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Petratherm receives US$1.3 million grant to progress Paralana drilling campaign

Paralana 2 Well Injectivity Test in January 2011 showing some hydraulic pumps (left) and Coil Tubing Unit (right) (source: Petratherm, June 2011)
Alexander Richter 6 Sep 2011

Australian Petratherm receives US$1.3 million drilling grant to assist in the preparatory work for the drilling of the Paralana 3 well.

Reported this morning from Australia, developer “Petratherm (ASX: PTR) has received a major funding boost with the Commonwealth Government agreeing to bring forward $1.2 million of Geothermal Drilling Program (GDP) grant monies by six months, which will assist in the preparatory work for the Paralana 3 well.

Petratherm has been allocated a $7 million GDP grant for the Paralana joint venture project from the Commonwealth’s Australian Centre for Renewable Energy (ACRE).
The joint venture partners are Beach Energy and TRUenergy.

A total of $4.2 million of the GDP grant has already spent under the for drilling and fracture stimulation of the Paralana 2 well.

The remaining $2.8 million was originally allocated to be paid for activities once spudding had commenced of the Paralana 3 well.

By bringing the $1.2 million forward, this will assist in the design of the Paralana 3 well, securing long lead plant items and to secure a drilling slot.

The company’s 69% share of the grant monies will complement the $2.3 million in funds raised under the recent placement and share purchase plan currently underway.”

Source: Proactive Investors