A magnetotelluric (MT) survey has been performed to delineate deeply extended fracture systems at the geothermal field in Seokmo Island, Korea. To assist interpretation of the MT data, geological surveying and well logging of existing wells were also performed. The surface geology of the island shows Cretaceous and Jurassic granite in the north and Precambrian schist in the south. The geothermal regime has been found along the boundary between the schist and Cretaceous granite. Because of the deep circulation along the fracture system, geothermal gradient of the target area exceeds 45°C/km, which is much higher than the average geothermal gradient in Korea. 2D and 3D inversions of MT data clearly showed a very conductive anomaly, which is interpreted as a fracture system bearing saline water that extends at least down to 1.5 km depth and is inclined eastwards. After drilling down to the depth of 1280 m, more than 4000 tons/day of geothermal water overflowed with temperature higher than 70°C. This water showed very similar chemical composition and temperature to those from another existing well, so that they can be considered to have the same origin; i.e. from the same fracture system. A new geothermal project for combined heat and power generation was launched in 2009 in Seokmo Island, based on the survey. Additional geophysical investigations including MT surveys to cover a wider area, seismic reflection surveys, borehole surveys, and well logging of more than 20 existing boreholes will be conducted.