from the Jan corporate presentation


Peace River Arch/Worsley Highlights & Plan

Experienced Joint Venture Partner/Operator

Access to an established and experienced technical team whose proprietary seismic interpretation modeling has lead to a high success rate in the Peace River Arch

Guaranteed Infrastructure and Facility Use

Access to gathering & compression infrastructure, owned by the Joint Venture Partner/Operator

Aroway pays the same amount for gathering, processing and transportation as the Joint Venture Partner (approximately $1.17/mcf, additional operating costs are under $0.25/mcf)

Competitive Cost Structure Area

Operating costs under $10.00/bbl for oil and $1.35/mcf for gas

High net backs: greater than $45/bbl of oil, $80/bbl of liquids and $1.10/mcf of gas (based on $95/bbl oil price, $99/bbl condensate price and $2.50/mcf gas price)

Low finding and development costs : $9/boe (based on 50% chance of success on target zones, does not account for any by-pass potential)


2012/2013 Plans

Drill 6 - 8 additional Charlie Lake and Montney oil wells to exploit the pool

Drill 3 - 5 deeper exploration pool tests

Begin testing various resource type plays on existing land package (Winterburn, Wabamun, Nordegg, Cadomin)

Capture the value of any resource play (JV, Farm-out, Sale)