Evaluation of Expert Reports to Quantify the Exploration Risk for Geothermal Projects in Germany

Abstract

The development of deep geothermal energy sources in Germany still faces many uncertainties and high upfront investment costs. Methodical approaches to assess the exploration risk are thus of major importance for geothermal project development. Since 2002, expert reports to quantify the exploration risk for geothermal projects in Germany were carried out. These reports served as a basis for insurance contracts covering the exploration risk. Using data from wells drilled in the meantime, the reports were evaluated and the stated probabilities compared with values actually reached.