AGL and Torrens Energy (TEY) have ntered into a geothermal alliance agreement (GAA) to commercialize base load geothermal projects close to the National Electricity Market (NEM).
The alliance combines TEY’s geothermal exploration capabilities with AGL’s energy market development experience. TEY will be responsible for carrying out the exploration activities and will provide AGL with the option to farm-in to TEY’s geothermal exploration licenses (GEL) at permit and project level.
The GAA prescribes the terms and conditions for AGL’s entry into an equal-stake joint venture aimed at commercializing geothermal energy. The GAA gives AGL the option to participate in a number of base load renewable energy projects close to the NEM.
Michael Fraser, AGL’s managing director, said Geothermal energy is an emerging renewable technology that will complement AGL’s existing pipeline of renewable energy projects in wind and hydro. This is an opportunity for AGL to participate in the development of this new industry.
