2007-11-26b CEN

Corporate Presentation
November, 2007
Corporate Presentation November, 2007 Copyright Coastal Energy Company 2007 | All Rights Reserved 1
Forward Looking Statements
This presentation contains ‘forward-looking statements’ as defined by the
applicable securities legislation. Statements relating to current and future
drilling results, existence and recoverability of potential hydrocarbon
reserves, production amounts or revenues, forward capital expenditures,
operation costs, oil and gas price forecasts and similar matters are based
on current data and information and should be viewed as forward-looking
statements. Such statements are NOT guarantees of future results and
are subject to risks and uncertainties beyond Coastal Energy’s control.
Actual results may differ substantially from the forward-looking
statements. This presentation does not contain all of the information
contained in the preliminary prospectus of Coastal Energy Company,
which should reviewed for complete information.
Presentation Outline
! The Company
! Overview
! Strategy and Objectives
! Management Team and Board of Directors
! Asset Overview:
! Onshore Thailand
! Offshore Gulf of Thailand
! Investor Information
! Reserve Base
! Forecasted Production Profile
! Net Reserve Value
! Corporate Information
! Conclusions
The Company – Overview
! International Oil and Gas Company with principle assets in Thailand
! Established Reserve and Production Base

! Proven (1P) Reserves: 14.8 mmboe*
! Proven plus Probable (2P) Reserves: 36.7 mmboe*
! Proven plus Probable plus Possible (3P) Reserves: 45.3 mmboe*
! Net gas production from Phu Horm: 10 - 13 mmcfd
! Balanced portfolio of production, development and exploration assets:

! Onshore Thailand – Gas production with appraisal and exploration upside
! Offshore Thailand – Oil field developments with appraisal and exploration upside
Notes: * Gas Conversion 6mcf/boe
The Company - Strategy and Objectives
! Establish early production and cash flow from existing assets
! Prove up additional reserves within current portfolio
! Identify “orphaned” opportunities for acquisition or joint venture
! Geographic focus and strategy

! Primary focus – Thailand and Southeast Asia
! Secondary focus – Countries with developing economies and favourable
operating regimes
The Company - Management Team
! Executive Management – successful team of seasoned professionals
– Al Whitehead • 50 years of industry experience

• Officer and Director of a number of successful companies including Bridger
Chairman Petroleum, Seven Seas, Bonanza Oil and Gas, Cimarron Petroleum
− Frank Inouye • 27 years of international oil/gas experience

Chief Executive Officer • Previously Head of Corporate Development– Premier Oil plc.
• Founding Director of Deltaic Energy Limited
− William Phelps • Previously CFO of NuCoastal Corporation

Chief Financial Officer • 10 years capital markets experience (formerly Citigroup Energy Investment Banking)
• Assisted in capital raisings in excess of $10 billion
! Major shareholder • Founder, former CEO and Chairman of the Coastal Corporation
– Oscar S. Wyatt, Jr. • Founded Coastal in 1955 and built it into a $20 billion company
• Assets included 18,000 miles of pipeline, four world class refineries, and significant
exploration and production properties
The Company – Board of Directors
• Former Chairman & CEO of Dresser Industries Inc.
– John J. Murphy 3,4 • Negotiated the acquisitions of Wheatly TXT, Baroid Corp, M-1 Drilling Fluid, Western Atlas Intl., & M.W. Kellogg
Non-Executive Director • At Mr. Murphy’s retirement, Dresser had 31,000 employees in 50 countries
• Former H.M. Ambassador to Thailand

– L. Barney Smith 2 • Former H.M. Ambassador to Nepal
Non-Executive Director • Previously Head of South Asia Dept. Foreign and Commonwealth Office
• Chairman, CEO & President Buckeye Partners, L.P.

– Forrest E. Wylie 1,3,4 • Former Vice Chairman of Pacific Energy Partners, L.P.
• Former President and CFO of NuCoastal Corporation
Non-Executive Director
• Counsel to law firm McCarthy Tetrault LLP
– John Zaozirny 1 • Vice-Chairman Canaccord Capital Corporation
Non-Executive Director • Previous Minister for Energy and Natural Resources, Province of Alberta
• Former President of Worldwide Exploration and Production for Texaco

