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COMPANY PRESENTATION November 2009 cygamenergy

COMPANY PRESENTATION November 2009 www.cygamenergy.com. CYGAM ENERGY Inc. Forward-Looking Statements.

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COMPANY PRESENTATION November 2009 cygamenergy

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  1. COMPANY PRESENTATION November 2009 www.cygamenergy.com CYGAM ENERGY Inc.

  2. Forward-Looking Statements Certain statements contained in this presentation, including statements which contain words such as “could”, “should”, “expect”, “estimate”, “believe”, “likely” or “will” and statements relating to the business plan and strategy, expansion and growth of Cygam’s business and operations, oil and gas production estimates, estimates of exploration activity, drilling and seismic activity, and similar expressions and statements are forward-looking statements. Such forward-looking statements involve substantial known and unknown risks and uncertainties. These forward looking statements are subject to numerous risks and uncertainties, certain of which are beyond Cygam’s control, including the impact of general imprecision of reserve estimates, oil and gas price volatility, environmental risks, political and economic risks, fluctuations in currency and interest rates, changes in laws and regulations in jurisdictions in which Cygam does business, including environmental, taxation policies, competition from other producers, the lack of availability of qualified personnel or management, stock market volatility, and the ability to access sufficient capital from internal and external sources. Cygam’s actual results, performance and achievements could differ materially from those expressed in, or implied by, these forward looking statements, and accordingly, no assurance can be given that any of the events anticipated by the forward looking statements will transpire or occur, or if any of them do so, what benefits Cygam will derive therefrom.

  3. Capital Structure • Listed on the TSX Venture Exchange, symbol "CYG“ • Closing Price of $0.56 on November 3, 2009 • Basic Shares Outstanding 85,614,204 • 28,452,775 shares are subject to a 6 year escrow • Fully Diluted Shares Outstanding 92,914,204 • 69% insider ownership on a FD basis • Options exercisable at between $0.60 and $1.31 per share • Assets include • 10 exploration permits in Italy and Tunisia • $2.2 million in Canadian producing properties • $1.5 million in positive working capital (October, 2009)

  4. Board of Directors Experienced Board of Directors • Neli Rigo Chairman and Director • Dario Sodero Geologist President, CEO and Director • Ali Rawji CA CFO and Director • Derrick Armstrong Lawyer Independent Director • Drew Burgess CA Independent Director • Peter Haverson Engineer Independent Director • Giuseppe Rigo Geologist VP Intl. Exploration and Director Significant ownership • Management and directors own 71% of the issued and outstanding shares

  5. Management Experienced Management Team • Dario Sodero - President, CEO and Director - Geologist with over 35 years of Canadian and international oil & gas experience, 30 years in senior management positions with Cities Service and with public companies (Atlas Yellowknife Resources, Coachlight Resources, Sheer Energy) on the TSX and TSXV. Doctorate in Geological Sciences. • Ali Rawji, CA - CFO and Director - CA and CFA, with 25 years of Corporate Finance and international financial experience with accounting firms (AA&Co and PWC), securities industry, TSX Venture Exchange and venture capital investment banking (First Associates Investments Inc.). Graduate of LSE. • Giuseppe Rigo - VP Intl. Exploration and Director - President of Rigo and Vega (Cygam’s wholly owned subsidiaries),25 years experience as a geologist in Italy and Mediterranean region (Lasmo International Ltd. and Lasmo Mineraria S.p.A.), most recently Resident Manager of Grove Energy which made a gas discovery in Northern Italy. Degree in Geological Sciences. • Rodolfo Begolli - Resident Manager (Tunisia) - Geologist with over 35 years of experience in Europe and North Africa (Total and ENI) and direct operational experience in Tunisia. Most recently worked for ENI in Egypt. Degree in Geological Sciences. • Sandro Silenzi - VP Exploration (Rigo and Vega) - Geologist with over 40 years of Canadian and International experience (CPOG, Getty Oil, Canadian Superior, TCPL and Encor Energy) including Algeria and Tunisia. Degree in Geological Sciences.

