ALPINE OIL & GAS ROMANIA. Status November 2007

Transcription

1 ROMANIA Status November 2007

2 VIENNA

3 EXTENSIVE HYDROCARBON SYSTEM London Vienna Bucharest VIENNA BUCHAREST: 870 km

4 EXTENSIVE HYDROCARBON SYSTEM Vienna Basin Molasse Zone Vienna Transylvania Pannonian Foredeep & Subthrust - Subsalt Bucharest SOURCE: AAPG Memoir 84

5 EXTENSIVE HYDROCARBON SYSTEM Vienna Basin Molasse Zone Vienna Transylvania PANNONIAN Foredeep & Subthrust - Subsalt ALPINE EXPERIENCE Bucharest SOURCE: AAPG Memoir 84

6 ROMANIA LEGAL AND COMMERCIAL SECURITY: Joined European Community January Ex Communist Eastern European state now with legal and commercial framework of European Union. European Commission will ensure and enforce open and competitive environment.

7 ROMANIA E&P STRONG INCENTIVE TO INCREASE DOMESTIC E&P ACTIVITY Largest oil & gas producer in SE Europe: 114,000 bbls/day, 424 bcf / year Oil Consumption: ca. 240,000 bbls/day : Supply mainly from Russia Gas Consumption: 644 bcf and strongly increasing. Excellent pipeline and compression infrastructure with extension and renewal projects underway (40 psia low pressure grids). US$ 7 /Mscf wellhead price NPV(10) / bcf = 2-3 million US$ Large refining capacity: 517,000 bbls/day, 10 refineries of a total of 11 in region.

8 ROMANIA PRODUCTION End of Communist Regime First License Bidding Round End of Communist Regime First License Bidding Round OIL PRODUCTION GAS PRODUCTION

9 ROMANIA PROVEN RESERVES PROVEN (P1) REMAINING RESOURCES BASE: Remaining proven oil reserves: ca. 1 billion barrels Remaining proven gas reserves: ca. 3.6 Tcf Total Remaining ca. 1.5 billion boe. Ca. 900 mmboe owned by PETROM (1P reserves)

10 YET TO FIND USGS Onshore EXCLUDES PANNONIAN & TRANSYLVANIAN BASIN AND OFFSHORE!

11 YET TO FIND USGS EXCLUDES PANNONIAN & TRANSYLVANIAN BASIN AND OFFSHORE!

12 CURRENT LICENSES & PLAYERS Romgaz Wintershall Core Area Petrom: 67, 202 sqkm Romgaz: 37, 587 sqkm Rompetrol: 9,840 sqkm Petrom Core Area (new 3D)

13 PETROM RELINQUISHMENT UKRAINE HUNGARY Likely Petrom Relinquishment Areas ( ca. 20,000 km 2 ) Exploration Bidding Blocks (7 th round, bid by 24 January 2008)

14 FIELDS & OPPORTUNITIES Salacea (Bid Round) Abramut 14 mmbls (2P) 70 bcf (2P) Chislaz & Siniob (Bid Round) Suplacu 130 mmbls oil (2P) 30 mmbls remaining Roman Fields 1.5 Tcf Gas (2P) Turnu 51 mmboe (2P) Nadlac Carpathian (70ft oil-zone?) Calacea 62 mmboe (2P) Satchinez 50mmboe (2P) Varias 25 mmboe (2P) Bustuchin 13 mmbls (2P) 70 bcf (2P) Bustenari-Runcu 240 mmboe (2P) Gura Ocnitei 869 mmboe (2P) Boldesti 317 mmbls (2P) 35 bcf (2P) Tomnatec OMV-Farmout? (deeper target) Gradistea Romgaz 170 bcf (1P?) Predesti OMV Appraisal Samnic-Ghercesti 400 bcf gas (2P) 11 mmbbls oil (2P) GAS STORAGE Videle 300 mmboe (2P) Exploration Bidding Blocks (7 th round, bid by 24 January 2008)

15 ALPINE OIL & GAS STRATEGY (1/2) AHEAD OF COMPETITION THROUGH EXCLUSIVE DATA ACCESS Unique business opportunity in 2008 through 20,000 km2 Petrom relinquishment. ( Perestroika II under EU regulation ). Plan: Fully exploit competitive advantage through possible cooperation with Petrom Approach Petrom for possible purchase or joint redevelopment of existing production licenses during or after data review PANNONIAN BASIN: CORE AREA Large area of continuous exploration acreage with low-attention fields No source rock and hydrocarbon migration risk Very little new Petrom seismic acquisition over fields. Sparse seismic coverage. Seismic acquisition easier and cheaper than in Petrom core area. ALPINE OIL&GAS exploration & production experience in Pannonian basin.

16 ALPINE OIL & GAS STRATEGY (1/2) PANNONIAN BASIN: CORE AREA

17 ALPINE OIL & GAS STRATEGY (2/2) TECHNICAL FOCUS ON STRATIGRAPHIC TRAPS & UPSIDE ALPINE OIL & GAS technical expertise Stratigraphic potential on flanks of existing fields ALPINE OIL&GAS technical expertise and modern seismic will make the difference! TECHNICAL FOCUS ON BROWNFIELD EXPLORATION Better Production well locations with better seismic data & geological models By passed multiple zone gas pay which was uneconomic during Communist time Zones without natural flow were not produced Re-entry, stimulation Modern Logging: 99% only Russian style SP & Resistivity (often faulty). Formation damage mitigation: Horizontal wells, fracture stimulation, completion

18 EXAMPLES Algyo Production: 220 mmbls oil 2.5 Tcf gas