Annual General Meeting Preliminary Results Presentation 20 December 2013 For the year ended 30 June 2013
Disclaimer Important Notice Nothing in this presentation or in any accompanying management discussion of this presentation (the " Presentation ") constitutes, nor is it intended to constitute: (i) an invitation or inducement to engage in any investment activity, whether in the United Kingdom or in any other jurisdiction; (ii) any recommendation or advice in respect of the ordinary shares (the " Shares ") in Bowleven plc (the " Company "); or (iii) any offer for the sale, purchase or subscription of any Shares. The Shares are not registered under the US Securities Act of 1933 (as amended) (the " Securities Act ") and may not be offered, sold or transferred except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and in compliance with any other applicable state securities laws. The Presentation may include statements that are, or may be deemed to be "forward-looking statements". These forward-looking statements can be identified by the use of forward-looking terminology, including the terms "believes", "estimates", "anticipates", "projects", "expects", "intends", "may", "will", "seeks" or "should" or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. These forward-looking statements include all matters that are not historical facts. They include statements regarding the Company's intentions, beliefs or current expectations concerning, amongst other things, the results of operations, financial conditions, liquidity, prospects, growth and strategies of the Company and its direct and indirect subsidiaries (the “ Group ”) and the industry in which the Group operates. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the future. Forward-looking statements are not guarantees of future performance. The Group’s actual results of operations, financial conditions and liquidity, and the development of the industry in which the Group operates, may differ materially from those suggested by the forward-looking statements contained in the Presentation. In addition, even if the Group’s results of operations, financial conditions and liquidity, and the development of the industry in which the Group operates, are consistent with the forward-looking statements contained in the Presentation, those results or developments may not be indicative of results or developments in subsequent periods. In light of those risks, uncertainties and assumptions, the events described in the forward-looking statements in the Presentation may not occur. Other than in accordance with the Company's obligations under the AIM Rules for Companies, the Company undertakes no obligation to update or revise publicly any forward-looking statement, whether as a result of new information, future events or otherwise. All written and oral forward-looking statements attributable to the Company or to persons acting on the Company's behalf are expressly qualified in their entirety by the cautionary statements referred to above and contained elsewhere in the Presentation. 2 20 December 2013 Annual General Meeting
oil & gas Opening Remarks
Vision & Strategy Vision “It is our vision to build an African focused exploration and production company which in time becomes renowned for its ability to consistently create and realise material shareholder value through exploration led organic growth and niche acquisitions.” Strategy – Focus on Africa Strategy focused on creating and realising value through • material exploration success and development. Seek value adding partnerships and niche acquisitions as • appropriate. Fostering strong external partnerships and in-country • relationships. Targeted approach to technical, commercial and political risk. • Resources to Reserves. • 4 20 December 2013 Annual General Meeting
