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Feb 06, 2023 •458 likes •694 views

AGM Presentation May 2018 Company Overview Po Valley Energy Limited (PVE) is an Oil & Gas exploration and development company with a portfolio of hydrocarbon assets in northern Italy. Listed on the Australian Stock Exchange Selva Po

  1. AGM Presentation May 2018

  2. Company Overview Po Valley Energy Limited (PVE) is an Oil & Gas exploration and development company with a portfolio of hydrocarbon assets in northern Italy. Listed on the Australian Stock Exchange Selva Po Valley region, Northern Italy Ticker: ASX:PVE 2C 17 Bcf Onshore, low Market cap: AUD20m 1 cost Teodorico Michael Masterman – Chairman & CEO - Founding shareholder and GM Fortescue Metals Group 2P 36 Bcf Torro Del - CEO W Resources, CFO Anaconda Nickel 2C 11 Bcf Morro - 8 years McKinsey & Company Offshore, high 150 – 200 Kevin Bailey – Non-Executive Director potential MMbbls - Over 30 years’ corporate finance experience - Founder of Shadworth Financial Group Prospect - Member of the Order of Australia for philanthropy Byron Pirola – Non-Executive Director - 30 years’ experience in strategy consulting - Co-Founder of Po Valley Energy - Director of Port Jackson Partners Limited 1 – Market cap is ex share distribution of 1 CORO for every 5.9 PVE shares 1

  3. Summary of Assets PVE has three large gas and oil assets - offshore Teodorico and onshore Selva gas developments, and the large Torre del Morro oil/gas condensate exploration play Development AR94PY (Teodorico) 2P 36.5 Bcf 2C 10.6 Bcf Podere Gallina (Selva) 2C 17.0 Bcf Exploration Torre Del Morro (most likely 150-200 bbls) 2

  4. Competitive Advantages Natural gas 91% gas imported, development in leading to 10% premium gas price Northern Italy Favourable market High value, low cost gas Operating in the region portfolio since 1997 2P 36.5 Bcf 2C 21.3 Bcf Proven track record Deep managerial and Oil prospect technical capability 150 – 200 People MMbbls 3

  5. Capital Restructuring Successfully spun off Coro Energy plc and distributed shares to PVE shareholders Ownership structure, post spin-off: PVE Shareholders Distributed 1 Coro share for every 5.94 PVE shares owned Selva Teodorico Torre d. Morro Sound Energy Northsun Italia Equity raising Holdings Italy Ltd S.p.A £14m Resource 2C 17.1 Bcf 2C 10.6 Bcf TBD Reserve - 2P 36.5 Bcf TBD SKR Valuation 1 AUD23.1M AUD51.7M AUD0.2m 4 1 – Independent Specialist Report on the petroleum assets of PVO, SRK Consulting (Feb 2018)

  6. PVE Team Daniele Marzorati Michael Masterman Engineering & Operations Chief Executive Officer ‒ 30 years’ experience with ‒ GM Fortescue Metals Group Italian based oil & gas ‒ CEO W Resources, CFO incumbents, ENI / Stogit Anaconda Nickel ‒ 8 years McKinsey & Company Pierpaolo Poncia Giorgio Bertuzzi Gianluca De Rosa Approvals & Geology Exploration & New Projects Senior Geophysicist ‒ 30 years’ experience in ‒ 20 years’ experience in the ‒ 20 years’ experience international exploration Italian oil & gas industry management with ENI 5

  7. Italy – Favourable Market Dynamics 91% of Italian gas Norway consumption needs to be imported Russia 2.6 Gas Consumption (Bscm) 27.7 Netherlands Exports 6.1, 9% 4.9 Geopolitical Total disruption, a key risk 68.0 to supply 60.7, 91% Imports €0.20 – 0.22 / scm Qatar (AUD9.1 – 10.0 / Mcf) 7.6 7.1 5.7 Favourable domestic Libya Algeria prices 6

  8. Assets Teodorico Selva Torre Del Moro 7

  9. Teodorico – Large scale offshore EXPLORATION PERMIT AREA: 506 sqkm PRODUCTION CONCESSION AREA: 108 sqkm SEISMIC DATA: 118 sqkm 3D purchased and reprocessed 8

