Corporate Overview
Objectives
In late 2005, Salinas set the following objectives when initiating a strategy to build an oil and gas business. Put simply, the Company aims within three years to have:-
- Created sufficient value in its oil and gas portfolio to rank as a mid-cap Australian oil and gas company
- Realised value from its patented renewable energy technology
The company aims to deliver these objectives in a manner that is enjoyed by employees, shareholders and other stakeholders alike!
Oil and Gas Strategy
To increase the chance of success Salinas is building a portfolio of assets that combine lesser risk, oil field appraisal and development projects together with oil exploration projects adjacent to existing production. Initial focus is on oil prolific basins in Southern California.
Common elements in Salinas’ oil and gas strategy are:
Commercial
- Large interests in all projects
- Wherever possible, operatorship of the company’s production
- Proximity to oil and gas infrastructure
- Low sovereign risk fiscal terms
- Onshore focus to ensure manageable capital costs
- Association with local area experts
Technical
- Projects are able to be developed using “off the shelf technology”
- Exploration targets will have strong flow rate potential (and therefore capacity for rapid payback of investment)
- Extensive access to 3D seismic
- High impact targets in the range of 10 million to 10 million barrels of recoverable oil
Waste to Energy Technology
Salinas Energy owns intellectual property, patents and equipment relating to an earlier, substantial investment in a working renewable energy technology.
The patented Close Coupled Gasifier-Combustor burns biomass waste to generate a syngas which is then combusted at high efficiency to produce heat. The heat can either be applied directly to industrial processes or linked to a boiler system, and generate electricity.
The Company considers that the general need for applications of renewable energy technologies worldwide means the Gasifier-Combustor equipment (already proven via the sale of 600 units of different generations worldwide) has substantial commercial potential .
Salinas is seeking an appropriate mechanism to realise value for these assets.
