Torrens Energy’s application for support of Drilling Fund not successful

Alexander Richter 22 Apr 2009

Australian Torrens Energy's (ASX:TEY) application for Round 1 of the Australian Government's Geothermal Drilling Program was not successful.

Reported via RWE Equity Business News Service, it was announced that Australian Torrens Energy’s (ASX:TEY) “application for Round 1 of the Australian Government’s Geothermal Drilling Program did not meet the broad range of merit criteria, and was therefore not awarded.

Whilst no one factor was singled out, project timing may have played a significant part as, in comparison, the successful applicant projects are significantly more advanced.

Round 2 applications are expected to open mid 2009.

Torrens said it was encouraged by the continuing support of the Commonwealth Government for meeting the challenges of deep geothermal drilling, which the GDP aims to support by providing matched grants of up to $7m per project through to proof-of- concept.

Torrens Energy will press on expeditiously with definition of drill-ready targets at its promising geothermal sites, which are located in proximity to the national electricity grid.

“We are confident that our current plans to advance our geothermal projects will give the company a stronger chance of meeting the eligibility criteria for Round 2,” executive director John Canaris said.”

Source: iStockAnalyst