Geothermal players continue to spill red ink

The pre-revenue status of the geothermal industry was underlined again this week with two key industry players both reporting interim losses.
During the six months to 31 December 2011, Adelaide-based Petratherm has announced a loss of $897,662, while Brisbane’s Panax followed with a $1.08 million loss.
Despite the loss, Petratherm claims to have achieved two major project milestones at its flagship Paralana Project, namely a highly successful fracture stimulation to construct the sub-surface heat exchanger and flow testing of the Paralana 2 well.
An updated Independent Resource Statement prepared by experts in geothermal assessment, Hot Dry Rocks, showed a total estimated recoverable resource is 38,000 PJth.
Petratherm has unveiled the concept of a Clean Energy Precinct around its Paralana project in outback South Australia, with plans to deliver 600 MWe of power (through a combination of gas, wind, solar and geothermal) to the large growth market in electricity driven by mining developments in the north-west of South Australia.
In Spain, the Company was successful in a joint bid with several Spanish research Institutions to secure $1.07 million in Spanish Federal government subsidies for geothermal exploration programs on the Canary Islands.Panax, meanwhile, continues to develop its main project in Penola in the south-east of South Australia.