Po Valley Energy Limited · ASX:PVE
Po Valley Energy — Shareholder Meeting (May 2008)
23 slides from Po Valley Energy's shareholder meeting presentation, May 30, 2008
Slide 1: Marching to first gas - AGM Presentation
Marching to first gas ‘first gas’ with For personal use only an expanded base for growth AGM Presentation 30 May 2008
Slide 2: Summary – Highlights Since Last AGM
SUMMARY – HIGHLIGHTS SINCE LAST AGM For personal use only Preparing for • Preliminary Production Concession & Environment first production Approvals (Sillaro & Castello) granted • Surface plant (Sillaro & Castello) now 50% complete • Expanding management depth • Gas marketing well advanced • Regulat
Slide 3: Production Field: Sillaro
PRODUCTION FIELD: SILLARO For personal use only Top of Anticline Multiple gas bearing stacked reservoirs 3.8 million cf/day = A$59k/day = A$21m pa Production test (Dec 2005) Page 2
Slide 4: Production Field: Castello
PRODUCTION FIELD: CASTELLO For personal use only Pinch out structure San A1 and San A2 tested positive 2.7 2 7 million cf/day = A$42k/day ($15m pa) Page 3
Slide 5: Surface Plant Construction on Schedule
SURFACE PLANT CONSTRUCTION ON SCHEDULE For personal use only Overall Progress versus Schedule Schedule Progress Equipment complete 100% on skids 90% 80% “Installation ready” 70% 60% 50% 40% 30% 20% 10% 0% Aug- Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr- May- Jun- Jul- Aug- Sep- Oct- Nov- Dec- 07 07 07 0
Slide 6: Gas Sales Update
GAS SALES UPDATE For personal use only Early January Registration of interest End January Commercial and technical presentations on Po Valley Energy and the Castello and Sillaro fields 4 April Issue of bid pack (16 issued) 9 May Presentation of good faith, 11 ““non-binding” bi di ” bid bids received
Slide 7: Italian Gas Prices Continue to Firm
ITALIAN GAS PRICES CONTINUE TO FIRM For personal use only May 2008 Prices 2008 Gas Year Price EUR = 0.30/cm EUR = 0.42/cm AUD or EUR/cm AUD = 13.96/’000cf AUD = 19.50/’000cf USD/’000cf 0.35 USD = 13.33/’000cf USD = 18.70/’000cf 20 0.30 16 EUR Prices 0.25 12 0.20 AUD Prices 0.15 USD Prices 8 0.10 4 0
Slide 8: Production Field: Sant' Alberto
PRODUCTION FIELD: SANT’ ALBERTO For personal use only Now 100% PVE owned and operated Logs identify two gas bearing levels Flow of 0.08mcm / day on ¼” choke – this is the restricted flow for initial operations ti Good pressure recovery Production concession application previously in hands
Slide 9: Appraisal Field: Fantuzza
APPRAISAL FIELD: FANTUZZA For personal use only Targeting 2,600m Miocene structure ~40bcf / 1.15 bcm (70% of entire field reserves) Previously drilled and tested by ENI 50km of seismic acquired and processed Fantuzza 1 site selected, drilling approvals in process, equipment purchased and dri
Slide 10: Appraisal Field: Bezzecca
APPRAISAL FIELD: BEZZECCA For personal use only Targeting 45bcf / 1.27 bcm 50km of seismic acquired Equipment purchased, structure and processed confirmed drilling rig contracted structure and drill site Previously successfully drilled Expected to spud in and tested by ENI in 1950s; Dril
Slide 11: Expanding Resource Base
EXPANDING RESOURCE BASE For personal use only Po Valley – core projects 3 Production fields 2 Appraisal fields 10 Gas Exploration targets Contested Contested 2 Oil targets 1 Storage field application Page 10
Slide 12: Project Pipeline — IPO 2004
PROJECT PIPELINE — IPO 2004 For personal use only Exploration Appraisal Development Production • Castrocaro • Bezzecca • Castello • Sant’Alberto • Clodo • Sillaro • Malerba Page 11
