China’s leading independent gas producer March 2015 www.greendragongas.com LSE: GDG.LN
Disclaimer This presentation does not constitute an invitation to underwrite, subscribe for, or otherwise acquire or dispose of any shares of Green Dragon Gas Ltd. (the “Company”) in any jurisdiction. The Company’s shares have not been and will not be registered under the US Securities Act of 1933 (the “Securities Act”) and may not be offered or sold within the United States absent registration under the Securities Act or an exemption from registration. The information contained in this presentation is given in good faith but no representation or warranty is made in relation to the accuracy or completeness of the information, or any oral information provided in connection therewith, or the data it generates and no responsibility, obligation or liability is or will be accepted by the Company or its affiliates or advisors or by any of their respective officers, employees or agents in relation to it. This presentation contains certain forward looking statements with respect to the financial condition, results, operations and businesses of the Company. The statements and forecasts involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future. There are a number of factors that could cause actual results or developments to differ materially from those expressed or implied by these forward looking statements and forecasts. Past performance is no guide to future performance and persons needing advice should consult an independent financial advisor. This presentation and the information contained in it are confidential and should not be distributed, published or reproduced, in whole or in part, or disclosed by recipients directly or indirectly to any other person. 2
Fundamentals in Place for Growth and Cash Flow GDG: Fundamentals in Place for Growth and Cash Flow Strong China market fundamentals Well Defined Reserves and 8% Debt to Known Equity ratio Resources Realized Gas Proven Prices In-house Gas Decoupled Extraction From Oil Method Debt Maturity 2017 2015: A YEAR OF TRANSFORMATION 3
Leading China CBM Independent Large reserves base • Largest publicly listed CBM reserves base in China: 1P:148Bcf; 2P: 427Bcf; 3P: 2,290Bcf $0.9bn 427Bcf • Reserves independently verified by 8 consecutive CPRs • Six Inland Production Sharing Contracts covering 1,869,599 acres (7,566 km² ) Market Cap. 2P Reserves • Ongoing migration to 1P reserves: 17% increase in 2014 Integrated operations and strong partners • Strong, highly capitalised Chinese partners : CUCBM (CNOOC), CNPC and PetroChina • Proven PSC titles: Protected by Netherlands-PRC Bilateral Investment Treaty • Equity participation in over 1,800 wells Centrally located among China’s gas consumers • Multiple routes to monetise gas: GDG-owned refuelling stations, industrial customers, multiple gas pipelines, sales via electricity 30 8 Experienced leadership and strong corporate profile • Funded LiFaBriC Highly experienced management team with a track record in Coal Bed Methane blocks over 1.87mn commenced • acres High quality shareholder base: includes GIC, Aberdeen, Fidelity, Platinum Asset Management, Chandler Corp Market cap as of December 31, 2014 4
Reputable and Proven Board of Directors Randeep S. Grewal | Founder, Chairman & CEO • Founded Greka Group in 1997 and also acts as Chairman & CEO of several of the Group’s subsidiaries and affiliated companies • Extensive experience in oil & gas and has also been involved in various JVs, acquisitions, mergers and reorganisations globally • BSc Mechanical Engineering, Northrup University David Turnbull | Non-executive Director • Executive Chairman of Pacific Basin Shipping Limited • Held senior leadership roles in MNCs such as Swire Group and Cathay Pacific • MA Economics, Cambridge University Wayne Roberts | Non-executive Director • Chartered Chemical Engineer with over 25 years’ experience in the oil & gas industry • Served with BG Group as Senior Vice President for AMEA, President of BG Southeast Asia & China and Chairman of BG Asia Pacific • MBA, INSEAD Gong Da Bing | Non-executive Director • Over 27 years of international business experience • Held various senior leadership positions with private international trading firms and was business negotiator for the Beijing Foreign Trade Bureau • Masters, Comparative Law, University of Illinois Stewart M. John OBE , FREng | Non-executive Director • Over 50 years of aviation industry experience, mostly from British Airways and Cathay Pacific • Held non-executive director positions with Rolls-Royce Commercial Aero Engines, British Aerospace Aviation Services and others • Chartered Engineer, Fellow of Royal Academy of Engineering 5
