Proactiveinvestors recommends

Additional Information

Market:	ASX
Sector:	Alternative Energy
EPIC:	PAX
Latest Price:	0.01 (-10.00% )
52-week High:	0.03
52-week Low:	0.01
Market Cap:	4.11M

1 year chart

1 day chart

Panax Geothermal

Panax Geothermal (ASX: PAX)has near term geothermal projects in Indonesia and is also pioneering conventional geothermal technology in Australia along with projects in India.

Panax Geothermal meets all criteria for $7 million Government grant for Tirrawarra Project

Thursday, August 13, 2009 by Proactive Investors

Panax Geothermal (ASX: PAX) has met all of the required criteria under the Department of Resources, Energy and Tourism guidelines for a $7 million grant for the Tirrawarra Geothermal Project.

Panax’s application will now proceed to a full merit assessment.

The Tirrawarra Geothermal Project is characterized by the existence of a Measured Geothermal Resource totaling 11,000 PJ – one of only three such geothermal resources in Australia.

And two of these are owned by Panax.

In addition to the Measured Geothermal Resource, the Tirrawarra Project also has a substantial Indicated Geothermal Resource, amounting to an estimated 30,000 PJ.

Tirrawarra also benefits from secure access to a firm drilling rig slot with Weatherford International Drilling – including the availability of 2 suitable drilling rigs that would be able to be utilized for the Tirrawarra Geothermal Project.

Tirrawarra is a Hot Sedimentary Aquifer (“HSA”) Project which has a low risk and fast development profile. The low risk attributes relate to the focus on producing hot water from an existing reservoir. The fast development timeline is as a result of the fact that the initial reserves can be established on completion of the first well.

Panax’s initial focus is on developing small to medium plants for generating base-load power to replace local high cost diesel power currently used for oil/gas production and transport (pumps and pipelines, compressors etc) in the nearby Moomba region.

This is despite the current Measured Resource being sufficiently large size for the generation of zero-emission base-load power.

Aiding the cause, Panax has an extensive data base of information on the Tirrawarra tenement, including logs of more than 100 petroleum wells as well as extensive 3D seismic cover. Target temperatures are in the range of 155OC to 160OC, at depths of 2,750 metres to 3,500 metres. The highest recorded downhole temperature in the tenement is 157OC at 2,919 metres.

As a result of these factors, much of the exploration risk has been eliminated, a legacy of previous oil and gas exploration and development.

No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.