Company Overview Cameroon Nigeria 2 permits covering 4,644km². • 1 offshore shallow water, 1 onshore; both operated. • P50 contingent resource base increased 30% to 263 mmboe * • Bomono Permit (net). Acreage: 2,328km 2 Onshore Equity Interest: Kenya 100% Operator: Etinde Permit Bowleven Group Acreage: 2,316km 2 Block 11B onshore Kenya covering ~14,000km². • Shallow Offshore Equity Interest: Cameroon 75% (CAMOP 25%) Early stage exploration. • Operator: Bowleven Group Corporate State back-in rights: Etinde 20%, Bomono 10% (at grant of exploitation licence). Cash end Oct 2013 ~$20 million ** , no debt. • Equity placing Nov 2013 raised ~$21 million (gross). • Ethiopia South Sudan Petrofac: provides access to up to $500 million for Etinde • development including $60 million IM-5 costs reimbursed at FID. First Oil plc strategic partnership agreed (East African exploration). • High equity positions provide farm-out flexibility. • Active discussions underway with industry sources and debt Kenya • Block 11B Acreage: ~14,000km 2 finance providers to provide additional flexibility. Onshore Effective Equity Interest: 35% Award of 3 exploration blocks in Zambia pending final approval. (Adamantine 50%) • Operator: Adamantine * Source: Preliminary results announcement 13 Nov 2013. Operator’s volumetrics. ** Includes a $5 million bank guarantee which will be released on completion of work programme on Block 11B, Kenya. 5 20 December 2013 Annual General Meeting
Drilling History/Strategy Etinde Permit, Cameroon 2007 2008 2010 2011 2012/13 The current technical/management team has • Feb: Sapele-1 drilled 9 wells and made multiple discoveries on 33-43m Net Pay IM-5 Etinde since joining in early 2007 (100% drilling 95m Net Pay Mar: IE-2z Jun: Sapele-1 ST success rate). Tested 8,800 boepd Aug: IE-3 Tested 3,101boepd Aug: IF-1R Middle Isongo 55m Net Pay Tested 19m Net Pay Tested Tested 7,000boepd Total gross resources added since inception = 22,909boepd • 3,812boepd From 14m Net Pay Aug: Sapele-2 Jul: D-1R from 5 zones 350mmboe* at an average finding cost of ~$2 per 61m oil column Tested 5,655boepd 40m Net Pay Tested 3,119boepd Intra Isongo boe. 11m Net Pay 35m Net Pay Tested 10,800boepd From 29m Net Pay Oct: Sapele-3 Wells were initially targeted to maximise value – • 19m Net Pay oils and liquids-rich gas. Opened up Douala Basin and discovered oil on • acreage previously considered gas prone. Sapele appraisal wells (1 st and 2 nd ) drilled • simultaneously failed to confirm thick connected sands required for gas reinjection (as utilised by Noble). First viable gas offtake and liquids stripping • opportunity provided by fertiliser plant. IM-5 well result underpinned fertiliser gas • requirement and highlights extensive exploration/appraisal potential. Source: Operator *P50 gross contingent resources (excludes IF volumes pending external review). All operator estimates. 6 20 December 2013 Annual General Meeting
oil & gas Etinde Development
Etinde Resource Base Significant Hydrocarbon Volumes • Oil, condensate and wet gas. • P50 contingent resources increased 30% * this year. • EEAA presented to Cameroon authorities: ‒ Phased development approach. ‒ Initial gas offtake: Ferrostaal fertiliser plant. ‒ Full field development concepts - LNG schemes. Net Contingent Resources † P90 P50 P10 Mean Gas (bscf) 378 831 2,649 1,177 Condensate (mmbbls) 33 80 230 104 LPGs (mmbbls) 11 21 32 22 Oil (mmbbls) 5 24 113 49 Total BOE (mmboe) 112 263 816 372 • Results of IM-5 well have resulted in a substantial increase in contingent resources. • IF field volumes removed from contingent resources pending external review. * Source: Preliminary results announcement 13 Nov 2013. † Operator’s volumetrics. 8 20 December 2013 Annual General Meeting
Field Development Plan Flexibility for future expansion Liquids focused - gas enabled • ‘Hub and Spoke’ wells – facilities system. ‒ Unmanned offshore platforms, processing onshore. • Oil, condensate and wet gas to onshore hub. • Liquids stripping and NGL extraction at hub. • Supply dry gas to fertiliser plant. • Liquids marketable internationally. • Full field development concept – LNG schemes. Stage I - Key Statistics • Sufficient P90 gas volumes to support fertiliser plant. • Dry gas to fertiliser plant: 70mmscfd. • Initial liquids production: ~ 14k-16k boepd* (inc LPGs). • First production integrated with fertiliser timetable. • Initially IM (Intra Isongo). • Gross development capex † : ‒ Pre first production: estimated $650 million - $700 million (EEAA case). ‒ To be further refined during FEED. * Operator projections. † Operator estimates. Class III & Class IV estimates. 9 20 December 2013 Annual General Meeting
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