Metgasco Ltd · ASX:MEL

Metgasco — Shareholder Meeting (October 2013)

15 slides from Metgasco's shareholder meeting presentation, Oct 29, 2013

  1. Slide 1: Annual General Meeting: Managing Director's address

    For personal use only Annual General Meeting Managing Director’s address 29 October 2013

  2. Slide 2: Disclaimer

    Disclaimer This presentation is being provided for the sole purpose of providing the recipients with background information about Metgasco Ltd (Metgasco). No representation, express or implied, is made as to the fairness, accuracy, completeness or correctness of information For personal use only con

  3. Slide 3: A frustrating and difficult two years

    A frustrating and difficult two years 2011 2012 2013 For personal use only Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec 1 Gasland followed by concerted anti-gas program 2 3 NSW election 4 NSW audit 5 N

  4. Slide 4: Suspension decision

    Suspension decision Industry on hold during NSW government review – essentially no field activity Feb 20 NSW Exclusion Zones/ EPA For personal use only changes Santos-ESG and Arrow- Bow deals. LNGL and ERM increase stakes in Licences renewed / NSW MEL support Federal election Field operations - anti

  5. Slide 5: Was the suspension decision the right one?

    Was the suspension decision the right one? Yes: For personal use only  All other gas exploration/development companies in NSW took action to reduce, delay or abandon their programs in line with our decision  As expected, definition of key policies and procedures continues, with resulting confusion

  6. Slide 6: Why did we announce a Rosella-1 restart in October?

    Why did we announce a Rosella-1 restart in October?  Rosella-1 will test the Greater Mackellar structure: a conventional / tight gas prospect. It is not a CSG well. For personal use only  Compared to CSG wells, a single conventional well:  can be much more decisive and add much more value to Metg

  7. Slide 7: Conventional / tight gas potential

    Conventional / tight gas potential  Kingfisher E01 For personal use only  First major conventional gas discovery in NSW (November 2009)  Large section of gas charged sands identified  138 metres of gas charged sands in Ripley Road and Gatton formations  Up to 500 meters of additional section be

  8. Slide 8: Costs have been managed

    Costs have been managed  Steady, systematic reduction in costs over two years  Large cuts in response to suspension decision For personal use only Expenditure $’s 30.0 25.0 Drilling and pre-drilling equipment Consultants 20.0 Seismic and associated studies Site abandonment Field operations 15.0 Le

  9. Slide 9: Regulations - "smart", not "tough" - and timely

    Regulations - “smart”, not “tough” - and timely  Metgasco strongly supports government regulation, Strategic Agricultural Land Map monitoring and enforcement CSG Buffer to Residential Zones Existing & Future For personal use only  Metgasco is promoting “smart” regulations, not tough regulations 

  10. Slide 10: Reserve reduction: just one of the impacts of poor regulation

    Reserve reduction: just one of the impacts of poor regulation CSG Buffer to Residential Zones For personal use only  CSG Reserves and Resources as of 31 December Existing & Future 2012 Reserves Resources 1P (PJ) 2P (PJ) 3P (PJ) 2C (PJ) PEL 13 31 303 1334 PEL 16 2.7 397 2,239 1,177 PEL 426 - Total 2

  11. Slide 11: Groundwater modelling

    Groundwater modelling For personal use only Example: Modelling (draft) of Clarence Moreton Basin (by Parsons Brinkerhoff) to determine likely impact on surface water supplies, laying a foundation for future approvals and water monitoring. Preliminary Drawdown at Location 1 Preliminary Page 11

  12. Slide 12: Community relations

    Community relations  Presentations at public meetings  Regular dinner meetings with community For personal use only leaders  Open days  Letters to landholders and general community  Videos – Switch and Fracknation – available at libraries  Website  Regular weekly advertisements  Community Co

  13. Slide 13: Jobs, jobs, jobs vs my grandchildren's future

    Jobs, jobs, jobs vs my grandchildren’s future  Community perception – extreme views presented: For personal use only Jobs Allegations of water contamination and health concerns Jobs Jobs Allegations of farming productivity losses Royalties Landholder rights Energy security Industrialisation of rura

  14. Slide 14: Key Achievements since mid-2011

    Key Achievements since mid - 2011  One of the most active CSG companies in NSW; acquired seismic and drilled two exploration wells (in a very subdued NSW industry) – despite local protest action For personal use only  Unfortunately needed to suspend activity in March 2013 due to political and inve

  15. Slide 15: Metgasco can contribute to NSW's gas supply needs

    Metgasco can contribute to NSW’s gas supply needs  CSG For personal use only  Largest uncontracted CSG reserves in eastern Australia  Broad recognition of gas prices about to increase significantly  Benefits of CSG to Queensland economy and rural areas increasingly obvious Conserve cash, manage

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