Slide 1: Key Petroleum Ltd June 2008 Investor Presentation
Key Petroleum Ltd For personal use only June 2008 Investor Presentation www.keypetroleum.com
Slide 2: Disclaimer
Disclaimer For personal use only The information in this presentation is an overview and does not contain all information necessary for investment decisions . In making investment decisions, investors should rely on their own examination of Key Petroleum Ltd and consult with their own legal, tax, bu
Slide 3: Location of Key Petroleum's Projects
Location of Key Petroleum’s Projects For personal use only p & SSW Offshore Namibia Key
Slide 4: Fast Facts
Fast Facts FINANCIALS AUD Cash (on hand / deposits) ................ $8.75 m For personal use only Market Cap ....................................... +/‐ $28.5 m Share Price ....................................... 36.5 cents Shares on issue ................................ 86 m Option Price ........
Slide 5: Board and Senior Management
Board and Senior Management Ted • 30 yrs + oil & gas experience Ellyard • Chairman / CEO of ASX / AIM companies Ted Ellyard • Creator of shareholder wealth For personal use only (e.g. Hardman Resources) Ken • 30 yrs + international oil industry Russell experience Ken Russell • Exploration, developme
Slide 6: Board Philosophy
Board Philosophy • Board members have exposure to excellent further deal flow opportunities For personal use only • Strong management and experienced technical team • Highly prospective asset portfolio • An active exploration program with high impact drilling opportunities in portfolio • The Songo S
Slide 7: Company – Where Is it Today
Company – Where Is it Today • It’s focused with a strategy that has resulted in very early success at Kiliwani North 1 and believes it has a low risk portfolio for growth with the recent award For personal use only of the Songo Songo West Licence • SSW contains high impact leads which Key will matur
Slide 8: Tanzania – Nyuni Block
Tanzania – Nyuni Block NYUNI BLOCK – OFFSHORE TANZANIA Key Petroleum earned 20% interest :‐ For personal use only • by paying 30% cost of 2 well programme, capped at US$15.4 M, thereafter 20% and • payment of 10% of operating cost for seismic acquisition (AFE US$2.5 M) (Completed)and • Issue of 2
Slide 9: Tanzania - Songo Songo Island
Tanzania ‐ Songo Songo Island For personal use only Key
Slide 10: Tanzania - Songo Songo West Block
Tanzania ‐ Songo Songo West Block: SONGO SONGO WEST BLOCK – OFFSHORE TANZANIA For personal use only Key Petroleum 50% interest and Operator :‐ • 2 well programme in first 3 years, 2nd well contingent on success of first well. • Approx 235 km of 2D seismic undertaken in 2005 is available to SSW JV.
Slide 11: Tanzania – Activity
Tanzania – Activity Activity in Tanzania • Key has positioned itself into a prospective area directly next to the main producing gas field along the whole length of the east coast of Africa. For personal use only • Interest in Tanzania’s energy potential has increased with all the offshore areas tak
Slide 12: Tanzania – Gas/Oil
Tanzania – Gas/Oil Activity in Tanzania Key’s second well, Kiliwani North, tested two structures : A potential OIL play, For personal use only and The northern lobe of the Kiliwani GAS structure. • Resulted in stabilised flow rate of 40 mmscf/d through 72/64” fixed choke, No H2S or CO2 and • An
Slide 13: Value Recognition - Gas
Value Recognition ‐ Gas Current Pricing Regime (USD $): For personal use only (Note: Price taken from Songo Songo gas field operators 2007 Q1 Interim report) Volumes Sold increases in last 12 months Gas sold to – Industrial 301 mmscf (31%) Gas sold to – Power 1,356 mmscf (99%) Price Obtained A
Slide 14: Geological Schematic – Songo Songo West to Nyuni Block
Geological Schematic – Songo Songo West to Nyuni Block For personal use only Key
Slide 15: Seismic Traverse - Songo Songo West to Songo Songo Gas Field
Seismic Traverse ‐ Songo Songo West to Songo Songo Gas Field For personal use only Key
Slide 16: Italian Petroleum Interests
Italian Petroleum Interests Onshore ~ Borsano ~100% • Close to Industrial City of Milan For personal use only • Prospective for both oil and gas Offshore ~ 100% Lampadusa x 2 Blocks ~ Bordering Tunisian Waters, Several mapped closures, Potential for 10 ~ 50 million bbls recoverable, 30 km SE from Ha
Slide 17: Po Valley Basin
Po Valley Basin Po Valley in the industrial north of Italy Main gas production zone in Italy For personal use only Italy imports about 90% of its gas requirements, mainly from Russia. Italy is the sixth or seventh biggest economy in the world Gas produced in Po Valley is high‐ quality. Wit
Slide 18: Offshore Italy
Offshore Italy Lampedusa, West Sardinia & Elba South For personal use only Obtain Seismic Work Up Prospects and Actively Seek Farmin Partners for Offshore Drilling Prospectivity of Lampedusa increased with Cairn Energy taking over MedOil. MedOil Tunisian permit is directly adjacent to Lampedusa
Slide 19: Namibia
Namibia Suriname • Key has signed a Consortium Agreement with Pancontinental Oil & Gas NL (ASX: PCL.AX) for joint petroleum exploration activities offshore For personal use only Namibia. • Consortium believe that the area holds significant oil exploration potential. • Pancontinental holds a Reconnai
Slide 20: Namibia
Namibia Suriname For personal use only Offshore Namibian exploration activity is now increasing rapidly with companies such as Hunt Oil Company, BHP Billiton and Tullow Oil acquiring licences along the Namibian coast. Under the terms of the joint venture agreement between the partners, Key will pay
Slide 21: Suriname
For personal use only Suriname Key
Slide 22: Suriname
Suriname • Key Petroleum owns 1.75% free carried interest in 2 Blocks For personal use only through 25 exploration wells. • Participants are Paradise Oil 60% (Govt.), Hardman 36.5% and Portsea Oil & Gas 3.5% (50% owned by Key Petroleum) • Low Cost, Low Risk onshore plays • Both blocks adjacent to Ta
Slide 23: Provisional Activity Schedule
Provisional Activity Schedule For personal use only PSA Signed Key
Slide 24: Summary
Summary ¾ Tanzania ~ ¾ “Key” has signed a PSA for a new exploration block, Songo Songo West, adjacent to the producing Songo Songo gas field. For personal use only ¾ Completed 2 well drilling programme with success at Kiliwani North #1 (40 mmscf/d through 72/64” fixed choke). ¾ Italy ~ ¾ Puma Petrol