Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal...

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Current Status Of Geothermal Development In Japan October 2014

Transcript of Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal...

Page 1: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Current Status

Of Geothermal Development

In Japan

October 2014

Page 2: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Contents

1. JOGMEC Overview(1) Company Profile(2) Background of Establishment(3) Company Mission(4) Activities

2. Current status of Geothermal Development in Japan(1) Geothermal Power Plants in the Present Operation (2) FIT(3) Easing of Regulations of the Natural Parks Act(4) Financial Support Scheme(5) Financial Support Projects

3. R&D Projects and Airborne survey(1) R&D of Geothermal Technology – Reduction of Exploration Risks(2) – Exploration Techniques for Geothermal Reservoir (3) – Evaluation & Management of Geothermal Reservoir (4) Regional Potential Survey(5) Regional Potential Survey - Survey Areas -(6) Regional Potential Survey - Views of Survey –(7) Regional Potential Survey- KIRISHIMA area AGG survey results and Comparison -

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Page 3: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Japan Oil, Gas and Metals National Corporation (FY2014)

Established 29 February, 2004

Capital JPN Yen 689 Billion

President Hirobumi KAWANO

No. of Employees 521

Domestic Network (24 ) Tokyo Head Office, Technology & Research Center (Chiba)

Mine Pollution Control Project Support Offices (5)

Site Management Offices (15) –Oil & Gas Stockpile

Metal Technology Center / Test Field Office

Overseas Offices (14) Beijing, Jakarta, Hanoi, Sydney, Washington D.C., Huston, Vancouver,

Mexico, Lima, Santiago, Moscow, London, Abu Dhabi, Botswana

1. JOGMEC Overview(1) Company Profile

Head Office

(Tokyo)Metals Technology Center

(Akita)

Technology & Research Center

(Chiba)

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Page 4: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

JOGMEC was established in February 2004 as one of government

companies, succeeding functions of JNOC and MMAJ.

( Est. October 1967)

(February 2004~)

(Est. May 1963)

1. JOGMEC Overview

(2)Background of Establishment 3

Page 5: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Secure constant and stable supplies of oil, natural gas and mineral

resources to support industries and citizens in Japan through various

activities relating these resources.

Methane Hydrate

Caserones Copper Field , CHILIESakhalin I Chayvo Oil & Gas Field,

RUSSIA

Pallca Zinc Field,

PERU

Zakum Oil Field,

UAE

Kamigotou Crude Oil Stockpile Site,

NAGASAKI, JAPANRare Metals Stockpile Site

“HAKUREI”

Marine Resource Research Vessel

1. JOGMEC Overview

(3) Company Mission 4

Page 6: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Oil & Gas Upstream Investments / R &D

Stockpiling of Resources

Metal Strategy, Exploration and Technology Development

Mine Pollution Control

Geothermal Resource Development

Coal Development

Original Newly added

from September 2012

1. JOGMEC Overview

(4) Activities 5

Page 7: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Matsukawa 23,500kW

Mori 25,000kW

★Ohnuma 9,500kW

Sumikawa 50,000kW

Kakkonda 80,000kWUenotai 28,800kW

Onikoube 12,500kW

Yanaizu Nishiyama

65,000kW

Ohtake 12,500kW

Hachijojima 3,300kW★Suginoi 1,900kW

★Kuju 990kW

Takigami 25,000kW

Hacchoubaru 110,000kW, 2,000kW

Ohgiri

30,000kW

Yamakawa

30,000kW ★Kirishima 100kW

in Operation

★ for Private Use

No additional construction of

Geothermal Power Station after

Hachijojima Station in 1999

Decreasing gradually

for the past dozen years or soElectricity Generated

Installed Capacity

Total Installed Capacity: 515MW (17 Plants)

2.Current status of Geothermal Development in Japan

(1) Geothermal Power Plants in the Present Operation 6

Page 8: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Act on Purchase of Renewable Energy Sourced Electricity by Electric Utility Companies

(Feed-in Tariff Scheme for Renewable Energy)

This Act obliges electric utility companies to buy electricity generated from renewable energy sources (Solar

PV, wind power, hydraulic power, geothermal and biomass) at the procurement price and for the procurement period.