  6. Cygam Near Term Upside • Current risked expected net asset value (RENAV) of $1.19 per share based on independent reserve reports on the Sud Remada and Elsa permits(1) • 2010 Capital expenditure program will result in two appraisal wells and three exploratory wells, plus several 2D and 3D seismic programs • RENAV expected to increase to $3.08 per share upon completion of 2010 drilling program • Potential unrisked net asset value of up to $9.78 per share • Production expected to increase from current 54 boepd to 1,017 boepd by December 2011 • Reserves expected to increase by 113% by December 2010 (1) Independent reserve/resource assessments and management estimate of future cash flows.

  7. Long Term PotentialPotential Exit Production (boed)

  8. Long Term PotentialPotential Reserve Additions (Mboe)

  9. Italy and Tunisia highlights • Exploration portfolio comprised of highly prospective, near term and long term opportunities • No signature bonus required in Italy or Tunisia - Pro-oil industry and stable Governments • Italy has one of the best royalty structures and is the third largest producer in Europe • Tunisia has the most favorable royalty structure in North Africa Exploration History Production & Reserves Cygam Acreage Royalty and Taxes Onshore Oil & gas : 7% - first 125,000 bbls /y /field and 0.7 BCF/y/field royalty free Offshore Oil :4% - first 300,000 bbls /y /field royalty free Gas : 7% - first 1.75 BCF/y/field royalty free Corp. Tax rate:33% • 7,056 wells drilled from 1941 to 2007 of which 1,536 drilled offshore; • 38 wells drilled in 2007 • 389,077 gross acres • 294,792 net acres • 2008 production : • 255,000 BOEPD • (100,000 BOPD + • 935 MMCFPD) • Proved Remaining • Reserves : • 1,790 MM BOE Italy • 1050 wells drilled from 1932 to 2008 • 45 wells drilled in 2008 • 2008 production : • 135,000 BOEPD • (87,000 BOPD + • 287 MMCFPD) • Proved Remaining • Reserves : • 838 MM BOE Oil and gas : Progressive rate of 2% to 15% of production based on profitability • 3,139,157 gross acres • 1,534,974 net acres Tunisia

  10. Elsa • 18,782 current net acres (76 km2) • 60% Working Interest (inclusive of a 20% free carried interest) • Offshore permit in shallow Adriatic sea (35 m average water depth) • Well expected to cost approximately $30 million (Cygam’s share will be $12 million at current working interest) • Well licensing process (submission of Environmental Assessment Report) initiated by Cygam in July, 2009 • Drilling of 4,700 m well planned for 2010, depending on rig availability • 354 km of 2-D seismic data reprocessed and interpreted. Simulation study completed. • Potential net pay in main reservoir: 50 meters • Elsa structure: 15 km2 . Additional structures outlined on the permit • Potential recoverable resources in main structure : 85 -104 MMbbls (most likely case) • NI51-101 compliant reserve report completed by DeGolier and MacNaughton (104 MMbbls and 31 Bcf recoverable resources as most likely case) • Expected oil gravity: 20º-35º API - Jurassic / L. Cretaceous Maiolica Eq. formation

  11. Elsa ELSA PROSPECT (Pescara Basin) d500B.R-.EL Application Petroceltic Umbria-Marche Basin Fine-grained pelagic deposits Elsa Prospect -15 km2 104 MMSTB 20-35°API OIL 31 Bcf GAS P50 Recoverable resources Transition Zone Dolomitized bioclasticbasin floor fans d496B.R-.EL Application Petroceltic B.R268.RG Permit 60% working interest Inclusive of 20% carried interest D.S. GIOVANNI TEATINO Application ENI BUCC BUCCHIANICO Permit ENI B.R269.G.R Permit Medoil Apulian Platform Carbonate reef deposits MIGLIANICO Concession ENI Miglianico Field 37 MMSTB 34°API OIL P1 Recoverable reserves ORTONA Permit ENI

