Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: benwood who wrote (29183)	5/2/2005 8:30:30 PM
From: mishedlo	Read Replies (1) \| Respond to of 116555

GEOTHERMAL HOT ROCK BREAKTHROUGH IN WELL SUCCESS There should be great excitement in the Geodynamics (GDY) camp following a major breakthrough with the first HFR (hot fractured rocks) geothermal flow in Australia. Chairman Dr Bertus de Graaf has told shareholders that like never before, global attention is focused on burgeoning demand for electricity and the unsustainable increase in fossil fuel power generation with alarming growth in greenhouse gas emissions. Energy analysts believe the potential in the hot rocks source seems limitless and is an emerging clear alternative to oil. The company last week disclosed that the Habanero-2 well flowed for 40 hours continuously at a controlled flow rate of up to 15kg/sec. Geodynamics reported that the clean-up flow and commissioning tests in preparation for the Diagnostic Flow Test have been completed with great success. Geothermal brine temperatures reached 198.5 degrees celsius, which is in line with modelling studies (flow rate and time). Higher temperatures will be reached during the two-week Diagnostic Flow Test, now scheduled to start early next week. Massive amounts of steam and hot brine were released from the overpressured reservoir, with noise levels approaching 120 decibels (similar to that of a jet engine). Habanero-2 produced up to 10MW thermal power during the test. The completed test has confirmed that the highly overpressured target hot granites of the Cooper Basin have the potential for generating large scale, zero emission power. As such, the Geodynamics team is looking forward to the next steps in the testing program. Geodynamics Ltd is a company exploring Hot Dry Rock Geothermal Energy. In Australia, unlimited sources of energy are stored in high heat-producing granites. HDR geothermal processes have the potential to tap this energy and place Australia in a unique position. Geodynamics has two HDR geothermal tenements in the Hunter Valley in New South Wales and two in South Australia's Cooper Basin. It aims to be the largest renewable energy producer in Australia by developing base load electricity generation from geothermal sources. The company has already completed a successful "Stage One" hydraulic stimulation phase of its Cooper Basin hot rock geothermal electricity project. The company said results exceeded all expectations. Total volume of target hot granites hydraulically stimulated (stimulations 1 and 2) is four times larger than expected (0.7 cubic kilometres actual vs 0.15 cubic kilometres expected). Temperatures of 250 degrees have been confirmed at depths of 4,400 metres in the target granites. The company is one step closer to achieving its goal, namely the economic extraction of heat from the known hot granites. As a consequence, it says the achievements to date have significantly reduced the overall risk of the Cooper Basin hot rock geothermal project. Geodynamics also announced settlement of its acquisition of Kalina Cycle power generation technology with the payment of $3 million and the issue of 3 million shares to Recurrent Resources LLC. The Kalina Cycle Technology is a proven, established and patented process. It is a thermodynamics cycle which substantially improves the efficiency of conversion of heat to power for generation of electricity. Geodynamics has acquired exclusive technology transfer rights to KCT in Australia and New Zealand, and is a non-exclusive sub-licensee for all other countries. To realise the opportunities for licensing of, building and equity participation in KCT generating plants, a new division has been formed, known as Geodynamics Power Systems.