PTR MINERALS LTD — Investor Presentation 2010

May 9, 2010

ASX Release

PETRATHERM LIMITED ABN 17 106 806 884

Community consultation meetings

Petratherm will visit the regions near the company's flagship Paralana geothermal energy project in the northern Flinders Ranges next week to meet with community members.

The Paralana project is a joint venture with Beach Energy and TRUenergy Geothermal.

The company will hold public meetings at Hawker, Leigh Creek and Port Augusta along with meeting key stakeholders along the way to provide an update on the project's recent drilling campaign and also to explain upcoming stages of the project. Refer attached presentation.

There will also be an opportunity for community members to ask questions and provide feedback about the project with key company representatives including Managing Director, Terry Kallis and Exploration Manager, Peter Reid.

A representative from the state Primary Industries and Resources department will also be attending the meetings.

10 May 2010

The meetings will be from Monday, May 10, until Thursday, May 13.

Yours faithfully

ASX Code: PTR

ABN 17 106 806 884

105-106 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

Terry Kallis Managing Director

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

Paralana Geothermal Project Community Consultation

Presented by Managing Director Terry Kallis and Exploration Manager Peter Reid

May 2010

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.

Presentation Overview

• › Company overview
• › Paralana
• › Our project
• › Work to date
• › Forward plan
• › Questions

Petratherm overview

Our company

• › Leading Australian geothermal exploration and development company
• › Projects spanning Australia, Spain and China
• › Projects across the spectrum of geothermal technology
• › Flagship project Paralana in SA's northern Flinders Ranges

Our board

Derek Carter Chairman

Simon O'Loughlin Director

Richard Hillis Director

Terry Kallis Managing Director

Board Skills and capabilities

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

Richard Bonython Director

Lewis Owens Director

Our joint venture partners

Beach Energy

• › Adelaide based, ASX listed oil and gas company included in the S&P/ASX 200. In addition to its production from various Australian assets Beach has interests in the USA, Africa and Europe
• › Farm-in (Jan 2007) for up to \$30m for 36%, plus equity share of project costs

TRUenergy Geothermal

• › Wholly owned subsidiary of CLP group that is listed in Hong Kong and one of the largest power utilities in the Asia-Pacific region
• › Farm-in (Aug 2008) for up to \$57 m for 30%, plus equity share of project costs

Government grants

• › \$7m Geothermal Drilling Program grant is applied to proof of concept
• › \$62.8m Renewable Energy Demonstration Program
• › Grant is conditional on proof of concept and applied to commercial demonstration

Paralana possible transmission plans

• › Close to customer at the Beverley mine – only 11 kilometres away
• › Plans for mine expansions Four Mile deposit and new areas under exploration
• › Longer term plan to supply largescale base load power through entry points at Port Augusta and Olympic Dam

Producing geothermal energy

• › Drilling first deep injector hole
• › Fracturing insulating rock to develop Petratherm's unique Heat exchanger Within Insulator model
• › Heat exchanger created in porous insulating layer above the granite heat source
• › Second deep producer well
• › Plant to convert heat to power

Natural Seismicity

Largest event recorded close to Paralana was a ML3.7 at Umberatana in 1971

Natural seismicity recorded by Geoscience Australia and PIRSA

Passive Seismic Array

• IESE (Institute of Earth Science and Engineering) NZ
• 1 deep borehole sonde at 1790m in Paralana 1b
• 6 borehole sondes at 200m
• 8 surface seismometers
• 2 accelerometers

MEQ - Array Managed by IESE

• › Results from April 08 to June 09
• › Local and regional events
• › Relative ML of ML-1 to ML 4

Pre-stimulation Seismic Events

Recording Period April 2008 – June 2009

• Relatively small local events detected
• Largest event 0ML
• Correlates with faults within the Poontana Fracture Zone

Recent Micro Seismic Activity

• › Regional event
• › 140km from Paralana

› Very small local event

Recent Micro Seismic Activity

S-P~=0.247sec ~1.5km

Local event ML-1.5 to 0

Fracture Stimulation Program – next stage of work

1) Injectivity Test at base of Well Bore

• Inject small volume of water to confirm fracture initiation and propagation
• Small volume, minimal Induced Seismicity Risk

2) Fracture Stimulation

• Inject larger volume of water at higher rates
• Volumes and rates dependent on microseismic response
• •Aim to activate natural fracture network

Fracture stimulation and induced seismicity

Fracture stimulation is the process of breaking up the rock under the ground by applying water pressure to the rock. In our project this is around 4 kilometres below the surface

It is a routine operation in the oil and gas industry and has been performed at many other engineered geothermal project site across the world, including Geodynamics site in the Cooper basin

We will monitor the stimulation with the listening array which is able to detect events associated with the breaking of rock. These events are too small to be felt requiring the sensitive monitoring array

On extremely rare occasions, at other geothermal sites, a seismic event has been triggered that can be felt at surface

Petratherm, Beach and PIRSA are working together to finalize a seismic risk management plan to ensure that, in the unlikely event a larger seismic event is triggered, the fracture stimulation process can be immediately modified to bring the treatment back within acceptable limits

Paralana 2 – Drilling

• New Weatherford Owned 2000HP Le Tourneau Lightning Rig

• 57 metres high ~ 10 Stories

• Arrived at Port Pirie 11 May 09

• 85 Semi-Trailer Loads

• Spudded June 30, 2009

Paralana 2 – Drilling

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

Tested several BHA arrangements to optimise ROP

Scenario Planning vs. Murphy's Law

Paralana 2 – Drilling finished to 4012 M – 9 Nov 2009

• › First well designed following lowrisk, standard operating methods
• › Steady but slow drilling due to hard formations
• › Wireline and LWD logging completed
• › Well cased and cemented to 3725m
• › Bottom hole temperature ~ 190^oC
• › Inflow zones encountered from 3690m

Paralana 2 – Geothermal Brines

• Inflow zones from 3690m

• Zr dataing confirms old 1590Ma Reservoir Sequence

• Contains numerous fractures and faults

• High pressure geothermal brines intersected

• 2D Seismic suggests fractured reservoir sequence is regionally extensive

Photograph of the Paralana 2 well head site after rig removal and site rehabilitation

Current Planned Future Work Program

Subject to Equipment Availability

• 2nd Qtr 2010: Well perforation and Injectivity test

• 3rd Qtr 2010: Fracture stimulation link into over pressured zone!

• 4th Qtr 2010: Review of fracture stimulation results/flow testing and design Paralana 3

• 2011: Drilling of Paralana 3 and circulation tests – Proof of Concept

• Late 2011/early 2012: produce power

www.petratherm.com.au

Paralana Ministerial Launch – August 2009