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GEOTHERMAL
Renewable resource
Content
1. Geothermal Energy
2. Geothermal Energy utilization
3. Open projects
4. Work flow
5. Cooperation proposal
1. Geothermal Energy
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Geothermal energy is heat energy from core of the Earth
Earth core estimated temperature is 5000 to 7000°C in the middle
1. Geothermal Energy
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Geothermal energy heats meteoric water which is stored in underground
reservoirs or comes out on the surface in form of heat water wells or
geysirs
1. Geothermal Energy
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Average geothermal gradient is 25°C per km. In some areas the
geothermal gradient has higher values ranging 50-60°C per km or more
At this places the Earth crust is thinner and heat rises to larger extent
Earth crust has 20-65km in depth (0.3-1 % of Earth radius) in
continental areas
Those places are suitable for building geothermal power plants which
utilizes heat and changes it to electricity
First geothermal power plant was built in 1904 in Lardello, Italy
USA, Philippines, Mexico and Indonesia are main geothermal electrical
power producers
1. Geothermal Energy
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The electrical power produced by geothermal power plants in European
Union is considered as renewable source of energy and electrical
distribution companies are obliged to connect power plant to the
electrical distribution network
Geothermal power production is subsidized by European Union in form
of favorable purchase price compared to non renewable electricity
sources
Purchase price varies country-by-country and it is on the level of 150191 Euro per 1 MWh
Geothermal energy in reasonable quantities for Electricity production is
available only in some of the areas in European Union
2. Geothermal Energy utilization
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To utilize geothermal energy a medium is necessary. The major split
between geothermal systems is whether this medium is excavated from
Earth in form of hot water/steam or injected from above the ground
Traditional systems uses underground water/steam
Historically, first usage of geothermal energy for Electrical energy
production was in places where hot steam was available in
temperatures ranging about 200°C and more
Latter, systems with lower temperatures are used with temperatures
about 120°C
Today’s systems can work with temperatures ranging down to 95°C
2. Geothermal Energy utilization
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Newest systems use Hot dry rock where a working fluid is injected into
man made underground hole where hot are provides heat
Working fluid is then used directly or indirectly to run the turbines and
produce electricity
After using heat from working fluid the working fluid is re-injected back
to same place and heated again
Theoretically, this form of Geothermal energy utilization can be used
nearly anywhere at the World with wells deep enough to provide
substantial heat
Limiting factor with Hot dry rock is price of wells and geological
underground formations
2. Geothermal Energy utilization
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The geothermal power plant uses production well(s) to excavate steam
and injection well(s) to return used water back to the ground
2. Geothermal Energy utilization
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In most cases straight use of underground steam is not feasible
Usually, steam heats working fluid which has lower boiling point than
water-organic fluid
Working fluid circuits in closed circle through turbine which rotated the
generator and produces electricity
2. Geothermal Energy utilization
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Economically reasonable geothermal power plants starts with output
power of cca. 4MW and higher
ORC – Organic Ranking Cycle technology that uses working fluid can
work from 95°C but reasonable temperatures starts at 120°C
The output water has temperature of cca. 65°C and requires additional
cooling before re-injection back to the ground
For additional cooling the glass houses heating, spa’s or
residential/industrial heating is used
Geothermal power plant is stable resource of energy without variations in
output power
It can run remote without personnel on the site
2. Geothermal Energy utilization
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Geothermal power plant runs at least 8000 hours per annum
Maintenance interval estimation is 30 days per annum
Geothermal power plant estimated lifetime is determined by size of
underground reservoir and speed at which re-injected water influences
it
Lifetime of heat exchanger is determined by quality of excavated
water/steam
Geothermal power plant The Geysers worked with original turbine from
1960 until 1990. The power plant is still in operation.
Estimated industry lifetime of geothermal power plant is 30 years
2. Geothermal Energy utilization
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Geothermal power plant operational costs includes cost for cooling,
electricity costs for running technology on the site, costs for changing
water quality, legal fees to the government etc.