Slide 13: Expanded Project Pipeline and Operations — 2008
EXPANDED PROJECT PIPELINE AND OPERATIONS — 2008 For personal use only Applications Exploration/ Development Production Storage Appraisal Appraisal 1 offshore gas 6 new licence 2 Appraisal 3 fields Preparing to bid & 2 onshore areas targets moving into for new gas gas production storage licences • AR
Slide 14: Project Pipeline of Unrisked Resources
PROJECT PIPELINE OF UNRISKED RESOURCES For personal use only Prospect Undiscovered Potential* bcf Depth (m) Licence Area Casa Rossa 77 4,300 Podere Gallina Ariano 53 2,500 La Risorta Fondo Perino 45 2,700 Podere Gallina Donnino 45 2,200 , Opera p D.Delle Anime 42 2,600 La Risorta Gradizza 21 1,200 L
Slide 15: Leading Gas/Oil Targets — North Po Valley
LEADING GAS/OIL TARGETS — NORTH PO VALLEY For personal use only Page 14
Slide 16: Gas Storage — New Strategic Initiative
GAS STORAGE — NEW STRATEGIC INITIATIVE For personal use only Italian gas storage market Leader STOGIT (ENI subsidiary) Becoming B i a critical iti l assett iin a constrained t i d supply l market k t Government pushing new development; 5 new storage licenses being released Po Valley + Star
Slide 17: Gas Reserve Summary — 2P Reserves
GAS RESERVE SUMMARY — 105 BCF / 3 BCM 2P RESERVES For personal use only Exploration Permit Remaining Recoverable Reserves Field Names PVE PVE Interest Proven Probable Possible Total 1 S 1. Sant’ t’ Alberto Alb t S Vincenzo San Vi 50% 64 6.4 71 7.1 86 8.6 22 1 22.1 2. Sillaro/Fantuzza Crocetta 100% 1
Slide 18: Significant Revenue Expected from First Fields
SIGNIFICANT REVENUE EXPECTED FROM FIRST 3 FIELDS For personal use only Commercial gasflows from wells entering production will have an annualised production rate of 8.5 million cf/day (when in full production) Sillaro 1d = 1.3 million cf/day (1 prod. level only) ……………drilled & tested Sillaro 2
Slide 19: Strong Position with Continuing Momentum
STRONG POSITION WITH CONTINUING MOMENTUM For personal use only Commencement of Castello and 105bcf 105b f 2P reserves… Sillaro gas sales …plus a strong and expanding Drilling of one production and two p exploration p portfolio… exploration wells …and heading to strong Full grant of 9 new
Slide 20: Board of Directors
BOARD OF DIRECTORS For personal use only Mr Graham Bradley • Former CEO - Perpetual, Blake Dawson Waldron Non-executive Chairman • Director – Singtel • Chairman – HSBC, HSBC Stockland, Stockland Boart Longyear Mr David McEvoy y • 33 yyears Exxon/Esso Non-executive Director • Director - Woodside Petr
Slide 21: Senior Management
SENIOR MANAGEMENT For personal use only Mr Dom Del Borrello • 15 years in Finance Chief Financial Officer • Treasurer Iluka Resources & Anaconda Nickel & Company Secretary • Goldman Sachs (London) Mr Doug Colkin • 17 years with Enterprise Oil including GM for Italy Chief Operating Officer • Senior r
Slide 22: Chief Operating Officer Appointed
CHIEF OPERATING OFFICER APPOINTED For personal use only Doug Colkin Petroleum geologist by background, with more than 30 years of international industry experience including significant experience in experience, Italy. Fluent in Italian. 17 years with Enterprise Oil, including GM for Italy during th
Slide 23: Disclaimer
Disclaimer For personal use only This presentation should not be considered as an invitation or recommendation to purchase securities in PVE. PVE has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. Accordingly, to t