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NT govt grants geothermal exploration permit

The NT government has green-lit the first stage in a major project that could unlock billions-of-dollars in green-hydrogen and create thousands of jobs.

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The Territory government has granted a geothermal exploration permit to drill a well at Middle Arm that the developer says could unlock billions-of-dollars in green hydrogen and ammonia production and create thousands of jobs.

The Department of Industry, Tourism and Trade (DITT) recently approved Good Water Energy’s application for a well to source heat for commercially sustainable green hydrogen and ammonia.

Good Water Energy chairman Warren Strange said the approval was a first-step in his vision to develop a $10bn industry across the Territory that would serve Australia’s transport, mining and agricultural sectors and create up to 3000 local jobs.

The company’s 10-year growth plan for Darwin begins with a $50m investment into the first pilot green hydrogen and urea fertiliser production plant at Middle Arm.

If successful in sourcing enough heat from the well, which could be drilled up to 10km into the Middle Arm granite, the company will then apply for a production license and approvals.

Key to the project’s success is generation of more than 300C of heat from closed loop geothermal wells without the requirement for fracking or pumping for thermal energy production.

The government has granted a geothermal exploration permit to drill a well at Middle Arm. Picture: Supplied
The government has granted a geothermal exploration permit to drill a well at Middle Arm. Picture: Supplied

Mr Strange said each geothermal wellhead, measuring just 1sqm, can produce enough electricity to run 4000 homes or enough green hydrogen to run 16 hydrogen fuel cell heavy haulage trucks 24 hours per day.

Capturing and using the millions of tonnes of carbon dioxide produced every year by the Territory’s electricity generators and local gas processors, Good Water Energy hopes to use the captured CO2 as stock for production of urea fertilisers, AdBlue diesel exhaust fluid and ammonia-nitrate explosives for the Australian Markets.

Mr Strange tried unsuccessfully for two years to get approvals for the project in Western Australia and was delighted the NT government backed the company’s bid for a first-stage tenement application.

“We’ve been celebrating for two days,” he said. “The government and the Minister, Nicole Manison, have backed the Territory into production of the lowest cost electricity and green hydrogen anywhere in the world.”

The government has granted a geothermal exploration permit to drill a well at Middle Arm. Picture: Supplied
The government has granted a geothermal exploration permit to drill a well at Middle Arm. Picture: Supplied

A DITT spokesperson said Good Water Energy’s targets aligned with the Territory government’s plan for 50 per cent renewables by 2030 and net-zero emissions by 2050.

“If the project is a success and proceeds to production, it will assist the Territory meet this target,” the spokesperson said.

Mr Strange said he would begin work immediately preparing an application for construction of a geothermal operation plan, which will include details of the technical works program, descriptions and plans for proposed infrastructure and details for land restoration and rehabilitation.

Mr Strange wants to be producing the first pilot green hydrogen and urea fertiliser within 12-months using the company’s patented drilling and geothermal hydrogen production systems.

DITT said stakeholder engagement would be a key to the project going forward.

“The applicant will need to obtain environmental approvals as required such as water licenses and waste discharge licenses,” the spokesperson said.

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Original URL: https://www.ntnews.com.au/news/northern-territory/nt-govt-grants-geothermal-exploration-permit/news-story/df6e95a4fecd5bae6254b8264dcbfc74