ASX Code: GGX

Gas2Grid is a Sydney-based oil and gas exploration company that was formed to appraise a 1960 gas and oil discovery onshore Cebu Island in the Republic of the Philippines (“Philippines”).  The Company holds 100% of Petroleum Service Contract (exploration licence) SC44 on Cebu Island, which contains the Malolos gas and oil discovery and other wells with hydrocarbon shows.

The political climate on Cebu Island is stable.  The Island’s population is predominantly Catholic and there is no history of separatist activity.  Furthermore, the Philippine Government is actively encouraging extractive industry activity.  The management team has extensive experience in oil and gas exploration and development globally and believes that the Philippines represents an excellent exploration opportunity.

Gas2Grid Business Model

Gas2Grid intends to build a strong portfolio of oil and gas resources based on the following criteria:

	Excellent hydrocarbon prospects;
	Rewarding tax regimes;
	Obvious commercialisation; and
	Ground-floor entry to the licences.

Gas2Grid’s first project focuses on the appraisal of a 1960 oil and gas discovery onshore Cebu Island in the Philippines. The project meets all of the above criteria.

Nearly 50% of the Philippines primary energy needs are imported, causing a significant strain on the Country’s balance of payments. A forecast doubling of electricity demand in the next decade requires significant additions to the national generation capacity. In this context, the development of indigenous energy resources is highly desirable. Gas2Grid recognises the opportunity to develop a stranded gas resources through embedded power generation.

Gas2Grid is focussed on the upstream part of the energy chain and will work with partners in the electricity sector who would and operate the electricity generation. The Directors of Gas2Grid believe that any material gas or oil accumulation discovered in its licence area will have a high probability of commercialisation.