Ptr Minerals Limited · ASX:PTR
Ptr Minerals — Petratherm — SA Resources and Energy Investment Conference 2009
38 slides from Ptr Minerals's conference presentation, May 4, 2009
Slide 1: ASX Release: Company Update
ASX Release PETRATHERM LIMITED ABN 17 106 806 884 For personal use only Company Update – “Petratherm is uniquely positioned for success in the Australian and Spanish geothermal energy sectors” Petratherm Managing Director, Mr Terry Kallis, will later this morning present an update on the Company’s a
Slide 2: For personal use only
For personal use only The Weatherford Rig # 828 is a “Lightning” Rig manufactured by Le Tourneau Technologies Inc., from the USA. The 2000 HP Rig # 828 is capable of drilling very deep wells and will be available to other Australian geothermal energy developers thus enabling an acceleration of devel
Slide 3: For personal use only
• Petratherm’s unique Heat Exchanger Within Insulator (HEWI) Exploration Model has the potential to considerably reduce cost and risk, and thus bring forward the viability of large-scale geothermal projects in Australia and indeed overseas - a key point acknowledged by the Federal Government in awar
Slide 4: For personal use only
• The Madrid GDH project exhibits similar temperatures and flows at similar depths to those of the Paris basin where district heating has been operating for over 20 years and around 260 MW of thermal capacity is installed in 34 doublets. The Geo-Madrid existing doublet shows temperatures of 75°C, fl
Slide 5: For personal use only
• The next steps in the development of the Paralana Project include: o Arrival of the Weatherford 2000 HP drilling rig in Australia – due to arrive in Port Pirie next week on 10 May 2009 o Spud-in of the first deep well (up to 4 kilometres) in the next six weeks - mid June 2009 o Fracture stimulatio
Slide 6: For personal use only
• Petratherm’s two basic network solutions include: o A double circuit 275kV transmission line from Paralana to Port Augusta capable of delivering 520MW into the NEM at Port Augusta. (“Radial network solution”). o A single circuit 275kV transmission line from Paralana to Port Augusta and a single ci
Slide 7: About the Paralana Project Joint Venture Partners
Yours faithfully For personal use only Terry Kallis Managing Director ABOUT THE PARALANA PROJECT JOINT VENTURE PARTNERS: Beach Petroleum (ASX: BPT) is an oil & gas company headquartered in Adelaide that farmed-in to the Paralana Project in January 2007. Beach can earn up to 36% of the project for $3
Slide 8: SA Resources and Energy Investment Conference
For personal use only SA Resources and Energy Investment Conference Company Update “Building a portfolio of quality geothermal energy projects - Australia and Overseas” 4 May 2009 Presented by Terry Kallis (Managing Director) Explorer and Developer of Geothermal Energy
Slide 9: 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 10: Presentation Outline
Presentation Outline • Key Messages For personal use only • Corporate Overview • Renewable energy policy and geothermal • Paralana Overview and Joint Venturers • Project Portfolio – Paralana – Spain – Madrid / Tenerife – China – Victoria “Hot Sedimentary Aquifer” • Outlook for Calendar 2009 petrathe
Slide 11: Key Messages
Key Messages • Paralana 2 deep (4 kilometre) well to spud in mid June 2009 – For personal use only Weatherford Drilling International – 2000 HP “Lightning Rig” • Paralana JV Project received further endorsement and recognition with $7M geothermal drilling program (GDP) grant offer – 60% of funds ($4
Slide 12: Corporate Overview
Corporate Overview Key Statistics For personal use only Madrid & China – Exclusive Barcelona – direct exploration ¾ Current shares on issue – 65.6m (plus 7.77 m agreement use heat, EGS and options) hydrothermal ¾ Market capitalization ‐ $20.3m (at share price of $0.31) ¾ Cash ‐ $4.2 m (end of third
Slide 13: 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 14: Petratherm Board
Petratherm Board For personal use only Highly experienced Board with combination of commercial and technical skills including: • Corporate governance • Financial management Derek Carter Simon O’Loughlin Richard Hillis • Legal Derek Carter Chairman Chairman Director Director • Marketing • Project Man
Slide 15: 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 16: 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 17: 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 18: Renewable Energy Policy & Geothermal
Renewable Energy Policy & Geothermal • Federal Government - strong support − Carbon Pollution Reduction Scheme (CPRS) leading to Emissions For personal use only Trading in 2010/11 − established the 20% Renewable Energy Target (RET) by 2020 − Increased REC shortfall penalty from $40/MWh to $65/MWh an
Slide 19: Geothermal Energy Cost Comparison
For personal use only Geothermal Energy Cost Comparison
Slide 20: AGEA Report 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 21: Paralana Project - Overview
Paralana Project - Overview ¾ Uniquely positioned to be commercially viable at all Stages! For personal use only 9 High heat flow rate (128mW/m²) and predicted Temperature of 200˚C at a depth of 3600 metres 9 Stable geological formation and expect no overpressures – suggests good drilling conditions
Slide 22: Paralana Well Drilling
For personal use only Paralana 2 Well Drilling • Contract 2000 HP Drilling Rig # 828 from Weatherford International Drilling to arrive in Port Pirie in May 2009 - Le Tourneau – “ Lightning Rig” built in Dubai • Paralana 2 well to spud in mid June 2009 – all preparatory work near completion • Well Te
Slide 23: 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 24: Project Costs and Wind Comparison
Project Costs and Wind Comparison For personal use only ¾ Stage 1 ‐ HEWI model $30M to $35M ¾ Stage 2 ‐ 7.5 MW pilot plant – add’nl $45M to $50M ¾ Stage 3 ‐ 30 MW demo. plant –add’nl $125M to $150M ¾ Total 30 MW Project estimate* around $170M to $200M (*total current cost estimates and includes all
Slide 25: 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 26: 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 27: 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 rig arriving soon
Slide 28: 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 29: Paralana Project Area
For personal use only Paralana Project Area petratherm
Slide 30: 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 31: 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 32: 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 at Recent Well Assessment For personal use only 200 m3/hr at ~ 1500‐2000m depth. ¾ Geomadrid Pre‐feasibility Study indicates – doublets Producing 8MWt with an annual produc
Slide 33: Madrid District Heating – Low Enthalpy Reservoir
Madrid District Heating – Low Enthalpy Reservoir For personal use only Four existing wells ~ flows 200m3/h, temperatures of 80ºC enable to estimate a sustainable heat production of 30TWth over the next 75 years
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 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: East Gippsland Licence Area
For personal use only East Gippsland Licence Area GEP 24 Wellington Park 1
Slide 37: Outlook for Calendar 2009
Outlook for Calendar 2009 • Finalize the $57M TRUenergy Farm-in 9 For personal use only • Secure $7M GDP funding for drilling 9 • Spud Paralana 2 deep well (4kms) in mid June 2009, drill/complete well (around 2 to 3 months) followed by , testing logging, fracturing and stimulation program in second
Slide 38: 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
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