Development of Metric for M

Impact of RD&D Funding on Geothermal Exploration Goa

Stanford Geothermal Workshop 20Stanford, CAScott Jenne, NRELKatherine R. Young, NRELHidda Thorsteinsson, formerly DO

February 10‐13, 2013

NREL/PR‐6A20‐58038
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ObjectiveDevelop a cost‐ and time‐based metric for measuring impact 

Geothermal Technology Office (GTO) Exploration RD&D projec

Why Cost and Time?• Need to be able to measure impact of GTO funding – helps 

future funding

• For exploration funding, this means quantifying the impact 

innovative technique or set of techniques has on an explora

program

• One of many metrics that can be used to measure impact is 

time

• Will help GTO measure impact of RD&D funds and help to j

funding opportunities.

Objective
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• Create Data Set

o Collected cost and time estimates for exploration techniqueso Developed baseline cost based on current industry inputo Estimates encompass both data acquisition and data process

• Create Baseline Suite of Exploration Methods

o Based on previous literatureo Validated by industry exploration expertso Incorporated cost and time data from data set

• Create Open‐Source Exploration Cost and Time 

o Allows user to adjust cost and time of exploration technique

on baseline

o Allows user to save impacts for use in FOA proposalso Available on OpenEI.org

http://en.openei.org/wiki/Exploration_Cost_and_Time_Metric

Methodology

Together, these items can be used and updated by industry to 

an innovative exploration method or set of methods can impa

time of an exploration program.
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OpenEI.org

What is OpenEI?o Wiki platform developed

in 2009 as part of theOpen Government

Initiative

o Provides free and open

access to energy‐related

data, models, tools, and

information

o Gives Public access to a

collaborative , knowledge

sharing platform.

Source: http://en.openei.org/wiki/Gateway:Geothermal
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OpenEI.org

What is OpenEI?o Wiki platform developed

in 2009 as part of theOpen Government

Initiative

o Provides free and open

access to energy‐related

data, models, tools, and

information

o Gives Public access to a

collaborative , knowledge

sharing platform.

Source: http://en.openei.org/wiki/Gateway:Geothermal
Cos

OpenEI.org

8 Exploration Groups• Data and Modeling• Downhole Methods• Drilling Methods

• Field Methods

• Geochemical Methods

• Geophysical Methods

• Lab Analysis Methods• Remote Sensing Methods

Source: http://en.openei.org/wiki/Exploration_Techniques
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Contacted 100+ Companies• 18% shared information• 45% were not interested• 37% were non responsive.Data Collection Summary• Collected cost data for 66 different

methods

• 47% of cost data (31/66) includes

more than one data point

• Collected time data for 51 different

methods

• 31.6% of time data (18/51) includes

more than one data point.

Data Set Collection Efforts

37%

45%

18%

Companies C
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Creating the Data Set1. Collect raw data from industry

2. Clean up data (e.g. make units consistent):

MT Example:

3. Aggregate Data:

MT Example:

4. Post on OpenEI.

Data Set Creation

MT dat

Low $ Typical $ High $ Unit

$550.00 $1,400.00 $2,500.00 Station$500.00 $1,050.00 $1,700.00 Station 

$1,000 $2,000 $2,000 Station 

750 $2,300 2500 Station 

Data Inputs visible to NREL (Not Actual Data)

MT survey

Company A

Company BCompany CCompany D 

Low $ Typical $ High $ Unit

MT survey $500.00 $1,737.50 $2,500.00 Station

Visible to Public on OpenEI.org (Not Actual Data)

Source: http://e
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What is the Baseline?• Generic suite of exploration

techniques

o Not any specific siteo Not a checklist for future sites

• Based on previous literature

• Reviewed by industry.

Assumptions• 30 MWe hydrothermal

• Single site

• Western United States.

Baseline Methodology

Photo from Joel Renner, 
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Baseline Creation

Walker et al. (2005)1• Regional Reconnaissance

o Literature Review (Geology)o Regional Seismicityo Regional Remote Sensing.

• Prospect Identification

o Literature Review (Mineralogy)o Local Seismicityo Local Remote Sensingo Petrologyo Initial Geochemistry (Surface).