– C. Robert Black 1,4 • Served on Texaco’s Executive Council for strategy
Non-Executive Director • 41 years with Texaco
• Former deputy chairman of TotalFinaElf’s executive committee and heavily involved in building the trading
– Bernard de Combret 2,3 organization
Non-Executive Director • Former CEO of refining & marketing division, CEO for gas and power and CEO for trading and shipping
• 24 years with Elf and subsequently Total
– Olivier de Montal 2 • Administrator of Olympia Capital Holding, ODM Finance and advisor to the LVMH Group
Non-Executive Director • CEO of ODM Development.
1-Audit Committee Member 2-Compensation Committee Member 3-Corporate Governance Committee Member 4 Executive Committee Member
Asset Overview
! Onshore Thailand – Balanced Risk Portfolio:
! Asset interest held via APICO LLC (Coastal is APICO’s largest shareholder
with 36.1% interest)
! 12.6% working interest in blocks EU1 and E5N which includes the Phu Horm
gas field currently producing in excess of 100 mmcfd
! 36.1% interest in block L15/43 – surrounds the Phu Horm field and contains
the southern extent of the gas field
! 36.1% interest in block L27/43 – contains the undeveloped Dong Mun gas
field
! 21.7% interest in block L13/48 located adjacent to blocks L15/43 and L27/43
– contains Si That discovery
! Offshore Thailand - 100% of block G5/43:

! Development of two previously discovered oil fields
! Appraisal of two additional oil fields
! Untested exploration potential in Songkhla Basin as well as three other
under-explored Tertiary Basins within the block
Asset Overview – Onshore Thailand
! EU1/E5N – Contains the Phu Horm Gas Field
! Production commenced November, 2006 at 60mmcf/d
increasing to 100mmcf/d in 2007 (CEO net 12.6% interest)
! Net Production of approximately 2000 boepd
! 62 km. 16 inch mixed phase pipeline connects field to Nam
Phong GPP
! L15/43 – Acreage Surrounding Phu Horm Field

! Contains possible southern extension of field (CEO net 36.1%
interest)
! Drilling to commence in Q4, 2007
! L27/43 – Contains the Dong Mun undeveloped gas

field and several un-drilled prospects
! L13/48 – Contains Si That discoveries
Blocks EU1, E5N, L15/43
! Phu Horm Gas Field:
! GSA signed in July 2005
! Gas purchased by PTT Public Co.
! First gas commenced in Q4 2006
! Contracted DCQ of 108 mmcfd
! Feedstock for 750 MW power plant at Nam Phong
! Partners: Hess (35%-Operator); APICO (35%); PTT (20%);
Exxon Mobil (10%)
10
! Contingent gas resources of 5.4 tcf (high case)
! Block L15/43 surrounds the Phu Horm field

Proposed Phu Horm South Well
! First well planned for Q4 2007 to verify southern extension of
the Phu Horm field
PK-1
! Confirmation of gas field extension outside the current
production license would lead to unitization discussions
Indonesian 1 Unconformity TWT Structure
Block L27/43
! APICO 100% (operator)
! Contains the Dong Mun gas field
! New 2-D seismic acquired in Q1 2006 over
Dong Mun field and existing prospects/leads
! 9 additional leads confirmed in the block
! Current mapping suggests estimated gas
resources in the block could be as high as 2 tcf
! Exploration well Dong Mun-3 currently drilling
Block L13/48
! APICO 60% (operator) – PEARL Oil (Thailand)
Limited 40%
! Si That – wells 1 & 2 both tested gas
! ST-2 well tested gas in excess of 17 mmcfd from
Permian Dolomites
! Current mapping suggests Si That structure could
hold possible resources in excess of 1 tcf of gas in
place
! 2-D seismic planned for late 2007
Indosinian 1 Unconformity TWT structure ci. 10 msec
Thailand – Gas Demand Forecast
Thailand – Gas Consumption vs. Domestic Supply, 1990 - 2006
In 2006, Thailand gas consumption reached almost 3 bcf/d, outstripping domestic gas production by 25%. Gas
imports from Myanmar making up the difference.
Asset Overview – Offshore Gulf of Thailand
Block G5/43
! Block was explored by Premier Oil in the early 1990’s
! Premier drilled 5 wells, 4 oil discoveries in the Songkhla basin:
! • Songkhla-1 – oil discovery flowed 1,500 bopd
! • Bua Ban-1 – oil discovery flowed 768 bopd
! • Songkhla SW-1 – oil discovery
! • Benjarong-1 – oil discovery not tested (recovered oil while drilling)
! Recent appraisal drilling and newly acquired 3D seismic

