Taller de Geotermica en Mexico Geothermal Energy Current Technologies

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1 Taller de Geotermica en Mexico Geothermal Energy Current Technologies presented by Paul Brophy, President/CEO EGS Inc. Mexico City October 10 th 2011

2 Presentation Topics General Geothermal Discussion Exploration Approaches and New Technologies Current U.S. Geothermal Development areas Caribbean Geothermal Potential

3 Earth Structure and Heat Flow Temperatures in the Earth Temperature Crust Mantle 2,000 km Depth Temperature increase Heat Flow 4,000 C Outer Core 4,000 km 5000 C Inner Core 6,000 km 3

4 Geothermal Resource Types Conventional Hydrothermal (Geothermal) Systems o Liquid/Vapor dominated (electric power) o Direct Use (space heating, industrial processes) Earth Heat Systems o Engineered Geothermal Systems (EGS)(electric power) o Geothermal Heat Pumps (residential heating & cooling) Deep Sedimentary Basins Oil & Gas Wells, Co-production (electric power) 4

5 Hypothetical High-Temperature Conventional Geothermal System 5 Courtesy of Chevron Geothermal

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8 From USGS Circular 1249

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13 Key Exploration Questions What is the Resource Temperature? What is the Resource Depth? What is the Resource Quality? How large is the Resource (Area Extent)? How Productive are the Wells? What are the estimates of Resource Longevity? EGS Inc.

14 Exploration Approach Remote Sensing Data Geologic Mapping and Surface Manifestations Structural Setting Geochemical Sampling and Analysis Geophysical Surveys Exploration Drilling Temperature Gradient/Heat Flow Exploration (Core) Wells Production Well Drilling EGS Inc.

15 Remote Sensing Data Types Multispectral (several relatively broad bands) Hyper spectral (many narrow bands) Thermal Infrared (TIR can be multispectral) Panchromatic (gray scale single very broad band) Radar (microwave) LIDAR (Light Detection and Ranging - laser)

16 Geological Mapping Regional Geologic Mapping Rock Lithology Mapped Faults Rock Alteration Alteration mineralogy Alteration assemblages Duration of Geothermal Systems

17 Fluid inclusions Isotope analyses Tracers Geochemistry Chemical characteristics of: waters, gases, rocks, and soils hot springs, fumaroles, springs etc Geothermometers allows estimation of subsurface (reservoir) temp silica geothermometers cation geothermometers (Na-K-Ca) gas geothermometers

18 Geophysical Techniques Standard: MT, T-MT, TDEM, Gravity Legacy: Dipole-Dipole, tensor Dipole-Bipole Special: VES, AMT, CSAMT, SP, HEM, Airborne magnetics, Precision Ground magnetics, Reflection/Refraction Seismics Development: Microgravity, Microearthquakes, Subsidence

19 Structural Analysis Regional Structural Analysis Regional Seismicity, Stress Field Determinations Geometry of Fracture systems Fault Kinematics Slip Tendency Analysis

20 New Exploration Technologies Exploration Techniques GIS/3D visulization LIDAR Slip tendency analysis He3/He4 Seismic reflection 3D MT Exploration Philosophies Conceptual modelling Blind Deposits

21 3D Visulization Dixie Valley, NV

22 Structural Analysis

23 1700m asl 1600m asl From Cumming and Mackie, m asl

24 Exploration Drilling Temperature Gradient (Heat Flow) Holes historically 300 or 500 ft in depth Increased to 1000 feet Slim (Core) Holes Large diameter core holes for flow testing and resource quality Smaller diameter core holes for resource temperature Designed in upper section to be converted to production well Exploration/Development Wells Sized to be capable of flow testing Sized to be capable of limited production Designed and sized to be converted to production, if successful.

25 Depth (m) Wowie-Zowie #1 Corehole Temperature Gradient Data 0 Temperature ( C) BPDC (pure water) 500 Gradients

26 Depth (m) Wowie-Zowie #1 Corehole Temperature Gradient Data 0 Temperature ( C) BPDC (pure water) 500 Gradients

27 Depth (m) Wowie-Zowie #1 Corehole Temperature Gradient Data Temperature ( C) BPDC (pure water) 500 Gradients

28 Depth (m) Wowie-Zowie #1 Corehole Temperature Gradient Data Temperature ( C) BPDC (pure water) 500 Gradients

29 Depth (m) Wowie-Zowie #1 Corehole Temperature Gradient Data Temperature ( C) BPDC (pure water) 500 Gradients 1000 BHT C 1500

30 Current U.S. Geothermal Development Areas

31 Worldwide Geothermal Resources sedimentary volcanic 16% extensional nonmagmatic 4% oceanic 3% dry steam dry steam 23% andesitic volcanic caldera Brophy, 2008 caldera 3% andesitic volcanic 51% sedimentary volcanic extensional nonmagmatic oceanic

32 Capacity (MWe) U.S. Proportion of World Geothermal Resources U.S. Non U.S dry steam andesitic volcanic caldera sedimentary volcanic extensional non-magmatic oceanic Brophy, 2008 EGS Inc.

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35 MW US Geothermal Forecast to % 4% 5% 6% 34% 48% Note: Source: New Energy Finance 35

36 Geothermal Development in The Caribbean Islands

37 Islands of the Caribbean

38 Regional Tectonics of the Caribbean

39 Volcano and Earthquake Data from the Caribbean

40 Nevis, Your oer skirts show your faults.

41 C.O. Hutton and S.R. Nockholds 1978 of Nevis Petrology 3.4 Mil 0.1 Mil 1.1 Mil 0.98 Mil 1.8 Mil (Absolute age dates added)

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44 Southern Portion of Montserrat

45 Geothermal Development on Montserrat

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