CHINA OIL DRILLERS GO GEOTHERMAL

Sinopec starts commercial development of geothermal resources
Qiu Jun, 25 January 25, 2010 (Xinhua via Trading Markets)

"The China Petrochemical Corporation (Sinopec Group), China's leading oil refiner…has started commercial development of geothermal resources as part of its strategy of low-carbon economic growth.

"Through its wholly owned subsidiary, Sinopec Star Petroleum, Sinopec has established a joint venture, Shaanxi Green Energy Geothermal Development, with Icelandic company Enex Kina…in Xian Yang in China's no rthwestern Shaanxi province…The company is engaged in geothermal resources exploitation and utilization as well as the development of related workmanship and technology."

Through 2008, China had put very little geothermal development on the map. But just a few years ago, China had put very little wind development on the map and now it is threatening the world's wind leaders. (click to enlarge)

"Zan Qi, the general manager of Star Petroleum, said that Sinopec 's geothermal development now has the capability to provide heating for 2.6 million square meters of housing in Xiang Yang of Shaanxi province and Baoding of Hebei province, which translates into a reduction of 300,000 tonnes in carbon dioxide emission."

There is potential. (click to enlarge)

"…[T]he company is to provide heating service coverage of 4 million square meters of housing area by the end of 2010…[and] 10 million square meters of housing in the next five years…[G]eothermal power generating and clarification of waste water will also be added to services.

"The Sinopec Group, the parent company of Sinopec, is also engaged in a wide range of new-energy research and development…on bio-fuels and coalbed methane."