The 50:50 joint venture (JV) will be operated by Origin, and will explore the Innamincka shallows for resources to enable the generation of geothermal energy. The exploration will focus on the permeable sandstone zones above the granite, which occur at depths of approximately 3 km.

The project’s initial exploratory work will involve the drilling and testing of two slim wells at depths of approximately 2.2 km, which will be carried out over the next twelve months. The works will cost approximately $10 million.

The new JV complements exisiting work between Origin and Geodynamics, which is also being undertaken in the Eromanga Basin. This focuses on higher temperature enhanced geothermal systems in the granite that occurs at depths of 5 km. The JV for this project splits ownership 30 per cent Origin and 70 per cent Godynamics.

Origin also has a 70 per cent interest in a large geothermal exploration tenement with Eden Energy, which is situated adjacent to the Innamincka tenements.