Reported from Australia, “Shares in Apollo Gas have increased slightly on the back of being awarded two geothermal exploration licences in the southern Gunnedah Basin by the NSW Minister for Mineral Resources.

During the morning trade, shares in the company rose 1.1% to 47c. The new licences, G8TA-C and G8TA-D, overlay a large portion of Apollo’s PEL1 456 and the majority of the Murrurundi Trough.

The new licences have a combined area of c.3,500 km2 and recent drilling suggests basement depths in excess of 4,000m. Apollo intends to explore for geothermal resources by leveraging off its coal seam gas exploration activities in PEL 456.

Managing director Andrew Mayo said the synergies between exploration activities of the CSG and geothermal programs would enable Apollo to realise technical benefits and operational efficiencies.

“This new licence represents an exciting opportunity for Apollo to assess the potential for a renewable energy resource in the Sydney Gunnedah Basin,” Mr Mayo said.

“Should the exploration program prove successful, Apollo will assess at that time the optimal structure to advance the project.”

Source: Proactive Investors