  12. Aretusa • 88,473 current net acres (358 km2) • 100% Working Interest • Final ministerial approval received in December, 2006 • Potential structure size: 70 km2 • Potential net pay: 125 m • Potential gross resources in place: 1 billion BOE • Expected oil gravity: 35º API • Expected well costs: $35 million • Water depth: approximately 90 m • 3-D Seismic planned for 2010 • Main target: Upper Triassic Taormina formation which produces in offshore Mila field (34º API) and onshore Gela and Ragusa fields (10º API and 19º APIrespectively) • Aretusa-1 well tested 1,400 BOPD of 36º API oil and 11.5 MMCFD on a six hour test from fractured limestones of the Villagonia formation which overlies the Streppenosa formation (main source rock) and the Taormina formation (main target) • The Taormina formation was never reached in nearby wells which were drilled to test the shallower Lower Jurassic Siracusa target of the Vega field (16º API)

  13. Aretusa ARETUSA PROSPECT (Streppenosa Basin) Irminio Field 10 MMSTB 31°API OIL Recoverable reserves Irminio Conc. Irminio S I C I L Y MEDITERRANEAN SEA Mila Field 10 MMSTB 34°API OIL Recoverable reserves Streppenosa Basin Black shales d360C.R-.TU Application Transunion d361C.R-.TU Application Transunion d355C.R-.SR Applic. Sviluppo Risorse Siracusa Platform Carbinate reef deposits C.R148.VG Permit 100% working interest ARETUSA 1 C.C6.EO Concession Edison d359C.R-.TU Application Transunion Vega Field 36 MMSTB 16°API OIL Recoverable reserves Aretusa Prospect - 70 km2 300 MMSTB 35°API OIL Recoverable resources MEDITERRANEAN SEA C.R146.NP Northern Petroleum

  14. Other Italian permits Five approved permits and one permit awaiting final approval, with total net acreage of approximately 290,000 net acres P O S T A N U O V A M A S S. M O N T A R O Z Z O Onshore SE Italy Current W. I.: 100 % Gross Acreage: 38,155 ac. (154.4 km2) Potential Resources: 0.7 MM BOE New seismic acquisition: Q2 2010 Drilling plans to be decided Onshore SE Italy Current W. I.: 100 % Gross Acreage: 38,300 ac. (155 km2) Potential Resources: 0.5 MM BOE Preliminary approval: Aug 2008 C I V I T A Q U A N A M O N T A L B A N O Onshore East Central Italy Current W. I.: 65 % Gross Acreage: 152,081 ac. (615.4 km2) Potential Rec. Resources: 5 MM BOE (plus potential resources similar to B.R 268.RG for deeper targets) Seismic acquisition: Q4 2009 Onshore South Central Italy Current W. I.: 42.86 % Gross Acreage: 40,765 ac. (165 km2) Potential Resources: 0.5 MM BOE Exploratory drilling: Q1 2010 C. R 1 4 8. R G

  15. Sud Remada permit • Onshore southern Tunisia, adjacent to the Libyan border • 164,252 net acres (664.7 km2) • 14% Working Interest • Operated by Storm Ventures International Inc. • Net potential reserves in place: 24-31 MM STB (TT structure alone) . Independent reserve report on the TT structure currently being prepared in accordance with NI 51-101 guidelines • Two large Ordovician structures (TT structure and El Bell structure) with the indicated areal extent of 67 km2 and 74 km2 respectively have been defined by 2D seismic • Completion and testing operations of TT2 discovery well confirmed presence of 44º APIoil and natural gas. The well commenced production on March 22, 2009 at flow rates of 230-250 BOPD plus 300mcf/d • Silurian Tannezuft potential to be fully tested in future appraisal horizontal wells • Several Silurian Acacus seismic structures, similar to the Adam and Hammouda fields in Tunisia and other fields in Libya, are present on the permit

  16. Sud Remada permit TT-1 TT-2 GOC -1230m OWC -1269m C.I = 10 m 5 km 0 TT structure Structural closure: 110 km2 Gross reservoir thickness: 98 m Area of oil pay: 67 km2 Net oil pay: 50.5 m Area of gas pay: 35 km2 Net gas pay: 7 m Initial independent Reserve Assessment: 170-220 MM STB in place 24-31 MM STB recoverable 2009-2010 development plan includes: • One year (or up to 90,000 bbls) extended production testing of TT2 well • Over 45,000 barrels already produced since March 22, 2009 • Acquisition of 3D seismic on TT structure completed in October-November 2009 • Drilling of two appraisal wells in 2010 • Appraisal wells expected to be on full production by late 2010

