Ptr Minerals Limited · ASX:PTR
Ptr Minerals — Petratherm — Shareholder Meeting (November 2008)
41 slides from Ptr Minerals's shareholder meeting presentation, Nov 27, 2008
Slide 1: Chairman's Address and Managing Director's Presentation, 2008 AGM
ASX Release PETRATHERM LIMITED ABN 17 106 806 884 For personal use only Chairman’s Address and Managing Director’s Presentation 2008 Annual General Meeting Chairman’s Address Thank you for your attendance today. Before moving to the formal business I would like to make a few remarks. Introductory Re
Slide 2: Paralana JV strengthened with TRUenergy's $57M Farm-In
Paralana JV strengthened with TRUenergy’s $57M Farm-In The Paralana joint venture now includes TRUenergy (internationally owned by China Light & Power) who is to farm into the project under an agreement for up to $57 million for 30% for the project, complementing the existing JV with Beach Petroleum
Slide 3: Acknowledgement of Lloyd Taylor's contribution
Acknowledgement of Lloyd Taylor’s contribution During the year, one of our founding directors, Lloyd Taylor resigned due to his increasing work load commitments as a consultant. Lloyd was an important contributor to our board and his technical and corporate input will be missed. I would like to than
Slide 4: Annual General Meeting and Overview of Projects November 2008
For personal use only Annual General Meeting Company Update and Overview of Projects 27 November 2008 Presented by Terry Kallis (Managing Director) & Peter Reid (Exploration Manager) Explorer and Developer of Geothermal Energy
Slide 5: Disclaimer
For personal use only Disclaimer This presentation has been prepared by Petratherm Limited (Petratherm). The information contained in this presentation is a professional opinion only and is given in good faith. Certain information in this document has been derived from third parties and though Petra
Slide 6: Presentation Outline
Presentation Outline • Key Messages For personal use only • Corporate Overview • External Environment – Global context for energy and renewables – Renewable energy policy and geothermal – Paralana Overview and Joint Venturers • Exploration / Development Program – Paralana – Spain – Madrid / Tenerife
Slide 7: Key Messages
Key Messages • Strong Government Support for Geothermal Energy Industry and For personal use only Paralana Project is eligible for Round One of the $50 M Geothermal Drilling Program – up to $7 M funding for drilling by March 2009 • Paralana JV Project has two complementary JV partners – Beach Petrol
Slide 8: Corporate Overview
Corporate Overview Key Statistics For personal use only Madrid & China – Exclusive Barcelona – direct exploration ¾ Current shares on issue – 57.9m (plus 13.77 agreement use heat, EGS and m options) hydrothermal ¾ Market capitalization ‐ $19.0m (at share price of $0.33) ¾ Cash ‐ $3.7m (end of first
Slide 9: Corporate Mission & Business Model
Corporate Mission & Business Model For personal use only Mission “to explore for and develop, emission free, geothermal energy projects that are commercially sustainable” Business Model “to develop a portfolio of quality geothermal energy projects conventional and EGS – for power and/or heat – where
Slide 10: Petratherm Board & Management
Petratherm Board & Management For personal use only Derek Carter Simon O’Loughlin Richard Hillis Lloyd Taylor Derek Carter Chairman Director Director Director (Retired) Chairman Richard Bonython Terry Kallis Donald Stephens Peter Reid Director Managing Director Company Secretary Exploration Manager
Slide 11: Corporate Overview – Skills & Capabilities
Corporate Overview – Skills & Capabilities For personal use only Combined skills and experience of the Board Management, Partners and Consultants capable of delivering successful geothermal energy projects – from underground resource through to market Beach Petroleum - Subsurface – well design, dril
Slide 12: Petratherm Share Price – past years
Petratherm Share Price – past 4 years For personal use only petratherm
Slide 13: Petratherm's Achievements – past years
Petratherm’s Achievements – past 2 years For personal use only ¾ Petratherm has demonstrated its ability to deliver on its objectives. ¾ The achievements over the past two years have created the platform for substantial activity and value creation over the coming 12 months. Secured Spanish media $50
Slide 14: Petratherm Key Points of Differentiation
Petratherm Key Points of Differentiation • Unique approach to “exploration for heat” and its commercial assessment of projects - “location, location, location” – resource, For personal use only market, permits/stakeholders • HEWI model approach to resource exploitation process for EGS/hot rock that
Slide 15: External Environment – key drivers
External Environment – key drivers (extract PTR Business Plan 2007) For personal use only • Operating in an uncertain global economy and with more volatile financial markets - expect European economies expected to slow, Asian economies to continue to grow strongly, Australian economy to remain stron
Slide 16: Global Wind & Geothermal Power Growth
For personal use only Global Wind & Geothermal Power Growth Wind growth >20% P.A. - Geothermal ~ 9% in last 3 years.
