ADX Energy (ASX:ADX) strikes a deal with Siemens Energy & RED Drilling

Highlights

  • ADX Energy has entered into an agreement with Siemens Energy and RED Drilling & Services GmbH (RED) via its wholly-owned Austrian subsidiary, ADX VIE GmbH.
  • Engineering, planning and procurement work is expected to commence during October 2021.

Oil and natural gas exploration Company ADX Energy Ltd (ASX:ADX) shared today that it has signed an agreement via its wholly-owned Austrian subsidiary, ADX VIE GmbH, with Siemens Energy and RED Drilling & Services GmbH (RED). The said agreement is related to developing a small-scale demonstrator plant utilising a closed system CO2-based geothermal power generation technology at an existing well site.

The announcement stated that the Pilot Project aims to provide the proof of concept of this alternative geothermal energy conversion technology, including improved efficiencies in generating electricity compared to conventional geothermal systems. In addition, by using the existing geothermal well, the trio aims to develop know-how in the area of reuse concepts for discarded boreholes and reservoirs.

Engineering, planning and procurement work is expected to commence during October 2021.

In this Pilot Project, ADX’ role will include: to provide overall project management, execute all subsurface aspects of the project including engineering, geological analysis, operational planning and implementation, collect all required regulatory permits and agreements concerning the Pilot Project and the use of the test well.

According to the announcement, Siemens Energy is responsible to provide process efficiency analysis, thermodynamic engineering, and plant parameters to examine the system in a geological reservoir setting. While the other party in the agreement, RED, will provide the required well workover operations services and conduct well performance monitoring on behalf of the Parties.

Bottom Line:

The Pilot Project will likely impart ADX with enhanced knowledge, experience and reliability to develop and deploy fitting geothermal power generation technologies on a vast scale in ADX’ operated Austrian licenses and other Central European jurisdictions.

Comment


Disclaimer

Ad

GET A FREE STOCK REPORT


Top Penny Picks under 20 Cents to Fit Your Pocket! Get Exclusive Report on Penny Stocks For FREE Now.


   
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it. OK