confirm viability of Songkhla and Bua Ban developments
! 12 month drilling contract with Swiber Offshore Drilling to
commence in Q1, 2008
! First production from Songkhla expected Q2, 2008
! Nakhon and Ko Kra basins remain un-explored
Block G5/43
! Songkhla Field:
! Original discovery well tested 1500 bopd from Lower
Oligocene sandstones
! Fast track development utilising re-usable platforms/facilities
! Proved & Probable reserve estimate based on 100% working
interest: is 4.5 mmbbls (Songkhla Main only)
! Additional satellite features could add 20 mmbbls.
! Reservoir simulation suggests ultimate recovery factors as
high as 30%
! Subsurface engineering work completed confirms oil-in-place
reserves of 15-20 mmbbls
Block G5/43
! Songkhla Field Development:
! Fast track low cost development
! Separate Wellhead and Processing Platforms
! Moored FSO (Floating Storage and Offload)
! FSO can also service Bua Ban development
! Initial production estimated at 4,000 – 5,000 bpd
! Facilities to include water injection for pressure support
! Downhole ESP’s (Electrical Submersible Pumps)
! Estimated cost of development: US$ 17 million excluding
drilling costs
Block G5/43
! Bua Ban Field:
! Original discovery well tested 768 bopd from Lower Oligocene
sandstones
! 3 well appraisal programme completed in August 2005
encountered Lower Oligocene reservoir with estimated net pay
ranging from 66 – 77 ft
Bua Ban-2 ! Confirmed oil column of 577 ft – 724 ft

Bua Ban-2A ! Estimated 90 – 140 mmbbls oil-in-place
! 3-D Seismic acquired in Q4 2006
Bua Ban-1 ! Reservoir engineering work commenced in Q2, 2007
! Finalise fast track development plan in Q4, 2007
Bua Ban-3
! Proved & Probable recoverable reserve estimate based on
100% working interest: is 13.2 mmbbls
Block G5/43
! Field Developments :
! Songkhla Field: Fast-track development with first production
expected for Q2, 2008
! Bua Ban Field: Recently acquired 3D to confirm optimum
development plan
! Earliest production from Bua Ban planned for late 2008
! Exploration/Appraisal opportunities:
! Benjarong: requires further drilling to confirm reserve base
! Songkhla SW original well recovered oil – requires further
evaluation
! Confirmed prospect inventory includes a variety of structural
and stratigraphic targets
Enlarged area
Note: Based on Current PWC mapping estimates
Investor Information – Reserve Base
1
All figures in barrels oil equivalent Onshore Offshore TOTAL
Proven (1P) 8,820,000 5,900,000 14,782,000
Proven plus Probable (2P) 18,821,000 17,825,000 36,646,000
Proven, Probable and Possible

18,821,000 26,472,000 45,293,000
(3P)
Contingent Resources
158,230,600 18,914,000 177,144,600
(High Case)
Prospective Resources
4,844,000 280,503,000 285,347,000
(High Case)
Source: Extracted from the Competent Persons Report (CPR) prepared by Huddleston & Co. Inc. as at 1/1/07
Reserves are gross working interest oil reserves before royalties, as defined in the CPR
Note 1: Reserves refer to the Bua Ban and Songkhla fields only
Investor Information – Forecasted Production Profile
16,000
Phu Horm
14,000
Songkhla
Bua Ban
Barrels Oil Equivalent per day
12,000
Total
10,000
8,000
6,000
4,000
2,000
0
1Q 07 2Q 07 3Q 07 4Q 07 1Q 08 2Q 08 3Q 08 4Q 08 1Q 09
Investor Information – Net Reserve Value
Reserve Values USD GBP
Proven (1P) $ 180,385,000 £ 90,919,859
Proven + Probable (2P) $ 586,945,000 £ 295,839,214
Proven + Probable + Possible (3P) $ 834,542,000 £ 420,636,089
Reserve Values / Share USD GBP

Proven (1P) $ 2.34 £ 1.18
Proven + Probable (2P) $ 7.62 £ 3.84
Proven + Probable + Possible (3P) $ 10.84 £ 5.46
Shares Outstanding (post 7 Nov 2007) 76,983,222
US$ / GB £ 1.984
Discount Rate 10%
Constant Oil Price Case (US Dollars) $59.80
Before tax values as estimated by Huddleston & Co., Inc. in the Competent Persons Report dated 1/1/07
Investor Information – Corporate Information
! Total number of outstanding shares * 76,983,222
! Fully diluted share count * 83,426,972
! Percentage of outstanding shares held by significant shareholder 47.1%
! Cash US$7.5 million
! RBL Debt Facility Available US$34.4 million
! RBL Debt Outstanding US$8.0 million
! Trading Symbols: “CEO” on London AIM and “CEN” on TSX-V
• All US$ amounts are as of 1 September 2007