  17. Bazma permit Triassic Tagi gas and condensate potential, similar to the adjacent Tarfa and Baguel fields Several deeper Silurian and Ordovician targets outlined on the permit Newly acquired seismic data identified several potential structures and confirmed the selected drilling location on the Frida structure, approximately 4.5 km NE of the Tarfa field Gas, oil and condensate pipelines from adjacent Tarfa and Baguel fields are crossing the permit area • Permit officially granted on July 28, 2006 • Onshore, adjacent to the Jorf Permit • 315,457 net acres (1,276.6 km2) • 79% Current Working Interest (inclusive of 12.7% free carried interest) • Net potential resources of 50 MM BOE • Drilling operations for Triassic prospectexpected to commence in 2010 • Large US Company (undisclosed) to reprocess large amount of seismic data and acquire extensive new 2D seismic, with option for 3D seismic and drilling of deep well at no cost to Cygam

  18. FR TY A Bazma permit Target distribution & prospect/leads map 0 10 Km LMG 2 MA 1 JORF PERMIT TAGI TARGETS PALEOZOICTARGETS KGF 1 BAZMA 1 V LEGEND A TRIASSIC PROSPECT (3) D ZMT 1 C B PALEOZOIC LEAD/PROSPECT (9) 5 km E FR BS 1 TARFA 2 BZ 1 OIL PIPELINE TARFA 1 F 7 km GAS CONDENSATE PIPELINE DZ BZ 2 HBR 1 BAGUEL- TARFA Production Concession ZKH 1 DOUZ 1 BAGUEL 1

  19. Other Tunisian Permits S U D T O Z E U R J O R F Onshore Central Tunisia Type of contract: PSA Current Working Interest: 89 % Gross acreage: 1,082,298 ac. (4,380 km2) Potential resources: 150 MM BOE Exploratory drilling: Q4 2010 Onshore Central Tunisia Type of contract: JV Current Working Interest: 19 % Gross acreage: 484,316 ac. (1,960 km2) Potential resources: 94 MM STB Exploratory drilling: Q4 2010

  20. 2010 Capital Expenditure Program

  21. Cygam Summary • Nine exploration permits awarded in Italy and Tunisia, and one exploration permit which received preliminary approval in Italy • Gross exploration acreage comprising approximately 3.5 million acres • Several permits with potential in excess of 100 million BOE in place. • Total gross unrisked potential resource estimated to be in excess of 1 billion BOE • 2010 plan includes finalizing 2D seismic interpretation on five permits, acquiring 3D seismic coverage on two permits plus drilling two appraisal wells and one exploratory well in Tunisia and two exploratory wells in Italy • 2010 plan expected to increase RENAV from $1.19 to $3.08 per share • Positive working capital and several joint venture partners willing to participate in Cygam’s prospects on a promoted basis • Expected future participation in new exploration areas with significant oil and gas potential in the Mediterranean basin

  22. APPENDIX – ADDITIONAL LICENCE INFORMATION

  23. Elsa 1 Line B89-815 TOP MAIOLICA EQ. ISOBATH MAP ELSA 1 NW SE Top Gessoso Solfifera Top Fucoidi Top Maiolica Eq. Top Calcari ad Aptici Line B89-815 Elsa - Italy TARGET: Oil FORMATION: Maiolica AGE: Upper Jurassic / Lower Cretaceous ____________________________ POTENTIAL AREA: 15 km2 PAY: 85 m POROSITY: 10 - 19 % S.W.: 20 - 40 % OIL GRAVITY 20-35°API R.F.: 20 % _____________________________ RECOVERABLE RESERVES (MEAN) OIL: 85 MMBO GAS: 724 Million m3 (26 BSCF)

