Canadian Firm Continental Energy to Help Build Geothermal Plant in Tawau
Vancouver-based Continental Energy declared that the Malaysian Government has granted about US$ 11.5 million to Tawau Green Energy (TGE). Continental Energy is an unconventional energy company and has a 10% stake in TGE.
At present, TGE is developing a geothermal energy resource at Apas Kiri near Tawau. Apas Kiri will have a net capacity of 30 MW and will be the first geothermal energy development in Malaysia. The geothermal energy project is likely to be completed by 2015. It is expected to have the capability of generating over 100 MW of electricity, once all its development phases are completed.
Apas Kiri area experienced volcanic activities about 1.5 million years ago, during the Pleistocene age. As such the area is under laid by the Pleistocene formation, predominately covered with sandstone, mudstone, siltstone, shale and lignite.
As a form of renewable energy, geothermal power emits little carbon dioxide, no nitrogen dioxide and very low amounts of sulphur dioxide. Compared to other fuels, the carbon footprint of geothermal energy is 65 times smaller than that of coal, 49 times smaller than that of fossil fuels and 40 times smaller than that of natural gas.
Continental Energy’s Chief Executive Officer Richard L. McAdoo, who also serves as the Geotechnical Director for TGE, witnessed the signing ceremony. According to him, the grant reiterates the commitment of both the Sabah Government and the Malaysia Government to utilize renewable energy sources so as to address electrical power production deficits in Sabah. Such type of fiscal incentive is important for making green field renewable energy projects as successful ventures.
McAdoo added that this kind of government support was instrumental in making Continental Energy to invest in TGE, who played a key role in stressing the advantages of the Apas Kiri geothermal energy development project to the residents of Sabah.
via CEC and image courtesy TGE S/B