Caspian Energy — Investor Presentation (2011)
26 slides from Caspian Energy's investor presentation, May 12, 2011
Slide 1: Caspian Energy Inc
CASPIAN ENERGY INC TSX: CEK.TO WWW.CASPIANENERGYINC.COM
Slide 2: Cautionary Statement
Cautionary Statemen s= @2 CASPIAN ENERGY INC The information contained in this presentation has been prepared by Caspian Energy Inc. (the “Company”) and is subject to updating, revision and amendment. While this informati: Prepared in good faith, no representation or warranty, express or implied, is
Slide 3: Caspian outlook transformed
=) CASPIAN ENERGY INC Caspian outlook transformed " Caspian sells 10-per-cent interest in Aral Petroleum " New partner advances all Aral’s Kazakh opportunities = New ownership " 60% Asia Sixth = 40% Caspian TSX: CEK.TO.
Slide 4: Where we stand today
‘ CASPIAN ENERGY INC Where we stand today * Cash to maximize production from two EZ wells = 25-year production contract for EZ * Cash for drilling on trends in the North Block * three-year contract for North Block exploration * Aposition on major pipelines BaKTGARN ey TSX: CEK.TO ASPIANENERGYINC.COM
Slide 5: Access to million barrels potential oil reserves
CASPIAN ENERGY INC Access to 80 million barrels potential oil reserves Zhagabulak ! — some 20 million barrels in recoverable reserves estimated by McDaniels and Soviets * Zhagabulak II and III (Sakarambas)— each some 20 million barrels of recoverable reserves estimated by McDaniels and Associates «
Slide 6: How we plan to proceed in 2011
CASPIAN ENERGY INC How we plan to proceed in 2011 "Install new pump in producing well EZ#213 "Purchase new pump for producing well EZ#301 * Drill EZ#305 (Q1/11) " Re-enter old Soviet well #216 near Sakaramabas «Drill Sakramabas #304 = Drill EZ#306 TSX: CEK.TO aus dio 29 ost gorny otvod., | \SPIANENE
Slide 7: Reasons for confidence (1)
= CASPIAN ENERGY INC Reasons for confidence (1) « East Zhagabulak is a designated field " EZ #213 produces - simply needs a new pump " EZ #301 is a strong producer and can be made stronger by a new pump g Ss 8? “Ss p oe 6306 ‘3 wv | g vA s ab, te ‘iM ? y Sy = es s J ; wee 3) ‘i ee) ra Gan 8 yee ge \
Slide 8: Reasons for confidence (2)
+ CASPIAN ENERGY INC Reasons for confidence (2) = The Carboniferous trend BAKTYGARYN 3D SEISMIC 3 ¢' if ZHAGABULAK S 3D SEISMIC TSX: CEK.TO W\ ASPIANENERGYINC.COM
Slide 9: Reasons for confidence (3)
§ CASPIAN ENERGY INC Reasons for confidence (3) = Gross pay of K-II horizon is some 420 metres = Net pay in the EZ# 213 well is 33 metres = Net pay in the EZ# 301 well is 65 metres " The two producing wells are 1.1 km apart a : KT-11-2 Productive = EZ# 305 to be drilled in between interval 213 301 B
Slide 10: Reasons for confidence (4)
CASPIAN ENERGY INC Reasons for confidence (4) = Sakaramabas (Greater Zhagabulak II and III) =" Sakaramabas #216 lies on trend proven by neighbours " Sakaramabas #304 lies on the same trend TSX: CEK.TO -CASPIANENERGYINC.COM
Slide 11: Groundwork is done
CASPIAN ENERGY INC Groundwork is done = $109.7 million has been invested * seismic, drilling and production equipment * exploration and production contracts are in place = two producing wells in East Zhagabulak " targets identified in the larger North Block " funding secure for future drilling TSX:
Slide 12: Remaining hurdles
CASPIAN ENERGY INC Remaining hurdles = renewing our work commitment "taking East Zhagabulak to commercial production 1 BAKTYGARYN "proving Sakaramabas (Greater SARS ith Zhagabulak II and III) TSX: CEK.TO ASPIANENERGYINC.
