Chevron New Energies Japan GK, a subsidiary of Chevron USA Inc., and Mitsui Oil Exploration Co. Ltd. (MOECO) signed agreements to proceed with pilot testing of geothermal technology, specifically advanced closed loop (ACL) technology.
In September 2022, Chevron New Energies International Pte. Ltd. signed a collaboration agreement with MOECO to further explore the technical and commercial feasibility of advanced geothermal energy development and other new energies technology. The agreements to conduct pilot testing by Chevron New Energies Japan and MOECO is the first project contemplated by that agreement.
ACL technology involves sub surface heat exchange through conduction by circulating a working fluid from the surface through a loop of underground wells to generate electricity (through surface infrastructure) by utilizing sub surface geothermal heat (sub surface radiator). It does not require direct extraction of hot water (brine) or steam from underground reservoirs, as is the case with conventional geothermal technology.
The pilot test is expected to be conducted in the Niseko region of Hokkaido, Japan, with the aim of derisking, scaling, and commercializing geothermal power generation based on ACL technology with additional potential as a heat resource.