• Project Appraisal

o Geophysics (Seismic, MT, Gravity,

Magnetics)

o Local Field Mappingo TGHso Initial Drillingo Down Hole Geochemistryo Cutting Analysis.

NREL (2012)• Regional Recon

o Literature Revo Initial Geocheo Regional Remo

• Prospect Identif

o Local Remote o Detailed Geoco Regional Field 

• Project Appraisa

o Geophysics (Se

Magnetics)

o Local Field Ma

• Initial Drilling

o TGHso Initial Drillingo Cutting Analyso Down Hole Ge

1Walker, J. D.; Sabin, A. E.; Unruh, J. R.; Combs, J.; Monastero, F. C. (2005). “Development of Genetic Occurrence Mo

Prospecting.” Transactions‐Geothermal Resources Council, p.312.
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Baseline Validation

Phase Title Perm

Requ

1 Regional Reconnaissance 

2 Prospect Evaluation 3 Project Appraisal Y

4

ProjectAppraisal, InitialDrilling

Y

Phase costs assume one lo

• Reviewed by 4 exploration experts

o Overall agreement as a reasonable

starting point.

• $/phase driving factor for which

methods are used in each phase

o $/phase is a common approach.

• Most significant differences

between experts occur in Phase 4

(Initial Drilling)

o Range of $1.5‐10M; 3 of 4 experts felt

$6‐7M was a safe estimate.

• Note that first 3 phases account for

less than 10% of total cost.
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Final FY12 Baseline Suite

Method Unit Cost Unit C

Phase I (no site visit) Regional Reconnaissance

Geothermal Literature Review $ 200.00 hour 

Geothermometry $ 30.00 sample 

Multispectral Imaging $ 370.23 sq. mile Data Acquisition‐Manipulation $ 250.00 hour 

Phase 1 Total $ 

Phase II (no permit required) Prospect Evaluation

Hyperspectral Imaging $ 1,337.56 sq. mile 

Compound and Elemental Analysis $ 30.00 compound 

Geothermometry $ 30.00 sample 

Field Mapping $ 600.00 hour 

Modeling‐Computer Simulations $ 195.00 hour 

Phase 2 Total $ 

Phase III (permit required) Project Appraisal

Ground Gravity Survey $ 68.31 station Aeromagnetic Survey $ 167.34 mile 

Magnetotellurics $ 1,738.83 station 

Reflection Survey $ 44,946.67 sq. mile 

Field Mapping $ 600.00 hour 

Modeling‐Computer Simulations $ 195.00 hour 

Phase 3 Total $ 

Phase IV (Initial Drilling) Project Appraisal

Thermal Gradient Holes $ 16.50 foot 

Core Hole Drilling $ 200.00 foot Cutting Analysis $ 4,000.00 100 feet cut 

Core Analysis $ 10,000.00 30 foot core Slim Holes $ 169.90 foot 

Compound and Elemental Analysis $ 30.00 compound 

Modeling‐Computer Simulations $ 195.00 hour 

Phase 4 Total $ 

Phase 1‐4 Cost $ 

Phase costs assume one location and 30 MWe
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Why a public tool?

• Quantitatively measure impact of

RD&D projects

• Serve as a platform for future funding

applicants to calculate impact tosubmit with proposals.

Capabilities• Visually represent a change in cost

and/or time

• Show the impact of

removing/replacing an exploration

technique or set of techniques.

• Easy to read data tables

• Potential to add new baselines in the

future.

OpenEI Tool Methodology

Source: http://en.openei.org/wiki/Exploration_Cost_
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OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
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OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
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OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
Cos

OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
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OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
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OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
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OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
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OpenEI Cost and Time Tool

Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
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OpenEI Cost and Time Tool

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Source: http://en.openei.org/wiki/Exploration_Cost_and_Tim
THANK YOU

Questions? Comm

We’d love to hear 

Scott Jenne

scott.jenne@n(303)‐384‐724

Kate Young

katherine.you(303)‐384‐740

Special thanks to those

providing input for this

project: Eric Hass, Hidda Thorsteinsson

and participating geothermal

exploration contractors.

This project is funded by the Geothermal Technologies Off