Slide 13: Work commitment proposal
TONS NG ANROVAING Work commitment proposal 2010 reduced from $24.5 ion — to $7 million 2011 increased from $17 million — to $34 million 2012 maintained at $15 million iste Lilies! _ = TSX: CEK.TO. WWW.CASPIANENERGYINC.COM
Slide 14: Achieving commercial production
4 CASPIAN ENERGY INC Achieving commercial production = new pump for EZ# 213 " new pump for EZ# 301 — when needed "new well at location EZ# 305 446) dito Yea, Alfpexmola Field (KOA) (4a 4409 EAST ZHAGABULAK TSX: CEK.TO
Slide 15: Proving Sakaramabas
= CASPIAN ENERGY INC Proving Sakaramabas = re-entering 216 * drilling 304 TSX: CEK.TO. WA\VW.CASPIANENERGYINC.COM
Slide 16: The difference a year makes
aes CASPIAN ENERGY INC So . The difference a year makes TSX: CEK.TO CASPIANENERGYINC.COM
Slide 17: 2012 and beyond
| CASPIAN ENERGY INC 2012 and beyond = West Kozdesay BAKTYGARYN = Strong potential, 3D SEISMIC modest cost - 1,300 metres to target = Baktygaryn = Learned from #703 - targeting Triassic channel sands = Greater Zhagabulak IV and V = Learned from #303 - re- entry will seal off water zones = Urikhtau "
Slide 18: West Kozdesay
: CASPIAN ENERGY INC West Kozdesay = P10 rating gives it up to 84 million barrels of oil aD SEISMIC. " Adjacent neighbours producing 9,100 bopd from same zone ZHAGABULAK 3D SEISMIC © TSX: CEK.TO
Slide 19: Baktygaryn
: + CASPIAN ENERGY INC Baktygaryn =" €xtensive channel sands " Several bright spots on 3-D seismic = Triassic P50 case — 44 million barrels " Triassic P10 case — 129 million barrels =" Carboniferous P50 case — 30 million barrels = Carboniferous P10 case — 100 million barrels TSX: CEK.TO
Slide 20: Greater Zhagabulak IV and V
CASPIAN ENERGY INC Greater Zhagabulak IV and V * Company estimates a P50 Case of 11 million barrels * P10 case of 32 million barrels ¢ Aral has well in place at #303 a ° Well showed oil but produced too much water ¢ Now have funding to return and rework well EAST ZHAGABULAK isakaramabz's (MGK) TSX:
Slide 21: Urikhtau
: CASPIAN ENERGY INC Urikhtau = Proven Soviet well in place = Flowed 650 boed of condensate = Then no processing available Now plan additional seismic BAKTYGARYN 3D SEISMIC TSX: CEK.TO “ \SPIANENERGYINC.COM
Slide 22: Overview
CASPIAN ENERGY INC Overview " Caspian is long on 3D Bright Spots opportunity =" Has been short on cash =" We now have partner with deep pockets " Priorities logically arranged = Provide numerous impressive opportunities * 2011 and 2012 will transform Caspian TSX: CEK.TO WWW.CASPIANENERGYINC.COM
Slide 23: CEK.TO
‘ CASPIAN ENERGY INC CASPIAN ENERGY INC. BCEK.TO 05 04 03 0.2 04 © Yahoo! 00 Jan 09 May 09 Sepog Jan 10 May 10 Sep 10 3.0 @ Volume 2.0 Millions Udi. Wht. hoe Laas -. dada nate vl j —_— ho TSX: CEK.TO MANY \NENERGYIN
Slide 24: Zhagabulak
= CASPIAN ENERGY INC ZHAGABULAK 3D SEISMIC Atyrau TSX: CEK.TO. WWW.CASPIANENERGYINC.COM
Slide 25: Cash Flow Model — Caspian NPV 3P
4 CASPIAN ENERGY INC Cash Flow Model — Caspian NPV 3P Loan Interest Tax Rate Previous Loan Amount_Tax Deduction NPV $116,376 111,816 ATCF Funds APC Cash APC ATCF+ | available for Loan and Flow After Year ATCF Capital Capital | Loan Payback ATCF Loan Payback Loan CEL CEL ATCF Opening Available Loan P
Slide 26: Caspian Net Asset Value
3: CASPIAN ENERGY INC Caspian Net Asset Value (30 Sept./10) Caspian (CAD) Cash 1,459,638 Accounts receivable 17,321 Prepaids Domestic p & ng property 15,422 Inventory Sub-total 1,492,381 Current liabilities (236,407) Convertible debenture plus accrued interest (22,353,705) Total value excluding rese