* Post 7 Nov 2007 Share 1 for 4 Consolidation
Conclusions
! Who We Are: A dynamic international E&P company with an established reserve
base and exploration, production and development assets in Thailand
! What We Do: Focus on identifying and exploiting overlooked and undervalued

‘orphaned’ assets that have the potential to deliver significant investment returns
! Where We Operate:
! Onshore Thailand with established gas production and exploration upside
! Offshore Thailand with oil field developments and appraisal/exploration upside
Contact Details:
London Office: Houston Office:
Coastal Energy Co. Coastal Energy Co.
1 Farnham Road 3355 West Alabama
Guildford, Surrey Suite 500
GU1 4RG UK Houston, Texas 77098
Telephone: 44 (0) 1483 549 549 Telephone: 1 713 877 6727

Fax: 44 (0) 1483 549 570 Fax: 1 713 877 7128
Website: www.coastalenergy.com
Legal Disclaimer
The information contained in this presentation (“Presentation”) has been prepared by Coastal Energy Company (“Company”) and is being delivered for informational purposes
only to a limited number of persons to assist them in deciding whether or not they have an interest in investing in the Company. The Presentation has not been independently
verified and the information contained in it is subject to updating, completion, revision, verification and further amendment. The Presentation does not purport to contain all
information that a prospective investor may require. While the information contained in it has been prepared in good faith, neither the Company nor its shareholders, directors,
officers, agents, employees, or advisors give, has given or has authority to give, any representations or warranties (express or implied) as to, or in relation to, the accuracy, reliability
or completeness of the information in this Presentation, or any revision thereof, or of any other written or oral information made or to be made available to any interested party or its
advisers (all such information being referred to as “information”) and liability therefore is expressly disclaimed. Accordingly, neither the Company nor any of its shareholders,
directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct, express or implied, contractual, torturous, statutory or
otherwise, in respect of the accuracy or completeness of the information or for any of the opinions contained in, or for any errors, omissions or misstatements or for any loss,
howsoever arising from the use of this Presentation. In furnishing this Presentation, the Company does not undertake or agree to any obligation to provide the recipient with access
to any additional information or to update this Presentation or to correct any inaccuracies in, or omissions from, this Presentation which may become apparent.
Information contained in this Presentation is confidential information and the property of the Company. It is made available strictly for the purposes referred to above.
The Presentation and any further confidential information made available to any recipient must be held in complete confidence and documents containing such information may not
be reproduced, used or disclosed without the prior written consent of the Company. This Presentation must not be copied, published, reproduced or distributed in whole or in part at
any time without the prior written consent of the Company and by accepting the delivery or making to it of this Presentation, the recipient agrees not to do so and to return any
written copy of this Presentation to the Company at the request of the Company.
This Presentation should not be considered as the giving of investment advice by the Company or any of its shareholders, directors, officers, agents, employees or advisors. Each
party to whom this Presentation is delivered or made must make its own independent assessment of the Company after making such investigations and taking such advice as may be
deemed necessary. In particular, any estimates or projections or opinions contained in this Presentation necessarily involve significant elements of subjective judgement, analysis
and assumption and each recipient should satisfy itself in relation to such matters. Neither the delivery or making of this Presentation nor any part of its contents is to be taken as
any form of commitment on the part of the Company to proceed with any transaction and the right is reserved to terminate any discussions or negotiations with any prospective
investors. In no circumstances will the Company be responsible for any costs, losses or expenses incurred in connection with any appraisal or investigation of the Company.
This Presentation does not constitute, or form part of, any offer or invitation to sell or issue, or any solicitation of any offer to subscribe for or purchase any securities in the
Company, nor shall it, or the fact of its delivery, making or distribution, form the basis of, or be relied upon in connection with, or act as any inducement to enter into, an contract or
commitment whatsoever with respect to such securities. Any such solicitation or offer will be made by means of a prospectus to be issued by the Company in due course and any
decision to subscribe for securities in the Company should be made solely on the basis of the information contained in such prospectus.
Legal Disclaimer (continued)
The delivery, making or distribution of this Presentation in or to persons in certain jurisdictions may be restricted by law and persons who receive this Presentation should inform
themselves about, and observe, any such restrictions. Any failure to comply with these restrictions may constitute a violation of the laws of the relevant jurisdiction. In particular,
this Presentation has not been approved by an authorised person pursuant to Section 21 of the Financial Services and Markets Act 2000 (“FSMA”) and accordingly, it is being
communicated in the United Kingdom only to persons to whom this Presentation may be communicated without contravening the financial promotion prohibition in Section 21 of
the FSMA. Those persons are described in the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (“Order”) and include persons who fall within the
category of person set out in Articles 19 and 49 of the Order. Any investment activity to which this Presentation relates in the United Kingdom is available to, and will only be
engaged with such persons and this Presentation should not be acted or relied upon in the United Kingdom by persons of any other description. This Presentation has not been
approved as a prospectus by the UK Financial Services Authority (“FSA”) under Section 87A of the FSMA and has not been filed with the FSA pursuant to the United Kingdom
Prospectus Rules. No offer of securities in the Company is being or will be made in the United Kingdom in circumstances which would require such a prospectus to be prepared.
The securities proposed to be issued by the Company (the "Common Shares") have not and will not be registered under the U.S. Securities Act of 1933, as amended (the
"Securities Act") and may not be offered or sold in the United States except pursuant to an exemption from, or transactions not subject to, the registration requirements of the
Securities Act. In addition, other than to a limited number of persons reasonably believed to be qualified institutional buyers (as defined in Rule 144A under the Securities Act),
neither this Presentation nor any copy of it may be taken or transmitted into the United States or America or distributed directly or indirectly, in the United States of America or to
any resident thereof except in compliance with the applicable U.S. securities laws. Any failure to comply with these restrictions may constitute a violation of applicable U.S.
securities laws.
By accepting this Presentation, the recipient represents and warrants that it is a person to whom this Presentation may be delivered or distributed without a violation of the laws of
any relevant jurisdiction. This Presentation is not to be disclosed to any other person or used for any other purpose and any other person who receives this Presentation should not
rely or act upon it.