Experienced Senior Management Team Alfred Yan| CFO • Over 22 years of experience in accounting, auditing and corporate finance • Previously CFO at China People Gas Holdings and held various positions at Deloitte Touche Tohmatsu, KPMG and BDO • Fellow member of the HK Institute of Certified Public Accountants and associate member of Chartered Institute of Management Accountants Mahmood (Mel) Lone | COO • General Manager and Chief Representative of Greka in China since 2001 • Actively involved in CBM development at Greka and held various positions in the Group • BA Economics and History, University of Punjab Elton Dong | GM, Production • Over 18 years Management experience in CBM industrial • Over 11 years actively involved in Greka CBM development • BSc, Xi’an Petroleum University, Majored in Mechanical Design and Manufacturing • Master degree for Oil and Gas Exploitation, Shandong Petroleum University of China Zhang Hai Tao | GM, Gas Distribution • Over 14 years of management experience in natural gas industrials • Graduate from Anyang University in Marketing Development • Business Administration from the University of Beijing Stephen Hill | VP, Corporate Finance • Over 31 years of Asia experience with extensive fundraising credentials for corporate clients • Previously Head of Asian Sales at Bear Stearns, Nomura and ING Barings and held several equity sales roles at Jardine Fleming • BSc Economics, Leicester University and Advanced Management Program, Wharton University 6
Upstream Asset Portfolio: 6 PSCs over 8 Blocks GSS GCZ GDG interest: 60% GDG interest: 47% Partner: CUCBM (CNOOC) Partner: PetroChina Operator: GDG Operator: PetroChina P Production 1P/2P/3P: 132.2/369.6/1,296 bcf 1P/2P/3P: 15.6/28.5/45.3 bcf Both included under Shizhuang South PSC LiFaBriC/vertical wells : 62/171 LiFaBriC/vertical wells: 0/0 D Development / Pilot stage Total: 1,491 wells* Total: 104 wells* Exploration & Appraisal EA Qinyuan PSC (GQY PSC) EA GSN GQY (A) 3,665km 2 Heilongjiang GDG interest: 50% GDG interest: 10% Jilin Partner: CUCBM (CNOOC) Partner: CUCBM (CNOOC) Inner Mongolia Operator: CUCBM (CNOOC) Operator: CUCBM (CNOOC) Shizhuang North PSC 1P/2P/3P: N/A / N/A / 705.7 Bcf 1P/2P/3P: N/A EA Liaoning (GSN PSC) LiFaBriC/vertical wells: 2/11 LiFaBriC/vertical wells: N/A / NA 375km 2 Beijing Xinjiang Total: 201 wells* Total: 9 wells*, 18 coal holes Tianjin Shizhuang South Hebei PSC (GSS PSC) P Ningxia 388km 2 Shandong Shanxi GFC GQY (B) Qinghai Chengzhuang Gansu Jiangsu GDG interest: 49% Henan GDG interest: 60% Block (GCZ P Block) 67km 2 Shaanxi Partner: CUCBM (CNOOC) Partner: CUCBM (CNOOC) Tibet Anhui Shanghai Hubei Operator: GDG Operator: GDG Panxie East PSC Zhejiang EA 1P/2P/3P: N/A / 26.9 / 239.9 Bcf Chongqing 2C: 20 Bcf (GPX PSC) Sichuan 584km 2 LiFaBriC/vertical wells: 2/26 LiFaBriC/vertical wells: 8/39 Jiangxi Hunan Baotian- Total: 32 wells* Total: 57 wells* Qingshan Fengcheng PSC EA Guizhou Fujian PSC (GGZ D (GFC PSC) PSC) 947km 2 1,541km 2 Guangdong Guangxi Yunnan Capital of province GPX GGZ Hong Kong Existing main gas pipelines GDG interest: 60% GDG interest: 60% Group CBM blocks Partner: CUCBM (CNOOC) Partner: PetroChina CNG mother stations Operator : GDG Operator: GDG Best Prospective: 442.5 Bcf 1P/2P/3P: N/A LiFaBriC wells/vertical wells : 4/26 LiFaBriC wells/ vertical wells: N/A/12 Total: 30 wells*, 30 coal holes Total: 14 wells*, 14 coal holes * Total wells is inclusive of non operated wells Reserves by Netherland, Sewell & Associates, Inc as of Dec 31, 2014 7
Reserves Breakdown 1P Net: 147.8 Bcf PV10: US$1,464m GCZ Net: 15.6Bcf GSS PV10: $186m Net: 147.8 PV10: US$1,464m 2P Net: 426.8Bcf GSS GFC PV10: US$4,296m GCZ Net: 400 Net: 27 Net:28.5Bcf PV10: PV10: PV10: $313m US$3,949m US$347m 3P Net: 2,290 Bcf GSS GSN GFC GCZ PV10: US$21,181m Net: 45.3Bcf Net: 1,344 Net: 706 Net: 240 PV10: $462m PV10: PV10: PV10: US$12,628m US$5,623m US$2,930m Contingent Net 1C: 6 Bcf GQY Net 2C: 20 Bcf Net 1C: 6 Net 3C: 33 Bcf Net 2C: 20 Net 3C: 33 Prospective Low: 471 Bcf GQY GFC GPX GGZ Best: 1486 Bcf Low Est: 375 Low Est: 72 Low Est: - Low Est: 24 High: 3,634 Bcf Best Est: 872 Best Est: 156 Best Est: 16 Best Est: 443 High Est : 1,700 High Est: 539 High Est: 404 High Est: 990 8 Source: Netherland, Sewell & Associates, Inc as of December 31, 2014
Recommend
More recommend
