riu good oil conference fremantle, wa32 years with eni /agip exploration manager (north italy);...

RIU GOOD OIL CONFERENCE

FREMANTLE, WA

September 2010

ITALY AND PO VALLEY

Gas Consumption

Growing at

3 tcf p.a.

2-3% p.a

High gas prices USD11/mcf

Gas Production 27 tcf to date

Europe’s 2nd largest

onshore gas province

Po Valley

Europe’s largest

onshore oil field

Val D’Agri

Po Valley/Northern Adriatic was

monopoly of ENI/Agip for 50 years

PVE JANUARY 2005

Castello 100% Undrilled

Sillaro 100% Undrilled

Sant’Alberto 50% 1 well drilled

ITALIAN GAS PRICE: EUR14cents/cubic metre

Castello 100% 1 well drilled + Surface plant installed + Production

Sillaro 100% 2 wells drilled + Surface plant installed + Production

Sant’Alberto 100% 1 well drilled + Production concession appl.

Bezzecca 100% 1 well drilled + Production concession appl.

Fantuzza 100% Drilling planned for 2nd half 2010

Correggio 100% Drilling planned for 2011

Offshore

adriatic

100% Preliminary award

12 Exploration

Projects

100% Gradizza, Cembalina planned for drilling in the next 18

months

PVE MAY 2010

ITALIAN GAS PRICE: EUR27cents/cubic metre

RESOURCE BASE

Po Valley Assets

11 License areas

2 Production projects

Sillaro

Castello

2 Drilling projects

Sant’ Alberto

Bezzecca

5 Gas Discoveries for appraisal

12 Gas Exploration prospects

2 Oil opportunities

PRICES RISING DUE TO FALLING EUR AND RISING OIL PRICES

ITALIAN ENI GAS RELEASE PRICE:

SEPTEMBER UPDATE

Source: ENI Gas Release and forecast sourced from Alba Soluzioni; Driver parameters and forward curves sourced from Bloomberg

PVE RESERVE & RESOURCE CATEGORIZATION

PROJECT CURRENT ASSESSMENT (BCF)TIMING OF RESERVES /

RESOURCES REVIEW

RESERVES 1P 2P

CASTELLO 0.1 3.7 Completed

SILLARO 8.1 8.8 Completed

TOTAL RESERVES 8.2 12.5

CONTINGENT RESOURCES 1C 2C

SANT’ ALBERTO 8.0 12.9 4Q 2010

BEZZECCA 0.7 3.1 Completed

FANTUZZA 1.5 5.4 Completed

CORREGGIO - 35.0 Started

AR.168PY LICENCE TBD TBD 1Q 2011

RAVIZZA TBD TBD 1Q 2011

BAGNOLO IN PIANO TBD TBD 1Q 2011

TOTAL

CONTINGENT RESOURCES10.2 56.4

TOTAL REMAINING

RESERVES & RESOURCES18.4 68.9

RESERVES AND RESOURCES MANAGEMENT ASSESSMENT

2010/2011 GAME PLAN

Produce steadily from Sillaro and look to expand through Fantuzza-1

Drill new Castello well and recommence at original target production rates

Achieve preliminary development approval for Sant’Alberto and Bezzecca

Secure full award of Cadelbosco di Sopra (Correggio) and AR168PY

(Azzurra) licences and drill Correggio-1

Commence Gradizza and Cembalina exploration drilling funded by

farm-outs

Generate free cashflows, EBITDA and reduce debt levels

Continue to build and strenghten management team

SILLARO SUCCESSFULLY DRILLED AND TESTED

6 reservoir levels confirmed

2 new previously untested levels

Well completed safely on schedule on budget

Initial

Production

SILLARO PLANT 100% COMPLETE AND IN PRODUCTION

On the left side the

Major of Medicina

town visiting the

plant with Po Valley

Chairman

ON THE LEFT SIDE THE REPRESENTATIVE OF BOLOGNA

MINISTRY MR . GIACCHETTA AND THE MAJOR OF THE

MEDICINA TOWN MR. RAMBALDI VISITING SILLARO PLANT

SILLARO PRODUCTION SUMMARY: 18 MAY- 28 AUGUST 2010

FANTUZZA CAN FEED INTO SILLARO

Targeting 2,600m Miocene structure

Previously drilled and tested by ENI

50km of seismic acquired and processed

Fantuzza-1 site selected, drilling approvals in process, equipment purchased and drilling rig contracted

Sillaro surface plant and pipeline sized to process Fantuzza (2km away)

Cost €4m

Key uncertainties: reservoir quality, producibility

2010/2011 GAME PLAN







farm-outs



CASTELLO PLANT INAUGURATION: 12 JANUARY 2010

CASTELLO STRUCTURE

CASTELLO PRODUCTION SCENARIO

Action Plan:

Acquire key seismic

Plan and secure approval

to drill new well

Drill Vitalba-1dirA

Connect to Castello plantNEW WELL

2010/2011 GAME PLAN







farm-outs



Block 5

SANT’ALBERTO – SEISMIC TO BE ACQUIRED 3rd QRT

da inserire

Target depth 2000m

Pliocene - Miocene

Contingent Resources 3.1Bcf

a’

a

a a’

BEZZECCA-2 (CASCINA S.PIETRO PERMIT)