Approved at the 177th session of the Diet 2011 and started on July 1st, 2012. (2014.04 – 2015.03)

Energy source Solar PV Wind power Geothermal powerSmall- and medium-scale hydraulic

power

Procurement

category

10 kW or

more

Less than10 kW

(purchase of excess

electricity)

20 kW or

more

Less than

20 kW

15,000 kW

or more

Less than

15,000

kW

1,000 kW or

more but less

than 30,000 kW

200 kW or more

but less than 1,000

kW

Less than

200 kW

Cost

Installation cost 280,000 yen/kW 427,000 yen/kW 300,000 yen/kW 1,250,000

yen/kW

790,000

yen/kW

1,230,000

yen/kW

850,000 yen/kW 800,000 yen/kW 1,000,000

yen/kW

Operating and maintenance

costs (per year)

9,000 yen/kW 4,300 yen/kW 6,000 yen/kW - 33,000 yen/kW 48,000

yen/kW

9,500 yen/kW 69,000 yen/kW 75,000 yen/kW

Pre-tax IRR 6% 3.2%(*1) 8% 1.8% 13%(*2) 7% 7%

Procu

rem

en

t

pric

e p

er k

Wh

Tax

exclusive 32.00 yen 37.00 yen 22.00 yen 55.00 yen 26.00 yen

40.00

yen24.00 yen 29.00 yen 34.00 yen

Tax

exclusive36 yen 38 yen 22 yen 55 yen 26 yen 40 yen 24 yen 29 yen 34 yen

Procurement

period

20 years 10 years 20 years 20 years 15 years 15 years 20 years

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2.Current status of Geothermal Development in Japan

(2) FIT

(*2) Apply higher rate than other sources due to the cost of approx. 4.6BYen per project for a site development with surface survey, test drilling of

test, and others, and low success rate(appx.7%) to realize business , etc.

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Page 9: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

2.Current status of Geothermal Development in Japan

(3) Easing of Regulations of the Natural Parks Act

September 1974

the Environmental Agency(currently Ministry of Environment; MOE) decided to limit geothermal

development to six (6) sites within Natural Parks.

March 2012

MOE decided to ease such regulations so as to implement geothermal development within

National Parks* conditionally.

* Excluding core areas(Special Protection Zone and Special Zone I ) of national parks

Review of the Regulations

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Category of Natural Parks Potential (MW)

Special Protection Zone 7,000

Special Zone I 2,600

Special Zone II 2,500

Special Zone III 5,200

Ordinary Zone 1,100

Outside of Natural Parks 5,000

Total 23,400

Geothermal Resource Potential located within/outside of Natural Parks in Japan

Availability of access

Going up to 59.0%

Page 10: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Subsidy

- Up to 50%~100%* of

necessary funds

(* depends on

terms and conditions)

Equity Capital Finance Liability Guarantees

Exploration Operation

- Geological Survey

- Geophysical Exploration

- Structural Boring

- Commercial

Operation- Drilling of

Investigation Well

- Discharge Test

- Drilling of

Production Well &

Reinjection Well

- Construction, Start-up

& Commissioning of

Power Plant

Potential Survey

Hatchobaru (Oita)

- Environmental

Impact Assessment

EIA

Resource Risk

- Up to 50% of equity capital

(JOGMEC is not allowed to

be the largest shareholder.)

- Up to 80% of loan

provided by

financial institution/s

Development

Financial Assistance provided by JOGMEC

2.Current status of Geothermal Development in Japan

(4) Financial Support Scheme 9

Page 11: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

102.Current status of Geothermal Development in Japan

(5) Financial Support Projects

Page 12: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Exploration Techniques for

Geothermal Reservoirs

Evaluation & Management of

Geothermal Reservoirs

Reduction of

Exploration Risks

(http://www.chikaikyo.com/chinetsu/)

Inappropriate Management

of Reservoirs

- Vaporization

- Cooling

- Acidification

Proper Understanding

of Reservoir Conditions

Optimizing Reservoir

Utilization

Uncertainty of Reservoir

Prediction

- Missed geothermal Reservoirs

- Inappropriate geological model

Improvement of

Subsurface Imaging

Proper Understanding

of Reservoir Architecture

3.R&D Projects and Airborne survey

(1) R&D of Geothermal Technology – Reduction of Exploration Risks 11

Page 13: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

So far…

The locations of the reservoir blocks have to be

estimated by the various information

The goal is…

To visualize spatial distribution of the fractures

in the geothermal reservoir

Purpose of R&D

Visualize subsurface fractures from the surface more precisely

Develop exploration technology using seismic waves

Develop analysis method integrating seismic data with other exploration

data

How to detect fractures? Survey fractures

3.R&D Projects and Airborne survey(2) R&D of Geothermal Technology

– Exploration Techniques for Geothermal Reservoir 12

Page 14: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

133.R&D Projects and Airborne survey(2) R&D of Geothermal Technology

– Exploration Techniques for Geothermal Reservoir

Original Section (1996) Reprocessed Section (2013)

Example of 2013FY AchievementsSince the recent processing techniques of seismic data have been much advanced in oil and gas

field, we applied these techniques to the data at geothermal fields which was acquired more than a

decade ago.

