Advent Energy Presentation Oil & Gas Outlook Asia Conference, 3 - PDF document

4 November 2009 Companies Announcements Office Australian Securities Exchange Limited 10 th Floor, 20 Bond Street SYDNEY NSW 2000 Dear Sir/Madam Advent Energy Presentation Oil & Gas Outlook Asia Conference, 3 - 4 October 2009, Singapore. MEC Resources Ltd (ASX:MMR) advises that its investee entity Advent Energy Ltd (Advent) is presenting today at the Oil & Gas Outlook Asia Conference, Singapore. A copy of the presentation is attached. Yours sincerely David Breeze Media Enquiries: Executive Director Bill Kemmery MEC Resources Ltd Fortbridge Consulting PO Box 317 Tel: +61 2 9331 0655 North Perth WA 6906 Mobile: +61 400 122 449 Tel: +61 8 9328 8477 Notes: In accordance with ASX listing requirements, the geological information supplied in this report has been based on information provided by geologists who have had in excess of five years experience in their field of activity. MEC is an exploration investment company and relies on the resource and ore reserve statements compiled by the companies in which it invests. All Mineral Resource and Reserve Statements have been previously published by the companies concerned. Summary data has been used. Please refer to relevant ASX releases for details and attribution. Unless otherwise stated all resource and reserve reporting complies with the relevant standards. MEC Resources Ltd ACN 113 900 020 PO Box 317, North Perth, WA 6906 14 View Street, North Perth 6006, Western Australia T: +61 8 9328 8477 F: +61 8 9328 8733 info@mecresources.com.au www.mecresources.com.au

Asia Oil & Gas Investing in Conventional Exploration in an Unconventional Basin in an Unconventional Basin - PEP11 Offshore Sydney Basin 4 November 2009 Offshore Sydney Basin : PEP11 Snapshot and Domestic Market Scenario Massive Upside to Success Estimated Prospective Recoverable Resources 16.3 Tcf gas (P10) Advent Equity 25% Additional Equity to be Earned by Drilling 60% Superb Location with Competitive Advantage Distance from Market 25 km. NSW/ACT annual gas market approx. 120 bcf/yr. Annual Growth 5.4% Approximate Current Gas Price $4.49/Mcf Assumed Project Gas Price (Export Parity) $7.00 Fish Prospect could supply entire NSW/ACT 11 years market for Successful Project could supply NSW/ACT gas 2060 market until Potential Reserves Would Support Major Export LNG Project 1

Offshore Sydney Basin : PEP11 Opportunity • NSW/PEP 11 covers 8100+ sq km, 20 km from Australia’s largest energy market, excellent infrastructure • Permit Prospective Recoverable Resources estimated at up to 16. 16.3 T 3 Tcf; mean = mean = 7. 7.5 T 5 Tcf • Excellent analogies with world class producing fields Excellent analogies with world class producing fields • Active thermogenic hydrocarbon system demonstrated offshore • Possible gas/condensate-charged Permian + Triassic reservoirs / excellent potential for gas & oil discovery • Prospective resources and proximity to infrastructure infer potential for LNG • Advent – right to earn 85%; JV partner Bounty Oil & Gas reducing from 75% to 15% • Robust Economics • Advanced negotiations for drilling rig, environmental approvals nearing completion and conceptual well engineering design complete Australian East Coast Proposed LNG Production Four CBM to LNG projects proposed for Gladstone, QLD: •Petronas (40%) / Santos (60%) – Gladstone LNG Project •BG Group – Queensland Curtis Project •ConocoPhillips / Origin Energy – Australia Pacific Project •LNG Ltd / Golar LNG / Arrow Energy – Fishermen’s Landing Project Newcastle: Eastern Star Gas / Santos – proposal for export from Newcastle Port Eastern Star commissioned an independent study into the possibility of an LNG plant at Newcastle, north of Sydney. Primarily using CBM resources of the Gunnedah Basin (e.g. Narrabri project) as feedstock. Santos concern over available port sites for the LNG plant. Potential Benefits of FLNG: -Substantially smaller environmental footprint than a land-based LNG processing plant. -Possibly 20% less greenhouse gas emissions than an equivalent onshore installation 2

Australian LNG Operator Project Size Production / Sales $Export Life Value per year (ABARE 2008 data) Woodside W d id Pl t Pluto 4.1 Tcf 4 1 T f 3 25 3 75 Mt 3.25-3.75 Mtpa $2.03 billion $2 03 billi 15 15 years (+ 0.5 Tcf Xena) LNG (+5 yr option) Inpex Ichthys 12.1 Tcf 8 Mtpa LNG $4.4 billion 40 years 1.6 Mtpa LPG (LNG only) + condensate Chevron Chevron Gorgon Gorgon 40 Tcf 40 Tcf 3 x 5 Mtpa trains 3 x 5 Mtpa trains $8 25 billion $8.25 billion 60 years 60 years Shell Prelude ~5.4 Tcf + 3.6 Mtpa FLNG $1.98 billion 25 years 1.3 Mtpa Cond. (LNG only) 400 ktpa LPG Advent PEP11 Up to 16.3 Tcf* * Prospective exploration target only - yet to be discovered Proximity to the Port of Newcastle PEP11 Port of Newcastle Port of Newcastle 3

