PNG Company Number 1-63551 INVESTOR PRESENTATION November 2011 Private and Confidential Slide 1
CONTENTS INVESTMENT HIGHLIGHTS COMPANY STRATEGY ASSET OVERVIEW WHY PNG BOARD AND MANAGEMENT OFFER DETAILS APPENDIX Slide 2
INVESTMENT HIGHLIGHTS Kina Petroleum Limited (Kina) is an oil & gas company with exploration assets located onshore in Papua New Guinea (PNG) Key asset is a 15% ownership interest in Petroleum Retention License (PRL) 21, which…
LOCATION OF ASSETS Slide 4
COMPANY STRATEGY To build a successful, sustainable oil and gas company, with a regional focus, producing strong returns for all of our stakeholders SUCCESSFUL GROWTH THROUGH A BALANCED EXPLORATION AND PRODUCTION PORTFOLIO Acquire…
PRL21 PRL 21 15% ownership interest (Kina recently agreed to sell down 5% ) with other JV partners Horizon (45% and operator) and Talisman (40%) Located in foreland area of Western Province in PNG 2 discoveries Elevala 1 & Ketu 1…
PRL 21: WESTERN PROVINCE PLAY WITH NEAR TERM INITIAL DEVELOPMENT POTENTIAL Slide 7
Elevala 2 Site preparations well underway Slide 8
PPL 337, 338, 339, 340 PPL 337 Operator and 100% ownership interest Covers an area of 5,508 km2 and is located in the Ramu Sub Basin close to Madang Proven anticline structure with gas seeps Potentially giant gas prospect close to…
PPL 337 BANAM ANTICLINE INFRASTRUCTURE & GAS SEEPS Logging tracks provide excellent access A gas flare on Banam Anticline Slide 10
PPL 337 BANAM ANTICLINE SEISMIC CONTROL & PROXIMAL TO MADANG Seismic Line 184-97-01 over Banam Anticline Slide 11
PPL 338 & 339 OSH SEISMIC PROGRAM STATUS OF IVIRI SEISMIC SURVEY PROPOSED SEISMIC SURVEYS 16 MAY 2011 Slide 12
PPL 340 GAS PLAY, EASY TERRAIN & PORT MORESBY Gas charged Oroi Anticline close to PPL 340 boundary PPL 340 coastal terrain good for seismic easy access Slide 13
WHY PNG PNG economy is experiencing rapid growth and strong economic performance PNG is a world class petroleum province - with proven and active hydrocarbon systems PNG gas production is in its infancy with full scale development…
HIGH LEVEL OF COMMERCIAL ACTIVITY Crude Oil Price - WTI Average US/BBL Slide 15
HIGH LEVEL OF ACTIVITY 2006-2010 InterOil Elk/Antelope Discoveries 2010-2011 Oil Search Mananda Attic Discovery 2010 Horizon Stanley 1 Test 2010-2011 Horizon Stanley 2 Discovery 2011 Horizon Stanley 4 Discovery 2011 Eaglewood…
PNG OIL & GAS PARTICIPANTS MARKET CAP (M) AREA UNDER COMPANY SHARES (M) PRICE PROPERTIES (AUD) LICENCE (KM2) Oil Search Ltd 29% of 15B LNG venture with Exxon, Santos, 1,325 5.81 7,699 20,600 ASX:OSH Nippon Oil and MRDC InterOil…
KINA BOARD STRONG PNG/INTERNATIONAL RESOURCE & COMMERCIAL SKILLS Mr. John Prendiville Non Executive Chairman Dr. Ila Temu Non Executive Director 20 years providing corporate finance advice Currently Director of Corporate Affairs…
KINA MANAGEMENT EXTENSIVE PNG & INTERNATIONAL OIL & GAS EXPERIENCE Ian Longley Consultant Geologist and Technical Adviser Mr. Stanley Pono PNG Geophysicist/Geological 25 + years experience for companies such as Shell Oil, Woodside…
PROPOSED CAPITAL STRUCTURE CAPITAL STRUCTURE Number % Based on Number Equity Value(A) % Based on Price (A) A Raised Fully Paid Ordinary Shares Minimum Minimum Maximum (M) Maximum per share (M) Subscription Subscription Subscription…
CAPITAL RAISING (Based on Min & Max Subscription) PURPOSE Fund initial 2 year work program & budget for Kinas existing projects; Fund new venture review of additional oil & gas assets in PNG and surrounding region; Fund…
PROPOSED DEVELOPMENT PROGRAM Seismic 4 Prospects & subject to farm-out drill 5 wells Slide 22
APPENDIX Slide 23
LICENCE DETAILS Table 1 : Kina Petroleum Licence Details Minimum Annual Licence Graticular Expiry Ownership Area Exploration Number Blocks Date Interest (%) (sq km) (Company Share) (USD) 9,300,000** PRL 21 9 21/03/2016 20 729…
PPL 338 & 339 OSH FARM-IN Improving seismic data quality and building PNG reserve base Slide 25
RISKS There is no guarantee of: exploration success from, or profitable development of, the Companys assets; OSH funded seismic data in PPLs 338 & 339 yielding prospects; OSH exercising its right to complete the drilling of two…
phone +61 299 770 084 mobile +61 407 747 657 Richard Schroder email richard.schroderkinapetroleum.com address PO Box 212 WAIGANI, National Capital District, Papua New Guinea Level 5, 56 Pitt Street Sydney, N.S.W. 2000 Australia…