2007-11-26b CEN

Uploaded by

Copyright:

Available Formats

2007-11-26b CEN

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

2007-11-26b CEN

Uploaded by

Copyright:

Available Formats

Corporate Presentation

! Established Reserve and Production Base

! Balanced portfolio of production, development and exploration assets:

Notes: * Gas Conversion 6mcf/boe

! Establish early production and cash flow from existing assets

! Prove up additional reserves within current portfolio

! Identify “orphaned” opportunities for acquisition or joint venture

! Geographic focus and strategy

! Executive Management – successful team of seasoned professionals

– Al Whitehead • 50 years of industry experience

− Frank Inouye • 27 years of international oil/gas experience

− William Phelps • Previously CFO of NuCoastal Corporation

• Former H.M. Ambassador to Thailand

• Chairman, CEO & President Buckeye Partners, L.P.

• Former President of Worldwide Exploration and Production for Texaco

! Offshore Thailand - 100% of block G5/43:

! L15/43 – Acreage Surrounding Phu Horm Field

! L27/43 – Contains the Dong Mun undeveloped gas

! Block L15/43 surrounds the Phu Horm field

Indonesian 1 Unconformity TWT Structure

Indosinian 1 Unconformity TWT structure ci. 10 msec

! Recent appraisal drilling and newly acquired 3D seismic

Bua Ban-2 ! Confirmed oil column of 577 ft – 724 ft

Note: Based on Current PWC mapping estimates

Proven (1P) 8,820,000 5,900,000 14,782,000

Proven plus Probable (2P) 18,821,000 17,825,000 36,646,000

Proven, Probable and Possible

Reserve Values / Share USD GBP

Shares Outstanding (post 7 Nov 2007) 76,983,222

Discount Rate 10%

Constant Oil Price Case (US Dollars) $59.80

! Total number of outstanding shares * 76,983,222

! Fully diluted share count * 83,426,972

! Percentage of outstanding shares held by significant shareholder 47.1%

! Cash US$7.5 million

! RBL Debt Facility Available US$34.4 million

! RBL Debt Outstanding US$8.0 million

! Trading Symbols: “CEO” on London AIM and “CEN” on TSX-V

• All US$ amounts are as of 1 September 2007

! What We Do: Focus on identifying and exploiting overlooked and undervalued

Telephone: 44 (0) 1483 549 549 Telephone: 1 713 877 6727

You might also like