>I don't think the HVG understands the consortium agreement.

>Or maybe Google didn't understand HVG :)

Actually Google got it quite right. I think HVG should get hold of a contract from the 3 partners to get it right.

Makó development: Exxon may harness

geothermal energy in the Makó trough

http://www.portfolio.hu/cikkek.tdp?k=2&i=124130

2009.11.12 09:39

Exxon has applied for production permit for geothermal energy utilization in the Makó trough, and do not plan further research work in the jointly owned area with the Canadian Falcon and the Hungarian MOL.Exxon will focus its research efforts in the Békés Basin, and the in west side of the Makó trough- jointly exploring with MOL. Meanwhile, Falcon is preparing for test-production at the Magyarcsanád-1 well.

According to HVG’s information, Exxon does not plan to continue the exploration in the Eastern half of the Makó trough because of the disappointing results at the Földeák-1 well, instead they will concentrate their energy on the Békés Basin and the western part of the Makó trough that is explored jointly by MOL, where possibly could be more drilling.

However, Exxon does not leave entirely the jointly explored Eastern area with the Canadian Falcon and the Hungarian MOL, because the American mining company applied for production licence for the utilization of geothermal energy found during the well testing.

HVG the weekly paper also refers to the very serious problems Falcon is facing in its future, according to the joint venture agreement they cannot alone carry out drillings in the field, while Exxon under the mining laws can suspend work as long as 5 years, thereby inhibiting Falcon to move forward . This could cause the dissolution of the joint venture agreement, but in that case it’s highly questionable whether the Canadian company will be able to finance the work by itself, or attracting new partners.

Currently Falcon is transferring its base to the previously drilled Magyarcsanád-1 well, where they are preparing for test-production.