful completion of the Habanero-4 well in September 2012 we have demonstrated one of, if not the, highest productivity EGS tests performed in the world achieving a significant improvement on earlier well results. We look forward to the successful trial operation of the 1 MW Habanero Pilot Plant, commencing in April, continuing these positive results.
The development of EGS geothermal resources in Australia remains a long term challenge requiring significant capital investment and extension of infrastructure; however we remain convinced that these resources will play a material role in Australia’s long term
energy economy as a reliable supplier of large scale, continuous, predictable, controllable energy.”
Source: Geodynamics Press Release (pdf)