  24. TOP TAORMINA ISOCHRON MAP Aretusa 1 Line LT-83-01 SICILY CHANNEL ISOCHRONES HORIZON “C” TOP OF TAORMINA DOLOMITES (Upper Triassic) Line HS-81-04 0 5 10 Km ARETUSA 1 (projected) ARETUSA 1 HS-81-04 LT-83-01 Gessoso Solfifera Hybla Buccheri Buccheri Streppenosa Streppenosa Taormina Taormina NW SE SW NE Aretusa - Italy TARGET: Oil FORMATION: Taormina AGE: Upper Triassic_____________________________ POTENTIAL AREA: 70 km2 PAY: 125 m POROSITY: 13 % S.W.: 25 % OIL GRAVITY 35°API R.F.: 30 % _____________________________ RECOVERABLE RESERVES (MEAN) OIL: 300 MMBO

  25. Civitaquana permit - Italy • 98,852 current net acres (400 Km2) • 60% Working Interest (Cygam operated), plus a 5% free carried interest in the first well drilled • Purchase and reprocessing of 100 km of existing 2-D seismic data planned for 2010. Optional acquisition of 60 km of new data • Shallow structures already outlined • Deeper Cretaceous structures to be further investigated. These structures could have potential resources similar to B.R268 permit • Shallow potential in Oligocene - Miocene formations, similar to Cigno-Vallecupa fields • A shallow well, originally planned for Q4, 2010 to test the Miocene at 2,500 m, may be delayed due to current drilling restrictions imposed by the Abruzzi Region following the L’Aquila earthquake of April, 2009.

  26. Civitaquana permit - Italy AMBROSIO PROSPECT (Umbria-Marche Basin) d496B.R-.EL Application ENI D.S. VENERE Application ENI Umbra-Marche Basin Colle Tavo Field 50 MMSTB 44°API OIL Recoverable reserves Transition Zone B.R268.RG Permit CYGAM CIVITAQUANA Permit 60% working interest Incusive of 5% carried interest D.S. GIOVANNI TEATINO Application ENI B.R263.RG Permit ENI Apulian Platform Ambrosio Prospect 2.6 km2 5.6 MMSTB OIL Recoverable reserves MIGLIANICO Concession ENI Gran Sasso Thrust Front (Apenninic Platform) B.R269.RG Permit Medoil Teramo Thrust Front BUCCHIANICO Permit ENI APENNINE FOREDEEP ORTONA Permit ENI SAN BASILE Concession Medoil FILETTO Concession GasPlus APENNINE FOLD-AND-THRUST BELT Maiella Thrust Sheet (Apulian Platform)

  27. Civitaquana permit - Italy AMBROSIO PROSPECT Ambrosio 1 Line PE-421-89 Ambrosio 1 Well LINE PE-421-89 Pliocene Pliocene Messinian Uncomformity TD: 1600 m Messinian Uncomformity LEGEND Laga F. (Messinian) Bolognano F. (Tortonian) Near-top Fucoidi (L. Cretac.) TARGET: Oil FORMATION: Bolognano Fm. AGE: L-Middle Miocene_____________________________ POTENTIAL AREA: 2.6 km2 PAY: 120 m POROSITY: 6-13 % S.W.: 50 % BO 1.4 R.F.: 10 % _____________________________ RECOVERABLE RESERVES (MEAN) OIL: 5 MMBO

  28. Montalbano permit – Italy • 12,230 current net acres (49.5 km2) • 42.86% Working Interest • Election to drill a 1,600 m exploratory well • Reprocessing and interpretation of 80 km of existing seismic data has been finalized • Older well tested gas within the permit, near the northern border • Exploration objectives are Pliocene sands, which produce gas and 32º - 36º API oil in nearby Grottole-Ferrandina and Pisticci fields (Miocene Calcarenites and Cretaceous to Jurassic carbonates) • Exploratory well planned for Q2 2010

  29. Montalbano permit - Prospect “Fiume Cavone” TARGET: Gas sands FORMATION: Ferrandina Fm. AGE: Pleistocene_____________________________ POTENTIAL AREA: 0.716 km2 PAY: 12.7 m POROSITY: 25.7 % S.W.: 40 % R.F.: 65 % _____________________________ RECOVERABLE RESERVES (MEAN) GAS: 1.87 BCF MT558-95 FAG-02-85 FB-577-78 Nord Fiume Cavone-1 Dir S4 Target Time Map (c.i. 10 ms TWT) Montesano 1 Dir Possible GWC (910 m TVDSS) Fiume Cavone-1 Dir Well trajectory S4 Target ALLOCHTON 200 m Timpa Rossa 1 Fiume Cavone-1 Dir NNE SSW PLIO-PLEISTOCENIC SEQUENCE S4 Target ALLOCHTON S5 Level 200 m Seismic Line FB-577 (1978)

