Adrian Larking, Managing Director
26 November 2007
Green Rock Energy Limited
Annual General Meeting
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Disclaimer
The information contained herein must be treated as confidential by the intended recipient. This document must not be passed onto any person without written permission from Green Rock Energy Limited.
Green Rock Energy Limited has taken reasonable care in producing the text and images contained in this presentation but does not warrant that the information contained herein is accurate or up to date.
The information on these slides is based on publicly available information, internal data and information from other sources. It is not intended to give investment or other advice to anyone and the information is not a substitute for detailed investigation or analysis.
Green Rock Energy Limited will not be responsible for any loss or damage (direct or indirect, consequential or otherwise) resulting from the use of information provided in this presentation.
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Green Rock Energy Ltd - Corporate Overview
Australian company, listed on Australian Stock Exchange (code “GRK”)
Market Capitalisation: – A$19.2 million
Options – 40 million options– 10 cents (April 2008)
Shareholders – 2,200 – Top 20 (34%)– Directors (7%)
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Green Rock Energy Ltd - Business Overview
Developer of commercial geothermal energy projects
Long life resources supplying long life markets
Australian Geothermal Projects (100% interest)
Hungarian Projects (32% interest)
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Geothermal Energy - Recovering the Earth’s Natural Heat
1. Hot Water – in natural reservoirs – known as “Conventional ” or “Hydrothermal” systems
2. Hot Rocks (EGS)– Hot Dry Rocks
Geothermal Resources
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Geothermal Energy- Why geothermal energy?
Conventional Geothermal Energy technology is well proven
Advantages of Geothermal Energy Varied uses – electricity, direct heat applications Renewable energy – access to carbon credits Domestic source of energy Base load, long life, power source – high availability >95% 50,000 times energy of known world oil & gas reserves (US Dept Energy) Technology driving costs down c.f. fossil fuel prices increasing Attractive to green/ethical funds
Sub-surface Tasks Both Conventional & EGS - sustainable water circulation flow rate EGS - fracture stimulation to create a large underground reservoir
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OD Geothermal Energy Project (100%) Location (2,899 km2)
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OD Geothermal Energy Project Past Activities
Blanche No1 well– Sited 5km from power grid on seismic line
– Drilled, cored & logged to 1,935m
In-situ stress analysis (CSIRO)
Temperature measured beneath & around mine
Well production capability (GeothermEx)
Confirmed– Suitable temperatures in granite host
– Extensive volume of homogeneous granite
– Large potential resource
– Likely horizontal flow direction
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OD Geothermal Energy Project Evaluation & Development Phases
2008– Mini hydro-fracture of existing
slim hole well– Design first of two deep wells– Drill 1st production well– Fracture stimulate 1st well
2009– Drill 2nd production well– Fracture stimulate 2nd well– Flow test fractured reservoir
2011– 3 to 5 MWe Pilot Power Plant
2013– +20 MWe modular plants
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OD Geothermal Energy Project Comparison with other EGS Projects
Project ownership 100% by Green Rock Energy Ltd
Site location Next to power demand and transmission grid
Potential resource Drilled into hot granite and confirmed temperatures
Establish water circulation Water supplies Adequate water for flow circulation & cooling
Infrastructure Roxby Downs township and services
Connection to electricity grid 10kms from grid
Scaled development Immediate access to market
Experience Conventional & EGS (above & below ground)
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Patchawarra Project (100% interest) Location (1,483 km2)
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Patchawarra Project Location selection
Patchawarra Trough, Cooper Basin geological formations prospective for hot geothermal water
Prospective aquifers reach a thickness in excess of 1,200m at depths in excess of 3,000m
To be evaluated and developed in conjunction with the construction of an electricity distribution network connected to the Cooper Basin
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Upper Spencer Gulf Project (100% interest) Location (1,938 km2)
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Upper Spencer Gulf Project Location Selection
6 geothermal exploration licenses & two applications
Early stage of evaluation of the granites for EGS
Evaluating direct use of geothermal heat source for a desalination plant
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Green Rock Energy Ltd - Projects
Hungary Geothermal Energy Project
(32% interest)
Hungary Geothermal Energy ProjectWhy Hungary ?
Good resource potential – high regional heat flow – hot waters intersected in drilling
Extensive database
Supportive legislative regime – attractive feed in tariff pricing
€90 /MWh (c.f. Australia: A$50/MWh)
– guaranteed access to market
Member of European Union
World Bank backed risk insurance
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Hungary Geothermal Energy ProjectJoint Venture (32%)
Joint Venturers MOL - a major Hungarian oil & gas company Enex hf - a major Icelandic geothermal operating
& consulting company Green Rock Energy Limited
Scope Testing of existing hydrocarbon wells or new wells Generate a pipeline of geothermal projects >100 MW electricity + direct heat capacity
1st Site drilled Suspended (usable for direct heat)
Currently selecting 2nd & 3rd sites
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Summary
Commercially driven company A renewable energy that provides continuous energy Evaluation and development approach minimizes risk Ability to develop projects in stages Both Conventional & EGS geothermal projects In a market that will only get more focus International geothermal experience New incentives announced by governments
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THANK YOU