GRED Program Overview

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Geothermal Resource Exploration and Definition
U.S. Department of Energy Albuquerque Operations
Office
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GRED ProgramGeothermal Resource Exploration
Definition

• Program Management Team
• Dan Sanchez, DOE/AL
• Ed Hoover, SNL
• Norm Warpinski, SNL
• Allan Sattler, SNL
• Ray Fortuna, DOE/HQ
• Funding
• 900,000 FY00
• 2,000,000 FY01
• 1,775,000 FY02
• 3,500,000 FY03 (YTD)
• TBD FY04

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GRED ProgramGeothermal Resource Exploration
Definition

• EE-2C Program Area
• Exploration and Drilling

• Goals and Objectives
• Develop collaborative efforts to support the
  exploration for and definition of new geothermal
  resources
• Mitigate The Initial Risk Of Confirming A
  Reservoir
• Encourage Geographic Diversity
• Effect an increase in the electrical power
  generated from geothermal energy
• Overall Generating Capacity
• Number Of States

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GRED ProgramGeothermal Resource Exploration
Definition

• Program Approach
• Geographic Diversity Focus
• GRED
• New States, New Fields, Extensions
• GRED II
• New States, New Fields
• Promote As Many Awards As Possible
• Require Slim-Hole Drilling
• DOE Cooperative Agreements
• Preferred Contractual Instrument
• Flexibility

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GRED ProgramGeothermal Resource Exploration
Definition

• Scope of Work
• Phase I
• Exploration Work To Site A Test Well
• Geologic Studies, Geophysics, Geothermometry
• Phase II
• Slim-Hole Drilling
• Logging, Core, Short Tests
• Phase III
• Well Testing Reservoir Assessment

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GRED Science and Engineering Areas
Geophysics
Drilling
Phase I Exploration geophysics to determine
optimum location for a test well
Phase II Drilling of a test well to access the
reservoir and evaluate geologic features
Fourmile Hill Temperature Logs (454 Max)
Steamboat Hills Velocity Model
Testing
Assessment
Phase III Testing of the well for reservoir
qualities, flow capacity thermal
characteristics
Potential of the new resource to provide
geothermal power
Lightning Dock Temperature Contours
Rye Patch Testing
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GRED I Site Locations
Fourmile Hill
Blue Mountain
Rye Patch
U-boat
Steamboat
Cove Fort/Sulphurdale

• Rye Patch Presco Energy, LLC
• Blue Mt. Noramex Corp.
• Cove Fort Utah Municipal Power Agency
• Fourmile Hill Calpine Siskiyou Geothermal
  Partners
• Steamboat SB Geo, Inc.
• U-Boat Coso Operating Unit (Caithness)
• Lightning Dock Lightning Dock Geothermal, Inc.

Lightning Dock
NV UT CA NM
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GRED I ProgramGeothermal Resource Exploration
Definition

• Rye Patch
• Presco Energy, LLC
• Completed Phase II III
• Accomplishments
• Well Drilled To 643 m
• Intermediate Limestone Target
• Polyurethane Foam Treatment
• Successful Flow Testing
• 6 Hour Test
• 150C Fluid
• 2,000,000 lb/hour

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GRED I ProgramGeothermal Resource Exploration
Definition

• Steamboat
• S.B. Geo, Inc.
• Completed
• Phase II III
• Accomplishments
• 2 Wells Drilled
• 610 m
• Cored From 235 m to TD
• 297 m
• Cored From 152 m to TD
• Temperatures Comparable To Other Nearby Wells
• Testing Recently Completed

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GRED I ProgramGeothermal Resource Exploration
Definition

• Blue Mountain
• Noramex Corp.
• Completed Phase II
• Beginning Phase III
• Accomplishments
• Successfully Drilled
• 650m Well
• 150 C Temperature

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GRED I ProgramGeothermal Resource Exploration
Definition

• Fourmile Hill
• Calpine Corporation
• Completed Phase I
• Accomplishments
• Temperature Gradient Well Completed
• 1346 m Depth
• 230C Maximum Temperature
• Phase II Work Ongoing

Fourmile Hill Temperature Survey
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GRED I ProgramGeothermal Resource Exploration
Definition

• Cove Fort/Sulphurdale
• Utah Municipal Power
• Agency
• Completed Phase I II
• Accomplishments
• Magnetic Resisitivity Surveys Completed
• Several Possible Targets
• Well Drilled To 598 m
• 157 C Temperature
• Complicated Geologic Structure

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GRED I ProgramGeothermal Resource Exploration
Definition

• Lightning Dock
• Lightning Dock, Inc.
• Completed Phase I
• Beginning Phase II
• Accomplishments
• Completed Geophysical
• Surveys
• Aeromagnetic
• Gravity
• Resistivity
• Seismic
• Targeting Well
• Site In Complex
• Structural
• Environment

Lightning Dock Gravity Magnetic Survey Results
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GRED I ProgramGeothermal Resource Exploration
Definition

• U-Boat
• Coso Operating Unit
• Completed Phase I
• Accomplishments
• Completed
• Geophysical Surveys
• Gravity
• Microseismic
• Seismic
• No Phase II Planned

MEQ Seismic Gravity
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GRED II ProgramGeothermal Resource Exploration
Definition

• Second Round Program (GRED II)
• Focus On Non-Producing Sites
• Solicitation issued, April 2002
• Solicitation closed, June 2002
• Financial Assistance Awards, September 2002
• 7 Successful Projects
• 5 States
• All Non-Producing Sites

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GRED II Site Locations
Animas Valley, NM Raft River, ID San Francisco
Mt., AZ Arnica Sink, CA Truckhaven, CA Blue Mt,
NV Fly Ranch, NV
AZ CA ID NM NV
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GRED ProgramGeothermal Resource Exploration
Definition

• Conclusions
• Successful GRED I Program Is Nearly Complete
• 7 Projects Funded (4 States)
• 5 Projects Should Progress Through Phase III
• Significant Potential In These 5 Sites
• GRED II Initiated
• 7 New Projects Funded (5 States)
• Overall Program Is Successfully Encouraging New
  Exploration Reservoir Confirmation