Slide 17: Renewable Energy Policy & Geothermal
Renewable Energy Policy & Geothermal • Commonwealth Government - strong support − ratified Kyoto protocol For personal use only − commenced the Carbon Pollution Reduction Scheme (CPRS) leading to Emissions Trading in 2010/11 − established the 20% Renewable Energy Target (RET) by 2020 − $450 M Renewa
Slide 18: Geothermal Energy Cost Comparison
For personal use only Geothermal Energy Cost Comparison
Slide 19: AGEA Report conducted by McLennan Magasanik & Associates - findings
AGEA Report conducted by McLennan Magasanik & Associates - findings For personal use only • Australian Geothermal Energy Industry can be expected to provide up to 2,200 MWs of base‐load capacity by 2020 into National Electricity Market; • Represents up to 40% of the Federal Government’s 2020 Renewab
Slide 20: Paralana Project - Overview
Paralana Project - Overview ¾ Has the unique ingredients to For personal use only be commercially viable at all Stages! 9 Temperature and target flow rate. 9 Very close to market for initial plant (up to 7.5MW). Off grid market ~ Heathgate Resources’ Beverley Uranium Mine (10km) and Four Mile. 9 S
Slide 21: Paralana Well Drilling Rig
For personal use only Paralana 2 Well Drilling Rig • Comprehensive assessment of drilling options – existing Australian rig, existing overseas rig, consortia approach. Focus to obtain lowest cost – “fit for purpose” • Contract 2000 HP Drilling Rig # 828 from Weatherford International Drilling • Le T
Slide 22: Paralana Project Joint Venture
Paralana Project Joint Venture ¾Beach Petroleum Farmin (Jan 2007) for up to $30M for 36% For personal use only $5M first well and stimulation $5M second well and stimulation – earns 21% After HEWI ‐ Option to earn a further 15% for $20M Plus equity share of project costs at every stage ¾TRUe
Slide 23: Project Costs and Wind Comparison
Project Costs and Wind Comparison For personal use only ¾ Stage 1 ‐ HEWI model $25M to $30M ¾ Stage 2 ‐ 7.5 MW pilot plant – add’nl $40M to $45M ¾ Stage 3 ‐ 30 MW demo. plant –add’nl $125M to $130M ¾ Total 30 MW Project estimate* around $190M to $200M (*total current cost estimates and includes all
Slide 24: Project Portfolio
Project Portfolio • International Geothermal For personal use only Explorer and Developer TAG • Specialist Heat Explorer • EGS, Conventional and Direct Heat • Strategy – shallow hot rocks close to market & chance of flow! petratherm Engineered Geothermal Systems (EGS)
Slide 25: Paralana Project
Paralana Project For personal use only 109oC • Heat flow of 128 mWm-2 petratherm • Modeled 200oc at 3.6km (Seismic Line 84 SPG)
Slide 26: Paralana 2008 - Development Path
For personal use only Paralana 2008 - Development Path • 2D Reflection Seismic and MT Surveys • Installed Passive Seismic Array (IESE) • Cleared 1kmX 2km development site • Casing and well head ordered • Drilling contract in place
Slide 27: Paralana 2009 Development Plan
For personal use only Paralana 2009 Development Plan • Second Quarter 09 First Deep Well to ~ 4 Kms • Well testing and stimulation program • First Quarter 2010 Second Deep Well Heat Exchanger Within Insulator (HEWI) Model petratherm
Slide 28: Paralana Project Area
For personal use only Paralana Project Area petratherm
Slide 29: Petratherm Espana
