Clean green energy company Eden Energy Ltd
(ASX:EDE) has entered into an agreement with major energy utility Origin Energy Ltd
(ASX:ORG) for Origin to farm-in to Eden’s Cooper Basin Geothermal Licence No. 185 in South Australia.
The company says Origin will pay it $1 million cash and will bear the first $500,000 of expenditure on the licence to earn a 70 per cent interest.
Eden says both companies will then contribute proportionally to further expenditure, with Origin the operator of the project.
The company says it is actively exploring a variety of ways to further progress the funding of the exploration and development of all Eden’s geothermal interests in South Australia.
Eden says the farm-in by Origin provides a significant boost to Eden’s plans to develop its geothermal interests by enabling Eden to progress the development of the licence with a significant joint venture partner and still retain a strategic interest in the broader Cooper Basin geothermal licence area.
Eden Energy has posted losses in the last four years.
