Complex sentence: IEI has completed geological surveys and tests in an appraisal stage and intends to begin building a pilot project by the beginning of 2012, where it can prove the viability of its in-situ technology.
Split into simpler sentences: IEI has completed geological surveys and tests in an appraisal stage and intends to begin building a pilot project during 2012. The pilot test is intended to prove the viability of its in-situ technology.