We recognized the improved image of the main geothermal productive reservoir(faults location

indicated by red arrows), and are expecting the further efficacy by applying the seismic method to

geothermal reservoir exploration.

Page 15: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

※Geothermal water recharge

A hydrologic process where surface

water like rainfall moves downward

to geothermal reservoir.

Power

Plant

• Some of geothermal power plants in Japan are facing difficulty in producing

necessary amount of steam or hot water stably due to the deplete of the

geothermal fluid.

• To address this challenge, JOGMEC tries to research and development to

stabilize the production of subsurface geothermal steam and hot water by not

only improving accuracy in evaluation of behavior of the fluid, but also

recharging water to the geothermal reservoir.

Production

Well

Injection

Well

Geothermal

Reservoir

Magma Body

Recharge

Well

3.R&D Projects and Airborne survey(3) R&D of Geothermal Technology

– Evaluation & Management of Geothermal Reservoir 14

Page 16: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Gravity Gradiometry

Survey

Time-Domain Electro-

Magnetic Survey

Find High Potential Sites

surface survey to be conducted

Airborne Survey

with state-of-the-art

technology

Encourage new geothermal

developments by private

companies

Prevent land-slide & protect

hot springs

No limitation in

national parks!

3.R&D Projects and Airborne survey(4) Regional Potential Survey 15

Page 17: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Phase 1 (2013- )

Demonstrate the new

technologies

Identify undiscovered

potential areas

Phase 2

Expand to other

potential regions

Survey Areas (4), Phase 1Hachimantai

Yuzawa/Kurikoma

Kirishima

Kuju

3.R&D Projects and Airborne survey(5) Regional Potential Survey - Survey Areas - 16

Page 18: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Gravity Gradiometry Survey

3.R&D Projects and Airborne survey(6) Regional Potential Survey - Views of Survey -

(http://www.cgg.com)

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Time-Domain Electro-Magnetic Survey

Page 19: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

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AGG Survey

★★

★★

★★

★★ ★

★★★

★★

★★

★★

★★

★ ★

★★

★★

★★★

★ ★

★★ ★

★ ★

★★

★★

Ohgiri Power Station

AGG Survey

(#measurement points

:12,8000)

Ground suface gravity survey

( #measurement points: 416)

Ohgiri Power Station

AGG Survey

Ground suface gravity survey

Ground Surfaceflight altitude

Ohgiri Power Station

AGG SurveyGround suface

gravity survey

Shape Index

Ohgiri

↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑ ↑

measurement point

Survey line

Ohgiri Power Station

3.R&D Projects and Airborne survey(7) Regional Potential Survey

- KIRISHIMA area AGG survey results and Comparison -

Page 20: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Kuju

Exploration Area : 548km2 19

Ohtake

Hacchoubaru

Takigami Takigami

Ohtake

Hacchoubaru2,340km

9 October 2013 - 28 October 2013

854km

23 July 2014 - 10 September 2014

Gate.10

t

dtdB /

Gate.25

Pattern of High Resistivity

Pattern of High Resistivity

HeliTEM dB/dt Z Reposnse - Gate 25 (nT/s)

AGG Fourier Domain gDD (ρ=2.3g/cc)

※ Observation Value

Page 21: Current Status Of Geothermal Development In Japan · PDF fileCurrent status of Geothermal Development in Japan (1) Geothermal Power Plants in the Present Operation (2) FIT (3) Easing

Kirishima

Exploration Area : 193km2 20

AGG Fourier Domain gDD (ρ=2.3g/cc)

HeliTEM dB/dt Z Reposnse - Gate 25 (nT/s)

Ohgiri

Ohgiri

t

dtdB /Pattern of High Resistivity

Pattern of High Resistivity

518km

31 October 2013 - 1 November 2013

349km

7 August 2014 - 29 August 2014

※ Observation ValueGate.10 Gate.25