  30. Posta Nuova permit – Italy • 38,155 current net acres (154.4 km2) • 100% Working Interest • Posta Piana-1 well, drilled in May 2007, P&A • Additional lead identified in the eastern portion of the permit • Adjacent Lucera field produced 28 BCF to date, Candela and three other nearby fields have produced 671 BCF • Potential reserves of about4 BCF allocated to other structures on the permit • Seismic review to be carried out in 2010 • Gas transmission infrastructures nearby the permit

  31. Masseria Montarozzo application – Italy • 38,300 current net acres (155 km2) • Adjacent to the Posta Nuova permit • 100% Working Interest • Election to drill a 1,400 m exploratory well • Reprocessing and interpretation of 50 km of existing seismic data to be finalized • Exploration objectives are Pliocene sands, which produce gas in nearby Candela-Palino, Roseto-Montestillo, Lucera and Mezzanelle fields • Gas transmission infrastructure near by the permit

  32. Additional gas prospects – Southern Italy Mass. Montarozzo Application Posta Nuova Permit ITALY Adriatic Sea APENNINE FORELAND (Apulia Platform) APENNINE FOLD-AND-THRUST BELT (Lagonegro Basin) APENNINE FOREDEEP (Bradano Trough) Ionian Sea Montalbano Permit Tyrrhenian Sea Posta Nuova Permit • 38,155 current net acres (154.4 km2) • 100% Working Interest • Posta Piana-1 well, drilled in May 2007, P&A • Additional lead identified in the eastern portion of the permit • Adjacent Lucera field produced 28 BCF to date, Candela and three other nearby fields have produced 671 BCF • Potential reserves of about 4 BCF allocated to other structures on the permit • Seismic review to be carried out in 2010 Masseria Montarozzo Application • 38,300 current net acres (155 km2) • 100% Working Interest • Reprocessing and interpretation of 50 km of existing seismic data to be finalized • Exploration objectives are Pliocene sands, which produce gas in nearby Candela-Palino, Roseto-Montestillo, Lucera and Mezzanelle fields Montalbano Permit • 12,230 current net acres (49.5 km2) • 42.86% Working Interest • Older well tested gas within the permit, near the northern border • Exploration objectives are Pliocene sands, which produce gas and 32º - 36º API oil in nearby Grottole-Ferrandina and Pisticci fields

  33. Jorf permit - Tunisia Permian reef potential, similar to West Texas Permian basin and discoveries in Kazakhstan north Caspian fields (Tengiz / Kashagan) Two Permian pinnacle reefs (prospect “Y” and prospect “Z”) outlined through interpretation of approximately 2,000 km of older seismic data in the northern sector of the block and confirmed by 200 km of new seismic campaign (2008) The Bhayra Rigo-1 well, drilled in August 2007, confirmed the presence of a highly porous and dolomitized Permian reef reservoir Major 24 inch pipeline within 6 km to 35 km from two reef structures Two oil treatment centers close to potential drilling locations • Onshore Tunisia, within 35 km of the Gulf of Gabes • 92,020 net acres (372.4 km2) • 19 % Current Working Interest • Net potential resources of 18 MM STB • Received 2°exploration renewal period of 2.5 year (expiry date: Aug 5, 2011) • Drilling of deep Permian reef or shallower Triassic Tagi prospect planned for early 2011

  34. Bazma permit – Prospect “Frida” - Tunisia TARGET: Gas & Cond. FORMATION: TAGI ss. AGE: Middle Triassic ------------------------------------------ POTENTIAL AREA: 2.2 km2 PAY: 14 m POROSITY: 21 % S.W.: 35 % GOR: 18.2 STCF/BBL R.F.: 30% -------------------------------------------- RECOVERABLE RESERVES (MEAN) OIL: 4 MMBO GAS: Not evaluated TOP AZIZIA DEPTH MAP ZOOM (C.I.: 5 m) FRIDA: Surface Closure 2.2 km2 Vertical Closure 14 m Depth of Azizia 2205 m Depth of TAGI 2270 m SEISMIC LINES IKV 231/99BAZ3 SEISMIC LINE IKV 231 FRIDA PROSPECT AZIZIA/TAGI FRIDA PROSPECT HERCYNIAN UNC.