Petratherm Espana •• Geology is conducive to EGS Right Geological For personal use only environment • Expanding Project Portfolio for geothermal technologies • Strong Corporate Interest • First Mover Advantage • High Electricity Prices •• Leading High Electricity Prices Policy Development •• Convent
Slide 30: Petratherm Spanish Projects
For personal use only Petratherm Spanish Projects Barcelona Barcelona Almazan Madrid Madrid Murcia Andalucia Tenerife Islands Tenerife Gran Canaria Gran Canaria
Slide 31: Madrid – District Heating Resource
Madrid – District Heating Resource ¾ Three 2000m wells have been drilled, defining an area of at least 50km2, around 80oC fluid Recent Well Assessment For personal use only at 200 m3/hr at ~ 1500‐2000m depth. ¾ Geomadrid Prefeasibility Study indicates – doublets Producing 8MWt with an annual product
Slide 32: Madrid District Heating – Low Enthalpy Reservoir
Madrid District Heating – Low Enthalpy Reservoir For personal use only Four existing wells ~ flows 200m3/h, temperatures of 80-85ºC enable to estimate a sustainable heat production of 30TWth over the next 75 years
Slide 33: GeoMadrid Economics
GeoMadrid Economics Key Project Parameters(1) For personal use only Petratherm Parameter Units Assumption Temperature ºC 75 Depth km 2 Flow m3/hour 200 AUTONOMOUS UNIVERSITY CAMPUS Annual production MWh/annum 45,000 GEOMADRID WELLS Drilling Capex $€ 4.8 HOSPITAL COMPLEX Plant Capex $€ 1.8 Transmissi
Slide 34: Tenerife Project
Tenerife Project For personal use only • Active Volcanic Island, MT Bottom hole gradient indicates magma chamber 94 oC /Km 3-4 km below surface • Tenerife Population ~ 1 Million; load > 800 MW; (Diesel & Wind) Source : ITER 2008 • Geochemistry indicates presence of a hydrothermal system with 250-350
Slide 35: Exclusive Cooperative Agreement to identify geothermal projects in China
Exclusive Cooperative Agreement to identify high prospect geothermal energy projects in China with four Chinese Government Institutions For personal use only • Chinese Geothermal Energy Society • Geological Survey of China • Chinese Academy of Sciences • China Institute of Geo-Environment Monitoring
Slide 36: Finding Hot Rocks in China
Finding Hot Rocks in China For personal use only petratherm
Slide 37: Yunnan: Potential temperatures at 5km
Yunnan Potential temperatures at 5km For personal use only petratherm
Slide 38: East Gippsland Licence Area
For personal use only East Gippsland Licence Area GEP 24 Wellington Park 1
Slide 39: Exploration Model for East Gippsland
For personal use only Exploration Model for East Gippsland 3500m - Blanketed by siltstone, shale & coal 4000m Coal beds Rintouls Creek Sandstone & Tyers Conglomerate or Palaeozoic basement equivalents Unconformity surface petratherm
Slide 40: Outlook for Calendar 2009
Outlook for Calendar 2009 • Apply for Round One of the $50M Geothermal Drilling Program For personal use only by 5 January 2009 and secure up to $7M funding for drilling by March 2009 • Complete Madrid GDH feasibility assessment by February/March concurrently seek JV partner(s) • Spud Paralana 2 dee
Slide 41: Thank You
Thank You For personal use only petratherm 105‐106 Greenhill Rd Unley, Sth Australia, 5061 Tel: +61 8 8274 5000 ASX code: PTR www.petratherm.com.au