Worldwide Oil & Gas Fields (source: Total – www.planete-energies.com, and Link, W.K., 1952, Significance of Oil and Gas Seeps in World Oil Exploration, Bulletin of the AAPG, Vol. 36, No. 8 ), and Indicative satellite coverage of NPA Group, acknowledgement to Alan Williams, Mike Rego, Aminex Nearly all the important oil producing regions of the world were first discovered by surface oil and gas seeps (Hunt, 1981) Hydrocarbon Migration North Rankin, Carnarvon Basin 4

Offshore Sydney Basin – Hydrocarbon Migration and HRDZ. Lord Howe Rise: • 4.5 billion boe • 98.5% methane HRDZ North Rankin, Carnarvon PEP11 Offshore Sydney Basin “…sea floor spreading commenced at 65-70 million years before present resulting in the separation of the Lord Howe Rise from the east coast of New South Wales (NSW Bureau of Mineral Resources)” “a speculative estimate of petroleum resources within Australian jurisdiction on the Lord Howe Rise is about 4.5 billion barrels of oil equivalent (Willcox & Symonds, 1997)”. “Ocean Drilling Program (ODP) Leg 164 recently drilled three locations on the crest of the Blake Ridge to Kingfish, Gippsland assess the composition and amount of gas in its gas hydrate deposit (Paull et al, 1996). All gas [Fred Kroh, Geoscience Australia] recovered exceeded 98.5% methane.” Offshore Sydney Basin – Comparable HRDZ with Australian O&G Fields. Cornea, Browse Skua and Swift, Bonaparte Lord Howe Rise: • 4.5 billion boe • 98.5% methane HRDZ PEP11 PEP11 Offshore Sydney Basin “…sea floor spreading commenced at 65-70 million years before present resulting in the separation of the Lord Howe Rise from the east coast of New South Wales (NSW Bureau of Mineral Resources)” North Rankin, “a speculative estimate of petroleum resources within Australian jurisdiction on the Lord Howe Rise is Carnarvon about 4.5 billion barrels of oil equivalent (Willcox & Symonds, 1997)”. “Ocean Drilling Program (ODP) Leg 164 recently drilled three locations on the crest of the Blake Ridge to Kingfish, assess the composition and amount of gas in its gas hydrate deposit (Paull et al, 1996). All gas Otway [Fred Kroh, Geoscience Australia] Gippsland recovered exceeded 98.5% methane.” 5

Offshore Sydney Basin – A Proven Petroleum Basin With Potential Huge Gas Reserve – Prospective Recoverable Resources of 16.3 Tcf (P10) estimated for the Permit. Total Depth B4 ‐ 15 Full Stack seismic data CSIRO: “AVO analysis shows indication of class III AVO classification. Class III AVO anomaly generally stands for gas sands.” “Soft” high amplitude reflectors B A Fugro; John Cant Validation Zones of interest Zones of Interest Line B4-15 6

Total Depth Interval velocity profile from Fugro B A Zones of interest Stacking velocities are 50% lower in highlighted area Zones of Interest Return to Contents Hydrocarbon Reservoirs and Gas Chimney Models Source: dGB Earth Sciences 7

PEP11: Distribution of Gas Chimneys B4-15 B4-16 B4-17 B4-18 B4-19 B4-20 B4-15 B4-16 B4-18 B4-17 J. Whelan: “seismic signals are smeared to considerable depth as a result of vigorous gas seepage” B4-19 B4-20 Slope Failure, Gas Seepage, Major Hydrocarbon Province Norway: 2 nd largest gas 5 th largest oil (global exports) Source: EIA and IEA Slope Failure Production Norway: Sydney Basin Continental Margin Ormen Lange 14 Tcf Slumps: over 28 cu. km Source: European Commission 8

Offshore Sydney Basin: Swath Survey 2006 D. Schumacher: “Hydrocarbons seep in large concentrations in basins actively generating hydrocarbons or that contain excellent migration pathways” Pockmark over 282,000m 3 Image courtesy Ron Boyd, University of Newcastle Gulf of Mexico Source: Whelan, Marine & Petr Geol 2005 Gulf Coast transect: general schematic diagram of subsurface oil and gas flow consistent with geochemical, geological, and consistent with geochemical geological and fluid flow modelling (from Whelan, Marine & Petr. Geol. 2005) Nearly all the important oil producing regions of the world were first discovered by surface oil and gas seeps (Hunt, 1981) 9