BEZZECCA CAN FEED INTO CASTELLO

2010/2011 GAME PLAN







farm-outs



CORREGGIO: STRONG ADDITION TO THE PORTFOLIO

Production to date ~240 bcf

Potential P50 gas discoveries ~ 35 bcf

Planned 3D seismic coverage

Quaternary and Pliocene targets

Pliocene potential

Pliocene potential

Quaternary potential

EXPANSION OFFSHORE: AZZURRA (AR168PY)

Major gas production zone in Italy

Shallow water depth ~20m

Full 3D seismic coverage

4 drilled and tested prospects

Preliminary award to Po Valley:

July 2008

G&G work underway

Pipeline connection through licence

Court Case decided in

favour of Ministry and Po Valley

Azzurra Ginevra

Adele Irma/Carola

2010/2011 GAME PLAN







farm-outs



12 NEW PROSPECTS

2010/2011 GAME PLAN







farmouts



PO VALLEY CAPITAL STRUCTURE

Substantial ShareholdersShares (m) held

as at 31 August 2010%

Michael Masterman 26.0 23.6%

Hunter Hall 13.3 12.1%

Beronia Investments 7.1 6.5%

Other Investors 63.7 57.8%

TOTAL SHARES 110.1

Market Capitalization (at A$0.25*) (€19.5m) A$27.5m

Cash at Bank (July 10) (€1.9m) A$2.8m

Drawing on €20m BOS Facility (€7.0m) A$10.1m

Enterprise Value (€24.7m) A$34.8m

* At 31 August 2010

BANK OF SCOTLAND - RESERVOIR FACILITY

Facility Size: €20 million (Current Borrowing base EUR8m)

Use of Funds: Put Castello in production (EUR3m)

Drill Sillaro 2 and Install Surface plant (EUR7m)

Term: 5 years expiring 15 November 2013

Borrowing base limit set on semi annual basis

Interest Rate:

- Current EURIBOR +300bp Margin = Currently 3.4%

- Post Completion EURIBOR +180bp Margin = Currently 2.2%

Drawings:

-Current €7 million (30 August 2010)

- Target €5 million (31 Dec 2010)

*Civil Works and Well Equipment purchased

Mr Graham BradleyNon-executive Chairman

Former CEO - Perpetual, Blake Dawson Waldron

Director – Singtel

Chairman – HSBC, Stockland, Boart Longyear

Mr David McEvoyNon-executive Director

33 years Exxon/Esso

Director - Woodside Petroleum, AWE, Innamincka Petroleum

Mr Greg Short

Non-executive Director

33 years with Exxon

Non Executive Director of MEO Australia and Pryme Oil and Gas

Limited

Dr Byron PirolaNon-executive Director

23 years McKinsey/Port Jackson Partners Limited

Founder and major shareholder

Mr Michael MastermanChief Executive & Managing Director

8 years McKinsey

7 years CFO Anaconda Nickel

Executive Chairman Caspian Holdings Plc

Founder and major shareholder

BOARD OF DIRECTORS

Mr Giovanni CatalanoDeputy Chief Executive Officer

32 years’ experience in the upstream oil and gas industry

Chief Executive Officer of Mediterranean Oil & Gas Plc

Prior Business Manager for Woodside Energy

Mr Franco BenelliChairman Technical

35 years with ENI

Formerly ENI VP Exploration (Po Valley)

Over 300 wells drilled

Mr Pierluigi VecchiaOperation Manager

13 years with Northsun Italia/PVE

Senior consulting geologist for E&P operators in Italy

Mr Giorgio Bertuzzi

Exploration and New Projects Manager

32 years with Eni /Agip

Exploration Manager (north Italy); Prefeasibility Studies Manager (Italy); Exploration, Planning and control (W&E Africa)

Mr Christian MasiniPetroleum Engineer

7 years experience in the oil and gas industry

Formerly with Shell and Eni/Agip

Ms Sara Edmonson

Finance and Administration Manager

5 years with Ernst & Young Transaction Advisory Services

2 years Oil & Gas finance

MANAGEMENT TEAM

Gas Production with strong growth potential

Active appraisal and exploration program funded by farmouts

Completed reserve review – solid base to build

Conservative balance sheet

Profit and earnings growth

GROWTH AND PROFIT OUTLOOK

Disclaimer

This presentation should not be considered as an invitation or recommendation to purchase securities in PVE.

PVE has not audited or investigated the accuracy or completeness of the information, statements and opinions contained in this presentation. Accordingly, to the maximum extent permitted by applicable laws, PVE makes no representation and can give no assurance, guarantee or warranty, express or implied, as to, and take no responsibility and assume no liability for, the authenticity, validity, accuracy, suitability or completeness of, or any errors in or omission, from any information, statement or opinion contained in this presentation.

You should not act or refrain from acting in reliance on this presentation material. This overview of PVE does not purport to be all inclusive or to contain all information which its recipients may require in order to make an informed assessment of PVE’s prospects.You should conduct your own investigation and perform your own analysis in order to satisfy yourself as to the accuracy and completeness of the information, statements and opinions contained in this presentation and making any investment decision.

The contents of this presentation are confidential. This presentation is being provided to you on the condition that you do not reproduce or communicate it or disclose it to, or discuss it with, any other person without the prior written permission of PVE.

riu good oil conference fremantle, wa32 years with eni /agip exploration manager (north italy);...

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