  35. Bazma permit – Prospect “Tiniya” - Tunisia NE SW Tiniya 1 (TN-1) well Location (CDP 185) 100 0 300 400 600 500 SP msec 0 Austrian Unconformity 500 TAGI Fm. 1000 Hercynian Unconformity 1500 Near top Ordovician 2000 2500 3000 SEISMIC LINE IKV-N137 TOP ORDOVICIAN DEPTH MAP (C.I.: 200 m) TOP AZIZIA DEPTH MAP (C.I.: 20 m) 4000 m TINIYA WELL LOCATION TINIYA WELL LOCATION 3500 m 2 Km 0 2 Km 0 TARGET: Gas & Cond./Oil FORMATION: TAGI ss/Ord/Cam AGE: Trias/Ord/Cam. ---------------------------------------- POTENTIAL AREA: 8-12 km2 PAY: 12-18 m POROSITY: 23-12 % S.W.: 35-30 % R.F.: 25-15 % ---------------------------------------- RECOVERABLE RESERVES (MEAN) OIL: 52 MMBO GAS: N.E.

  36. Jorf permit - Tunisia V Z Y Y 0 5 10 Km Target distribution & prospect/leads map LMG 2 MA 1 JORF PERMIT TAGI TARGET PALEOZOICTARGETS KGF 1 8 km 4 km BAZMA 1 V LEGEND TRIASSIC PROSPECT ZMT 1 BAZMA PERMIT PALEOZOIC LEAD/PROSPECT BS 1 TARFA 2 OIL PIPELINE TARFA 1 GAS CONDENSATE PIPELINE HBR 1 ZKH 1 DOUZ 1 BAGUEL 1 BAGUEL- TARFA ProductionConcession

  37. Jorf permit – Prospect “V” - Tunisia WELL LOCATION WELL KGF 1 NEAR TOP AZIZIA DEPTH MAP ZOOM (C.I.: 20 m) SSW NNE WELL LOCATION 1200 1200 1400 1600 2000 2200 2478 300 AUSTRIAN UNC. 500 PROSPECT “V” AZIZIA/TAGI 1000 JORF PERMIT BAZMA PERMIT HERCYNIAN UNC. 1500 0 1 Km PROSPECT “V”- SEISMIC LINE 2081 TARGET: Gas & Cond. FORMATION: TAGI ss. AGE: Middle Triassic ---------------------------------------- POTENTIAL AREA: 2.2 km2 PAY: 25 m POROSITY: 25 % S.W.: 35 % R.F.: 30 % ------------------------------------------ RECOVERABLE RESERVES (MEAN) OIL: 5 MMBO GAS: N.E. TOP AZIZIA DEPTH MAP (C.I.: 20 m) KGF 1 LINE 2081 TAGI EDGE PROSPECT ‘V’

  38. Jorf permit – Prospect “Y” - Tunisia Prospect ‘Y’ PERMIAN (KUBERGANDIAN) DEPTH MAP (C.I.: 100 m) LINE 2083 LINE THC9 0 km 10 WELL LOCATION PERMIAN (KUBERGANDIAN) DEPTH MAP (C.I.: 100 m) 0 km 3 BAZMA 1 WELL WELL LOCATION 0 3 Km NW SE NW SE LINE THC 9 LINE 2083 msec HERC. UNC. HERCYNIAN UNC. PROSPECT ‘Y’ MURGHABIAN MURGHABIAN MURGHABIAN 1000 KUBERGANDIAN 2000 KUBERGANDIAN (Reef) KUBERGANDIAN PROSPECT “Y”- SEISMIC LINES 2083/THC9 & BAZMA WELL CALIBRATION TARGET: Oil FORMATION: Kubergandian Reef AGE: Middle Permian ---------------------------------------- POTENTIAL AREA: 15 km2 PAY: 50 m POROSITY: 16 % S.W.: 25 % R.F.: 30 % RECOVERABLE RESERVES (MEAN) OIL: 75 MMBO GAS: N.E.

