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Saturday, November 12, 2005

First "Hot Rocks" Exploration Licence -

First "Hot Rocks" Exploration Licence - Bryan Green, MHA - Tasmanian Government Media Releases

The State Government has announced Tasmania?s first exploration licence for geothermal resources, or ?hot rocks?.

The Minister for Infrastructure, Energy and Resources, Bryan Green, said he intended to grant a special exploration licence to KUTh Exploration to search for geothermal resources in eastern Tasmania.

?The exploration will be directed towards finding and evaluating hot dry rocks from which energy can be extracted, ultimately as electricity.

?Hot dry rock geothermal power is ideal for base load generation. A successful outcome may result in a very large, new source of energy that could be extracted with minimal environmental impact or greenhouse emissions,? Mr Green said.

About $650,000 will be spent in the first two years of the licence, which covers 12,000 square kilometres of eastern Tasmania.

In the first year measurements of heat flow will be made in suitable existing drillholes, with drilling of further holes to take place in the second year.

Mr Green also announced that he intends to grant Cala Resources Pty Ltd an exploration licence at Mathinna in north-eastern Tasmania.

?The licence area is in a highly mineralised part of Tasmania where former intensive gold mining activity has taken place.

?Cala has contracted an experienced geologist to explore for new gold deposits.

?The exploration licence covers three small areas of old workings, most of which were only worked to shallow levels and high grade gold resources may still exist at depth. It is planned to conduct detailed mapping, geophysical and geochemical surveys and drilling to delineate gold resources,? Mr Green said.

He emphasised the exploration program would be conducted with priority given to environmental considerations.

?It is pleasing to see more activity in this highly prospective part of Tasmania that has produced about eight tonnes of gold in the past,? Mr Green said.


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