PTR MINERALS LTD — Investor Presentation 2009

Dec 8, 2009

PETRATHERM LIMITED ABN 17 106 806 884

Presentation to the Geothermal Energy Conference in Singapore

Petratherm's Exploration Manager, Peter Reid, will today present an update on the Company's activities and projects to the Geothermal Energy Conference held at the Grand Hyatt Hotel in Singapore.

The presentation is attached.

Yours faithfully

Terry Kallis Managing Director

MEDIA CONTACTS: Terry Kallis Petratherm Ltd 08 8274 5000 Kieran Hall / Tim Hughes Hughes Public Relations 08 8412 4100

9 December 2009

ASX Code: PTR

ABN 17 106 806 884

Level 1,129 Greenhill Road Unley SA 5061

T: +61 8 8274 5000 F: +61 8 8272 8141 W: www.petratherm.com.au/ E: admin@petratherm.com.au

Petratherm

Developing a Portfolio of Geothermal Projects in Australia, Spain and China

Presented by Exploration Manager Peter Reid Geothermal Energy Conference, Singapore

9 December, 2009

Disclaimer

This presentation has been prepared by Petratherm Limited (Petratherm). The information contained in this presentation is a professional opinion only and is given in good faith.

Certain information in this document has been derived from third parties and though Petratherm has no reason to believe that it is not accurate, reliable or complete, it may not have been independently audited or verified by Petratherm.

Any forward-looking statements included in this document involve subjective judgment and analysis and are subject to uncertainties, risks and contingencies, many of which are outside the control of, and maybe unknown to, Petratherm. In particular, they speak only as of the date of this document, they assume the success of Petratherm's strategies and they are subject to significant regulatory, business, competitive and economic uncertainties and risks. Actual future events may vary materially from the forward looking statements and the assumptions on which the forward looking statements are based. Recipients of this document ("Recipients") are cautioned not to place undue reliance on such forward-looking statements.

Petratherm makes no representation or warranty as to the accuracy, reliability or completeness of information in this document and does not take responsibility for updating any information or correcting any error or omission which may become apparent after this document has been issued.

To the extent permitted by law, Petratherm and its officers, employees, related bodies corporate and agents ("Agents") disclaim all liability, direct, indirect or consequential (and whether or not arising out of the negligence, default or lack of care of Petratherm and/or any of its Agents) for any loss or damage suffered by a Recipient or other persons arising out of, or in connection with, any use or reliance on this presentation or information.

All amounts in Australian dollars (AUD) unless stated otherwise.

Our company

Our company

• › Leading Australian geothermal exploration and development company
• › Projects spanning Australia, Spain and China
• › Flagship project – Paralana

Other growth projects :

• › Madrid district heating
• › Barcelona
• › Canary Islands, Tenerife
• › Victoria's East Gippsland Basin
• › China exploration agreement

Corporate and financial

• › Shares on Issue: 94.45 million
• › Share Price: $0.425 (25 Nov)
• › Market Cap: $40.2 m (25 Nov)
• › Cash Position: $8.7 m (23 Nov)
• › Shareholders: 3,424 shareholders
  • › Minotaur Exploration 22 %
  • › Australian Ethical Investments 4.8 %
• › Awarded Geothermal Drilling Program for $7 million and recently a Renewable Energy Demonstration Program for $63 million
• › JV Funding: up to $87 million plus

Shares price over 2009 year

Steady and improving despite uncertain market. Trading volume increased significantly

PTR Share Price and Volume 2009

Board of Directors

Derek Carter Chairman

Simon O'Loughlin Director

Richard Hillis Director

Don Stephens Secretary

Board An experienced board with a strong combination of commercial and technical skills

• › Financial management
• › Legal
• › Marketing
• › Project Management
• › Corporate Governance
• › Exploration and development
• › Geology and Geophysics
• › Resources and Energy
• › Government and Stakeholder relations

Richard Bonython Director

Terry Kallis Managing Director

Our business model

"To explore for and develop emission free geothermal energy projects that are commercially sustainable"

• › To develop a portfolio of quality geothermal energy projects
• › Explore both conventional and engineered geothermal systems – for power and heat
• › Find a favorable combination of geology and market conditions - "shallow hot rocks close to market"
• › Introduce joint venture partners with the right skills, risk appetite and funding ability

Geothermal energy technologies and cost drivers

Cost Drivers

• › Temperature
• › Drilling Depth
• › Flow Rate
• › Network Connection
• › Generation Plant
• › High upfront costs – drilling, fracture stimulation, connection, plant
• › Project economics are geology and location specific

Finding Hot Rocks

In Australia only 7% of the continent has sufficient well hole data

Forward modelling of Geothermal Resource potential based on constrained geological models

• › Prediction of geothermal gradients
• › Target Depths
• › Heat outputs

Development Model – Heat Exchanger Within Insulator

• › Higher Permeability
• › Chemically Stable
• › Lower Frac Challenge?
• › Adelaidean bedding / joint surfaces
  • = Cheaper Power