  39. Jorf permit – Prospect “Z” – Tunisia PROSPECT ‘Z’ PERMIAN (KUBERGANDIAN) DEPTH MAP (C.I.:100 m) MA 1 KGF 1 BZM 1 LINE 2089 PROSPECT “Z”- SEISMIC LINE 2089 WELL LOCATION SW NE 1001 1200 1400 1600 1800 2000 2200 2400 2800 100 HERCYNIAN UNC. 500 1000 MURGHABIAN PROSPECT “Z” 1500 2000 2500 KUBERGANDIAN TARGET: Oil FORMATION: Kubergandian Reef AGE: Middle Permian ----------------------------------------- POTENTIAL AREA: 05 km2 PAY: 50 m POROSITY: 16 % S.W.: 25 % R.F.: 30 % RECOVERABLE RESERVES (MEAN) OIL: 14 MMBO GAS: N.E. WELL LOCATION PERMIAN (KUBERGANDIAN) DEPTH MAP ZOOM (C.I.:100 m)

  40. Sud Tozeur permit - Tunisia Potential new well close to the Nefta-1 well expected to commence drilling in late 2010- early 2011 to test Triassic, Ordovician and Cambrian reservoirs which had oil and gas indications in the Nefta-1 well Alternative locations on the permit will also be evaluated as several additional structures have been identified close to the Algerian border and West of the Sabria and North of the El Franig fields (1,032 MMBLS of OIP and 135 BCF plus 22 MMBLS of condensate in place, respectively)‏ • Onshore Tunisia, adjacent to the Algerian border • 963,245 net acres (3,898 km2) • 89% Current Working Interest (inclusive of 7.7% free carried interest) • Net potential resources of 133 MM BOE • Hydrocarbon potential in Triassic, Ordovician and Cambrian sandstone reservoirs

  41. 0 25 50 Km Y Sud Tozeur Permit - Tunisia Target distribution & prospect/ leads map LMG 1 PALEOZOIC TARGETS LMG 2 T KGF 1 Z NF 1 SUD TOZEUR PERMIT Y JORF PERMIT Nefta South FNG X V 3 W 1 NW1 U 2 BAZMA PERMIT ALG 1 LEGEND 3 SAB HMD 1 W1 2 N N1 SABRIA- EL FRANIG Production Concession DOUZ 1 PALEOZOIC LEAD/PROSPECT TARFA 2 S1 NAG 1 TARFA 1 HBR 1 GAS CONDENSATE PIPELINE SAB 1 BAGUEL 1 BAGUEL- TARFA Production Concession EG 1

  42. Sud Tozeur permit - Prospect “Nefta SE” - Tunisia NW SE NE SW Nefta SE Nefta 1 Nefta SE Nefta 1 SP SP 80 100 140 160 180 200 220 240 260 280 1900 TAGS Fm. TAGS Fm. 2000 320 300 280 260 240 200 180 160 140 120 100 80 2100 2000 2200 2100 2200 2300 Hercynian Unc. 2300 31 2400 Hercynian Unc. 2400 NEFTA SE PROSPECT - SEISMIC LINE ST MIG 106 NEFTA SE PROSPECT - SEISMIC LINE 96 NEF-N07 2500 2500 TARGET: Gas & Cond./Oil FORMATION: TAGI/Ord-Cam. AGE: Trias/Ord-Cam. ---------------------------------------- POTENTIAL AREA: 15 km2 PAY: 50 m POROSITY: 16 % S.W.: 25 % R.F.: 25 % ---------------------------------------- RECOVERABLE RESERVES (MEAN) OIL: 25 MMBO GAS: N.E. 394100 399100 404100 409100 ST MIG 106 ST96 NEF N 07 3713800 Nefta 1 NEFTA SE PROSPECT HERCYNIAN TWT MAP (C.I.: 5 msec) 3708800

  43. Capital Expenditure Program 2010 (*) STB (Standard Barrels of Oil)

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