Near magma geothermal Presentation to Geoenergi 2015 02.09.2015 - PowerPoint PPT Presentation

Near magma geothermal Presentation to Geoenergi 2015 02.09.2015 Sturla Sæther Classification: Internal 2012-06-01

Geothermal in general - Large untapped potential  Characteristics  Deployment/potential  Barriers  Policy step-up  Renewable, baseload, low  Only 12 GW installed  Access to  FITs  Risk mitigation funds cost capacity resources  Resource potential: Japan,  Hydrothermal potential:  Risk profile  Improved access 1000 – 2000 GW  Long lead time  Exploration/drilling Indonesia, US/California,  EGS potential: 5100 – Mexico, East-Africa support from 12800 GW (0-5 km) authorities  Technologies:  Access to survey  Moderate outlooks: - Conventional data  R&D incentives - Enhanced Geothermal - IRENA 2030: 32 GW Systems - BNEF 2040: 28 GW - HTHP (Near magma - IEA NPS 2040: 56 geothermal) GW 2015-06- Clas 2 10 sifica

LCOE [$/MWh] by Bloomberg 3 Classification: Internal 2012-06-01

Technologies for geothermal power production Electrical production potential from ONE well Production 3-6MW 4-15MW 3-8MW 30-50MW per well 4 Classification: Internal 2012-06-01

Potential for near magma geothermal 5 Classification: Internal 2012-05-02

Opportunities in near magma geothermal • High temperature wells close to magma may provide high production rates per well and long lasting reservoirs by heat influx from magma plumes. • High power production efficiency • Deep geothermal projects may be competitive without economic incentives and political support mechanisms. • Geothermal is a renewable energy source with base load characteristics. • Exploitation of near magma geothermal resources energy may be applicable for resources on-shore and on the longer term Source: IDDP, Iceland also off-shore. 6 Classification: Confidential 02.10.2013

Significant R&D required • Deep geothermal reservoir close to magma a new topic − Limited experience so far • Reservoir conditions and permeability • Reservoir productivity and stability • Well design with respect to high temperatures • Challenging fluids characteristics • Scaling and corrosion to be handled • Top side heat transfer - Geothermal fluid/clean binary circuit 7 Classification: Internal 2012-06-01

Synergies with Oil and gas core competencies 8 Classification: Internal 2012-06-01

Simplified near magma geothermal 9 Classification: Internal 2012-06-01

Summary • High production rates per well • Long lasting reservoirs by heat influx from magma plumes • High power production efficiency • Extensive R&D needed 10 Classification: Internal 2012-06-01

Thank you ! Questions? 11 Classification: Internal 2012-06-01