This costs are minimal compared to the revenue and usually they relate
between 5-15% depending on technical factors like quality of the water
High gross margin provides fast return of the investment and viable
solutions for financing via externals sources – banks
3. Open projects
Location 1
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Located in central Slovakia, 166km from Bratislava
Favorable geological conditions proved by extensive geological
research including drilling
Expected water temperature min. 120°C at 2500 meters
Maximum output power considered at location 20MW
Organic Rankin Cycle proposed
Option to heat whole valley (cca 30000 inhabitants) with waste heat
after electricity production
Option to heat industrial zone nearby
Highway to Bratislava
3. Open projects
Location 2
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Located in central Slovakia, 183km from Bratislava
Favorable geological conditions proved by extensive geological
research
Expected water temperature min. 120°C at 2200 meters
Maximum output power considered at location 7MW
Organic Rankin Cycle proposed
Option to heat city after electricity production
3. Open projects
Location 3
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Located in central Slovakia, 191km from Bratislava
Favorable geological conditions proved by extensive geological
research
Expected water temperature min. 120°C at 2000 meters
Maximum output power considered at location 7MW
Organic Rankin Cycle proposed
Option to heat city after electricity production
3. Open projects
Croatia
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Located in central Croatia, 45km from Zagreb
Favorable geological conditions proved by extensive geological
research and 2 wells – one 4.3km and second 3.5km that can be
used for re-injection
Proven water temperature min. 120°C at 1800 meters, maximum 137
at 2200 meters
Maximum output power considered at location 21MW
Organic Rankin Cycle proposed
Option to heat city with electricity 65000 inhabitans
Option for agricultural production
Option to heat ponds
3. Financial facts
Location 1
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Minimum plant output power planned 4MW
Investment size 26MEuro for 4MW
Average annual revenue for 4MW is 4MW x 8000h/annum x
155Euro/MW = 4 960 000Euro
Maximum plant output size 20MW
Maximum investment size 115MEuro
Average annual revenue for 20MW is 20MW x 8000h/annum x
155Euro/MW = 24 800 000Euro
The Contract with mentioned favorable prices for 15 years of
operation is signed with distribution company and it is distribution
company obligation to purchase at this price
3. Financial facts
Location 2
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Minimum plant output power planned 4MW
Investment size 25MEuro for 4MW
Average annual revenue for 4MW is 4MW x 8000h/annum x
155Euro/MW = 4 960 000Euro
Maximum plant output size 10MW
Maximum investment size 52MEuro
Average annual revenue for 10MW is 10MW x 8000h/annum x
155Euro/MW = 12 400 000Euro
The Contract with mentioned favorable prices for 15 years of
operation is signed with distribution company and it is distribution
company obligation to purchase at this price
3. Financial facts
Location 3
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Minimum plant output power planned 4MW
Investment size 28MEuro for 4MW
Average annual revenue for 4MW is 4MW x 8000h/annum x
155Euro/MW = 4 960 000Euro
Maximum plant output size 10MW
Maximum investment size 52MEuro
Average annual revenue for 10MW is 10MW x 8000h/annum x
155Euro/MW = 12 400 000Euro
The Contract with mentioned favorable prices for 15 years of
operation is signed with distribution company and it is distribution
company obligation to purchase at this price
3. Financial facts
Croatia
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Minimum plant output power planned 4MW
Investment size 22MEuro for 4MW
Average annual revenue for 4MW is 4MW x 8000h/annum x
170Euro/MW = 5 440 000Euro
Maximum plant output size 10MW
Maximum investment size 55MEuro
Average annual revenue for 10MW is 10MW x 8000h/annum x
170Euro/MW = 13 600 000Euro
The Contract with mentioned favorable prices for 12 years of
operation is signed with distribution company and it is distribution
company obligation to purchase at this price
3. Financial facts
Croatia
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Croatian investment law strongly supports foreign investments
Investments between 1 – 3 Million Euro company pay only 25% of
income taxes within next 10 years with condition it employs minimum
10 persons
Investment above 3 Million Euro company pays no income taxes
within next 10 years with condition it employs minimum 15 persons
In mentioned area one time state subsidy per each employee is 6000
Euro
4. Work flow
Geothermal power plant installation consists of following steps:
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Preparation of drilling
Drilling
Technology installation
Grid&Connection
4. Work flow
Preparation of drilling - 6 months
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Legal work - permits, licences
Reservation of capacity in Electrical network
Ground plot purchase
4. Work flow
Drilling&testing - 7 month depending on weather
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Preparing of ground plot for drilling, foundation
Drilling
Internal and external supervision of drilling
Measurements during drilling
Measurements and quantification of drill
Legal framework and approval for excavation (usage) of water
4. Work flow
Technology installation - 12 months
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Basement preparation
Technology installation
Testing of production
Connection to grid
Stability testing
4. Work flow
Grid&Connection - 6 months
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Legal preparation
Connection of transformers and other technology
Network Monitoring connection and set-up
5. Cooperation proposal
We offer comprehensive roll-out of renewable source of Energy with possibility
to create turn-key project.
We cover following activities:
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Legal work
Geological research and geological due diligence
Purchase of the ground
Vendor evaluation and negotiation
Substantial network of contacts within countries
Assistance with governmental negotiations
Total Project management
Etc.