Paralana Project – Commercial Overview

• › Commercially viable at all stages. Small off grid market (5-30MWe) (Heathgate) followed by large on grid development (260 MWe+)
• › Expenditure well leveraged for proof of concept, then potentially fully funded to initial commercial demonstration scale 30MW plant
• › Funding and expertise from JV Partners, Beach Petroleum (up to 36 per cent for $30m) and TRUenergy (up to 30 per cent for $57m)
• › Strong Federal Government grant support - $7 million geothermal drilling fund and $62.762 million REDP grant

Paralana 2 – Drilling

• New Weatherford Owned 2000HP Le Tourneau Lightning Rig
• 57 metres high ~ 10 Stories
• Arrived at Port Pirie 11 May 09
• 80 Semi-Trailer Loads
• Spudded June 30, 2009

Scenario Planning vs. Murphy's Law

Paralana 2 – Drilling

Hard Rock Formations – slow ROP 1-3 m/hr

Tested several BHA arrangements to optimize ROP

Conservatively drilled to maximize likelihood of success

Paralana 2 - Drilling Completed to 4012 M – 9 Nov 2009

• › First well designed following low-risk, standard operating methods
• › Steady but slow drilling due to hard formations
• › Wireline logging underway
• › Will be fully cased and cemented
• › Inflow zones encountered from 3690m

Paralana 2 – geothermal brines

• › Inflow zones from 3690m
• › Brine samples taken
• › Wireline Logging Program –

Reservoir Characterisation

• › Temperature
• › Permeability
• › Insitu stress field
• › Geology
• › Rock Properties

Spain

Madrid

• › Madrid District Geothermal Heating Project
• › Signed cooperative agreement with Spanish Federal and Madrid Regional governments

Barcelona

› Have four geothermal investigation permits – both engineered geothermal and district heating potential

Canary Islands/Tenerife

• › Magnetotelluric survey of volcanic island
• › Advanced joint venture discussions

Madrid – home to our promising district geothermal heating project

Spain – Madrid district heating project

"Highlighted as one of six renewable energy projects of interest within the Madrid Regional Government's Renewable Energy Cluster"

• › Large tenement 20km by 20km in the north of Madrid
• › Three shallow 2000m wells drilled
• › One deep 3.4km well drilled with 156˚C
• › Study indicates producing 8MW with annual production in excess of 45,000MWh (thermal)
• › Cooperative agreement between Spanish Federal and Madrid Regional Government

Madrid tenement area – 25 km north of the city

Spain - Tenerife

• › Active volcanic island with a population of one million
• › Studies suggest magma chamber 3km to 4km below surface
• › Targeting 50MW to 100MW development
• › Energy prices are over €90/MWh or AUD $150/MWh three times prices in Australia
• › Commenced extensive magneto-telluric survey work to pinpoint best well site
• › Advanced joint venture discussions to develop Tenerife project Tenerife MT survey stations

China

• › Exclusive Cooperative Agreement to identify high prospect geothermal energy projects in China with four Chinese Government Institutions
  • › Chinese Geothermal Energy Society
  • › Geological Survey of China
  • › Chinese Academy of Sciences
  • › China Institute of Geo-Environment Monitoring
• › Petratherm recently hosted a Chinese delegation in Australia (see photograph)
  • › Met with the Department of Primary Industry and Resources of South Australia and South Australian Mineral Resources Development Minister Paul Holloway
  • › visited Paralana and Innamincka

Geothermal Systems in China

Finding Hot Rocks in China

Asia Pacific Partnership Project successfully completed in June 2009

• › Two areas in South East China identified for potential future development
• › Land access and potential joint venture finance arrangements ongoing

Jiangsu Province – Estimated Temperature at 5kms Depth

Potentially large region in excess of 4500km3 with temperatures at 5 km between 190-220°C

Jiangsu Province – Preliminary 30 MWe Economic Model

TempFlowNet OutputWell	200oC,100 Lps5.6 MWe per
Total Wells	9
Drill CostPlant CostTransmission CapitalTotal Capital	$28m$75m$13m$116m
Breakeven Pricefor 10% Return	$82 MWh
Real post-tax IRR @12.8%price	$100 MWh

Outlook for 2010 and beyond

Paralana Joint Venture Project

• › Complete logging, casing & temperature measurement, formation evaluation & fracture program design
• › 1st Qtr 2010: Mini fracture program/fracture stimulation design
• › 2nd Qtr 2010: Multi-zone fracture stimulation
• › 3rd Qtr 2010: drilling of the Paralana 3 deep producer well
• › End 2010: Circulation Test Proof of Concept
• › 2011: Commission first stage 3.75 MW power plant

Outlook for 2010 and beyond

Paralana launch: SA Premier Mike Rann and Federal Resources Minister Martin Ferguson with the Joint Venture partners

• › Complete Tenerife MT survey and progress JV negotiations – identify deep drill target in Q1 2010, develop work program
• › Continue Madrid GDH coordination with Federal & State Governments and progress JV opportunities complete Q1 2010
• › Other projects Barcelona GDH/EGS and Madrid EGS
• › China exploration strategy and JV opportunities

www.petratherm.com.au