  10. Teodorico - Development Plan Development Plan Gas Production (MMscm) MMscm • 200 2 wells will be drilled from “Teodorico” platform 150 100 • Three legs platform @ about 12 miles 50 offshore Ravenna; ~ 30 m water depth 0 2018 2022 2026 2030 2034 2038 • Gas production sent to Naomi – Pandora • First Gas 3Q 2020 Eni platform through 12 kilometers sealine • Capex AUD 82.7m • • Water separation on Teodorico platform, Total FCF AUD 144.6m gas treatment and compression in the Eni • NPV (10%) AUD 37.1m 1 network • IRR (real) 21% 1 – Based on 2P Reserve only 9 Source – Independent Specialist Report on the petroleum assets of PVO, SRK Consulting (Feb 2018)

  11. Teodorico Development Teodorico Tripod 12km tie line Italian National Pipeline to onshore Italy Naomi Pandora Grid 10

  12. Assets Teodorico Selva Torre Del Moro 11

  13. Drilling success at Selva 12

  14. Drilling Podere Maiar 1dir 13

  15. Selva Production Concession 14

  16. Selva Development Tie-in to 70bar SNAM pipeline 1,000 m away from Podere Maiar well site Pipeline (1000 mt) Production Well SNAM pipeline Tie-in 15

  17. Selva - Development Plan Development Plan Gas Production (MMscm) MMscm • G&G work carried out in 2012 to assess the 50 Selva gas field residual potential 25 • Podere Maiar 1dir well (2017) resulted gas bearing in two pliocenic sandy layers 0 2018 2022 2026 2030 2034 2038 • • Production concession «Selva Malvezzi» First Gas 2Q 2020 submitted on May 2018 • Capex AUD 3.7m • Total FCF AUD 86.2m • Planned acquisition of 3D seismic data for • additional potential (East Selva – NPV (10%) AUD 35.2m Riccardina – South Selva flank) • IRR (real) 120% Note: Shown on a 100% equity basis 16 Source – Independent Specialist Report on the petroleum assets of PVO, SRK Consulting (Feb 2018); company financial model

  18. Assets Teodorico Selva Torre Del Moro 17

  19. Large Hydrocarbon Provinces – holds the two largest oil fields in Europe Gas Oil Gradizza Bagnolo, Malossa Bezzecca, Ravizza Sillaro, Selva, Vitalba S.Alberto Villafortuna Trecate Torre del PO PLAIN Teodorico PO PLAIN Moro Agostino- Caviaga P.Garibaldi Settala Emma W Cavone Vallezza CENTRAL ADRIATIC Ombrina Candela SOUTH ADRIATIC Aquila Miglianico Pisticci VAL D’ AGRI Monte Alpi CALABRIAN ARC Tempa Rossa NUMIDIAN Gagliano Luna NILDE IBLEAN PLATEAU IBLEAN PLATEAU Biogenic Gas Oil Thermogenic gas Ragusa, Noto Gela, Ragusa, Vega 18

  20. Torre del Moro Torre del moro licence is a 150 – 250m bbl oil prospect target • The “ Torre del Moro ” exploration licence (100% PVE) contain a Mesozoic carbonate structure (oil prospect) with strong analogy to ENI Villa Fortuna field (300m bbls) • 1 well drilled (Sarsina-1) with oil 15km distance in the same formation • Relatively shallow depth structure (top at 3,500/4,000mt) Seismic analysis indicates large • structure with clear trap • PVE obtained EIA and is currently expecting the final grant • PVE 2D seismic data licence of use: 86,4 sqkm (cost AUD$570k) TORRE DEL MORO LICENCE HOLDS A 150 – 250M BBL OIL PROSPECT 19

  21. Torre del Moro Villafortuna Analogous Structure Proj.16km Location: 30km west of Milan Discovery: 1984 Original Oil in Place: 300 million bbls Production to Date: 220 million bbls of condensate + 70bcf of gas Production: Initial Rate 82,000bbls/day “T orre del Moro ” g eological sketch Current Production: 5,000bbls/day Oil Gravity: 42 - 45º API Transport Costs: US$ ~ 1/bbl 20

  22. Independent Valuation 21

  23. Independent Expert Valuation SRK Consulting’s Independent Specialist Report values the petroleum assets held by PVE at AUD 75.0m Low High Preferred Project Asset Type Method (AUD m) (AUD m) (AUD m) DCF – 2P Reserve 24.5 53.8 37.1 Teodorico Development Comparable transaction – 2C 7.2 21.6 14.6 Selva Comparable transactions – 2C + Exploration 11.8 35.4 23.2 (net attributable) Prospective Resources Torre del Moro Exploration Comparable transactions – Ex potential 0.2 0.2 0.2 Total 43.7 110.9 75.0 Source – Independent Specialist Report on the petroleum assets of PVO, SRK Consulting (Feb 2018); valuation undertaken in EURO and converted using EUR-AUD 1.60 exchange rate 22

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