Slide 1: Mining 2006 Resources Convention
METGASCOua ACN ORB 196 383 Mining 2006 Resources Convention 1-2 November 2006 sn
Slide 2: Metgasco
METGASCO oo
Slide 3: Overview
OVERVIEW >» Metgasco (MEL)is a Coalseam gas exploration and development company which listed on ASX in December 2004. > It has identified a substantial resource in northern New South Wales, on the doorstep one of the most significant markets in Australia which Is also one of the fastest growing regi
Slide 4: Location of Activities
LOCATION OF ACTIVITIES @RISBANE > MEL has a dominant position in the Clarence Moreton Basin near Casino/Lismore in northern NSW > 100% of PEL16 - 833 km? > 75% of PEL13 (farm-in) - 1,654 km? > Net Acreage achieveable: 512,154 acres > Close to markets - (70km from Gold Coast) >» Market gap — highest
Slide 5: Recent Achievements
RECENT ACHIEVEMENTS >» March 2006 - largest Certified Gas Reserves in NSW >» 1,080 BCF (Possible - 3P) >» 21 BCF (Probable — 2P) » Achieved on slender capital outlays in just 15 months from listing » Declared “Major Project” by NSW government for 30Mw Richmond Valley Power Station at Casino NSW - Co
Slide 6: Description of Activities: Coal Seam Gas
DESCRIPTION OF ACTIVITIES COAL SEAM GAS (CSG) » Core business activity; First mover advantage with CSG from Walloon Coal Measures » Largest Certified Gas Reserves in NSW > 1,080 Bcf (Possible ~ 3P) > 21 Bef (Probable - 2P) > 2P covering 4% of PEL 16, No Reserves yet for PEL 13, >» 3P Reserves cover
Slide 7: Description of Activities: Coal Seam Gas
DESCRIPTION OF ACTIVITIES COAL SEAM GAS (CSG) >» Well Optimisation Program Underway — Rates up to 100Mcf/d after 2 weeks production » Each Basin is unique — have to find the right technology to match reservoir character » Hole design >» Pumping technology >» MMMC-01 : > 22m coal, methane charged, op
Slide 8: Description of Activities: Conventional Oil and Gas Exploration
DESCRIPTION OF ACTIVITIES CONVENTIONAL OIL AND GAS EXPLORATION > PEL 16 located in the Jurassic age Clarence Moreton Basin » One of the most underexplored basins in Australia > Potential for conventional oil and gas discoveries >» PEL straddles a mid basin high, a number of prospective leads identif
Slide 9: Description of Activities: Richmond Valley Power Station
DESCRIPTION OF ACTIVITIES RICHMOND VALLEY POWER STATION >» 30Mw Gas fired Power Station and associated Casino Gas Field > To supply gas fired power to Casino, will improve reliability of supply in area > Located south of town of Casino NSW » Casino Gas Field delivering 3.3pJ/Annum >» ~ Gas fired 2.5
Slide 10: Description of Activities: Additional Market Opportunities
DESCRIPTION OF ACTIVITIES ADDITIONAL MARKET OPPORTUNITIES » Regional Power Market » By 2010 it is estimated that about 650Mw of installed generation capacity will be required to service northern NSW (ACIL Tasman) >» Current Demand load growth northern NSW- Gold Coast > 50Mw/Annum » Local Gas Market
Slide 11: Next Month Objectives
12 - 18 MONTH OBJECTIVES > Continue CSG Well productivity optimisation » Develop 2P Reserves > 100Bcf — Drilling commences December > Conventional >» Complete seismic over leads identified » Drill at least one conventional well >» Richmond Valley Power Station > Cost estimate October 06 > Financial
Slide 12: Experienced Board and Management
EXPERIENCED BOARD AND MANAGEMENT Dr Peter Power - Chairman (Non-executive) Former Managing Director of Ampolex. Over 40 years experience. Foundation Head of Geology at WAIT (now Curtin University). Past President of Australian Geoscience Council. Past Chairman of APPEA. Director, Petsec. David Johns
Slide 13: Financial Snapshot
FINANCIAL SNAPSHOT Share Price (1 November 2006) $0.33 Market capitalisation at $0.33 $30 milion Shares on issue" 91 million 72 month trading range 20 - 43 cents Unlisted Options 16 million Cash on Hand November 2006 $ 2.0 million Conmsec * @ PARHECH charts : MEL.-.-METGASCO LIMITED 4-Now OE 42 O47,
Slide 14: In Summary
IN SUMMARY ih OS SM Rapid development of gas reserves since IPO Largest certified gas reserves in NSW Substantial leverage to 2P Reserve growth Well defined commercialisation strategy Next to fast growing energy markets — pipeline transportation cost advantage Experienced management and board “IN TH
Slide 15: Contacts
CONTACTS David Johnson Managing Director T: 02 9923 9100 F: 02 9923 9199 E: david.johnson@metgasco.com.au Glenda McLoughlin Chief Financial Officer T: 02 9923 9100 F: 02 9923 9199 E: glenda.mcloughlin@metgasco.com.au
Slide 16: Disclaimer
DISCLAIMER This presentation may contain forward looking statements that are subject to risk factors associated with the oil and gas business. It is believed that the expectations reflected in these statements are reasonable but they may be affected by a variety of variables and changes in underlyin