Phils comments slides

[jft310]

Closing remarks and Corporate Operating Goals

Our overarching goal remains to continue driving value for our shareholders,

continue supporting safe and efficient operations for our employees, and

continue to be a good partner to those with whom we do business.

Page 27

Near term corporate goals:



Generate positive EBITDA from our operating businesses and have a positive year end financial

outcome



File an application for a PRL (Petroleum Retention License) for Triceratops Development



Ramp up to two rig drilling program at Elk and Antelope.



Continue LNG pre-investment to drive the development timeline and reduce EPC contractor and

Strategic LNG Partner bid risks



Enter into an agreement with an LNG partner including a sale of interest in the Elk and Antelope

resource

IOC LNG Activities



InterOil’s negotiations with the National Executive Counsel (NEC) related to our proposal to

develop a 3.8 mtpa LNG project in the Gulf Province are progressing. We will provide the market

with the details as soon as we receive documentation.



Following anticipated approval, we intend to empower our advisors to swiftly bring forth the best

transaction to maximize value for our shareholders.



InterOil, and the partner we select, intend to bring an LNG processing facility to Papua New

Guinea of a nature and in a manner which will be satisfactory to the State.

[Tree]

Per Liam we may get some details.

InterOil’s negotiations with the National Executive Counsel (NEC) related to our proposal to develop a 3.8 mtpa LNG project in the Gulf Province are progressing. We will provide the market with the details as soon as we receive documentation.

InterOil’s negotiations with the National Executive Counsel (NEC) related to our proposal to

develop a 3.8 mtpa LNG project in the Gulf Province are progressing. We will provide the market

with the details as soon as we receive documentation.

[freddiekingman]

Per Liam we may get some details.

InterOil’s negotiations with the National Executive Counsel (NEC) related to our proposal to develop a 3.8 mtpa LNG project in the Gulf Province are progressing. We will provide the market with the details as soon as we receive documentation.

...YES WE MAY!

....as soon as we receive documentation...

InterOil’s negotiations with the National Executive Counsel (NEC) related to our proposal to

develop a 3.8 mtpa LNG project in the Gulf Province are progressing. We will provide the market

with the details as soon as we receive documentation.

[freddiekingman]

guys,

I read only this :

today, we will hear nada (except what Ken just posted), because 'the bureaucrats are in charge'..IOC is fully depending on 1 deal and that's with PNG governement...they (the bureaucrats) will tell us maybe at the end of the month (you know how fast they work) their opinion about the deal (seems like there are also still some against it)...and after that maybe we will have this deal..

I hope they prove me wrong today...but I doubt it...nothing in 2012..see you in 2013!

good luck to all..

[jft310]

Liam Fox states he has details.
PNG govt to buy 50% of E/A for $3 Billion see seperate post.
EWC may lose Indonesian approvals.See seperate post. Could move the entire thing LNG project to Gulf by Jan 2013

[freddiekingman]

it says "nope, no details on how the govt is going to pay for it"

I do wonder how they will ...knowing we just got that bad PNGLNG message...:

"Other signals from the government will continue to cause foreign observers to be wary of future developments.

One of the interesting signals from the forthcoming budget will be whether O’Neill and his treasurer, Don Poyle, are seeing eye-to-eye in terms of budget strategy and planning. Then again, Finance Minister James Marape has been sending out his own signals.

O’Neill seems to be a man in a hurry, a little like his early-1990s predecessor, who wanted to push the pace of development on the basis of a perceived resources boom. Instead, it brought on an era that saw the collapse of the kina and intervention from the World Bank and International Monetary Fund.

One of the most sobering pieces of news for O’Neill to contend with is the big cost blowout for the PNG LNG Project, now estimated at US$19 billion rather than US$15.7 billion. The increase could well reduce the early dividends for government equity and impact on corporate tax revenues."

SO maybe with early IOC/ewc cash flow it can be done...the question remains if this governement is willing to risk 3 Bill for our project..instead of putting it into the people's mouths..

[ArtM72]

"the question remains if this governement is willing to risk 3 Bill for our project"

I guess some of us are back to wondering if the gas is there and anybody would buy it if it was.

[Hoosier1]

Quickly re-read Q2 presentation... This one (Q3) is does not feel as upbeat...AND, no mention of "accretive to the shareholders" in reference to a SD

h1

[jft310]

Hoosier this sell down with the PNG govt per LIam Fox of at least $3 Billiob is the entire Market cap of IOC.
Most would call that accretive.
How would you define accretive??.
Of course is Liam right??
His batting average is good.

[TxPm]

Hoosier. i agree. There is no mention of IB's like in the previous quarters & very little on completing the SD. It almost seems like the govt is saying forget the SM's they can't complete a project on budget anyway. Lets just buy 50% & let IOC & Co develop the project & see if they can deliver on time & on budget