Eco Innovator November 2011

Milestones

New World Energy in WA and Philippine Geothermal Projects

Perth based unlisted geothermal energy developer New World Energy Limited has entered new projects in WA and the Philippines.

In WA, New World Energy and listed fellow WA geothermal explorer Green Rock Energy are to merge their geothermal exploration permits in the Mid West region of the state, with each company acquiring 50 per cent interest in the other company's permits and contributing equally to project funding.

Green Rock will operate the joint venture, which will seek to establish a grid-connected geothermal demonstration project.

"This mutually beneficial joint venture will create a single entity with access to the best geothermal areas in WA that are adjacent to transmission infrastructure and major baseload energy markets," said John Libby, managing director of New World Energy. It will also allow both companies to pool their technical and financial resources and be more cost effective.

Green Rock's managing director Richard Beresford said "Green Rock considers the Mid West Geothermal Power Project a strong contender for State and Commonwealth funding towards drilling the first two wells. Working jointly with New World Energy further strengthens our prospects and we look forward to further progress on funding over the next few months."

In the Philippines, Geoenergy Inc, a 40 per cent subsidiary of New World Energy, is to acquire five high-potential geothermal projects. New World Energy said this will underpin its strategy of building a portfolio of high-quality, Asian geothermal projects in the "ring of fire" region, which has over 30 per cent of the world's geothermal electricity production.

The most advanced project is the Mabini geothermal project in southern Luzon, where the company is targeting a 20 MW development. Geoenergy is planning to drill the first test well in 12 to 18 months.

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New World Energy’s (in blue) and Green Rock Energy’s (in red) exploration tenements in the Mid West of WA are contiguous.

Geoenergy has the right to acquire up to a 70 per cent interest in the Mabini Geothermal Service Contract in consideration for funding the completion of one exploration well. New World Energy will earn a 68 per cent economic interest in Mabini under agreement with Geoenergy and its partners.

At 190°C Mabini is a moderate temperature geothermal system with an Inferred Geothermal Resource of 27 MW and a 25 year life.

The other four projects are also in the southern Luzon region and have strong indications of geothermal systems being present. Geoenergy said it will aggressively explore these projects once they are granted by the Philippines Department of Energy.

"The Philippines is the world's second largest producer of geothermal energy and has considerable remaining potential," said Mr Libby. "We will utilize the country's skilled geothermal workforce and operate within its proactive Renewable Energy Act, which provides generous incentives to encourage investment in renewable energy projects."

Geoenergy is a partnership between New World Energy, Filippino geothermal drilling and development experts Filtech Energy Drilling Corporation (FEDCO with 30 per cent, and local renewable energy company PhilCarbon Inc with 30 per cent.

"Having now established ourselves in the Philippines, New World Energy will use the country as a launching pad into the rest of the Asia region which is undergoing a clean energy revolution, particularly since the Fukushima nuclear incident, said Mr Libby.

New World Energy is a geothermal energy exploration and development company focused on Australia and Asia-Pacific. It is the largest geothermal energy landholder in WA with permits covering prospective areas in the Pilbara and Mid West regions.

 

 

 

 



 





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