Credit Suisse Energy Summit February 2013 1 FEBRUARY 2013 Credit Suisse Energy Summit
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 USA, Canada, 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"); (iii) any offer for the sale, purchase or subscription of any Shares; or (iv) any directed selling effort in respect of any Shares. Cautionary note for US investors 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 United States Securities and Exchange Commission (" SEC") permits oil and gas companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or formation tests to be economically and legally producible under existing economic and operating conditions. The Company is not required to make filings with the SEC and this presentation includes information on "volumes initially in place", "STOIIP “, "resources" and other similar terms. Such terms do not refer to and are not reserves and US investors are cautioned accord ingly. Cautionary note for Canadian investors No securities commission or similar authority in Canada has reviewed or in any way passed upon this presentation or the merits of the Shares, and any representation to the contrary is an offence. Forward-looking statements 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 a nd 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. 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 FEBRUARY 2013 Credit Suisse Energy Summit
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. 3 FEBRUARY 2013 Credit Suisse Energy Summit
Company Overview Cameroon Nigeria • 5 blocks in Cameroon covering 4,644km². • 3 offshore shallow water, 2 onshore; all operated. • Multiple hydrocarbon discoveries. Bomono Permit Acreage: 2,328km 2 • P50 contingent resource base 203 mmboe* (net). Onshore Equity Interest: • 100% Phased Hub & Spoke development planned. Operator: Etinde Permit Bowleven Group Acreage: 2,316km 2 • Continued exploration of the Douala Basin. Shallow Offshore Equity Interest: 75% (Vitol 25%) Cameroon Operator: Kenya Bowleven Group • Block 11B onshore Kenya covering ~14,000km². State back-in rights: Etinde 20%, Bomono 10% (at grant of exploitation licence). • Early stage exploration; Airborne geophysical survey and 2D seismic acquisition. Ethiopia • Operated by Adamantine Energy, technical support provided by South Sudan Bowleven under a TSA. Corporate • Cash end December 2012 ~$90 million, no debt. Kenya Block 11B • Petrofac: up to $500 million for Stage I development. Acreage: ~14,000km 2 Onshore Equity Interest: 50% • High equity positions provide farm-out flexibility. (Adamantine 50%) Operator: Adamantine * Source: Preliminary Results Announcement 6 Nov 2012. Operator’s volumetrics. 4 FEBRUARY 2013 Credit Suisse Energy Summit
Progress Report Resources to Reserves: The Path to FID * Submission of Etinde Exploitation Authorisation Application (EEAA). Agreement of Fertiliser MOU ‡ . Gas sales term sheet nearing finalisation – pricing discussions advancing. Access potential development financing - Petrofac Strategic Resources to Reserves Alliance. † Drilling programme commenced with appraisal/development drilling ongoing at IM-5. FID targeted for H2 2013 subject to: • EEAA approval. • Gas Sales Agreement. • Access to development capital secured. Exploring the Exploration Strategy Douala Basin • Etinde: Ongoing evaluation of Douala Basin prospectivity. • Bomono: Drilling to commence in 2013 (timing subject to rig availability). New Frontiers • Bomono: Farm-out discussions at advanced stage. (Kenya) • Kenya: Work programme commencing. * FID: Final Investment Decision ‡ MOU: Memorandum of Understanding 5 FEBRUARY 2013 Credit Suisse Energy Summit
Etinde Existing Discoveries Overview of Gross Unrisked Mean Volumes In place* IC IM Manyikebi IE IF Deep Omicron fairway Sapele-3 SNA-1X Sapele-1/ST D-Discovery Sapele-2 *Operator’s estimates. 6 FEBRUARY 2013 Credit Suisse Energy Summit
Hub and Spoke Development Flexibility for future expansion Phased Approach • All processing onshore; unmanned offshore platforms. • Stage I - fields on MLHP-7. • Stage II - discoveries on MLHP-5 (Sapele). • Significant flexibility for future expansion. • Hub location to be optimised to maximise synergies with fertiliser plant. • First production anticipated 2016; integrated with fertiliser timetable Liquids Focussed Stage I Development Cost Target (Gross): ~$900 million • Oil, condensate and wet gas to hub. • Liquids stripping and NGL extraction onshore. • Offshore (wells and other infrastructure): ~$600 million. • 70mmscfd dry gas to fertiliser plant. • Onshore (processing & NGLs plant): ~$300 million. • Initial liquids production ~ 15k- 20k boepd* (including LPG’s). • Development costs subject to phasing and cost • Initially IE/IM fields; level of IF contribution under evaluation. optimisation. To be further refined during FEED. * Operator projections, currently excludes IF. 7 FEBRUARY 2013 Credit Suisse Energy Summit
Etinde Development – Key FID Requirements Etinde Exploitation Authorisation Application • Formal EEAA submitted late November 2012. • EEAA covers a substantial part of Etinde Permit. EEAA Gas Sales Agreements • Ferrostaal Fertiliser Plant: † − MOU: Supply 70mmscfd dry gas for min.10 years. Fertiliser FID FID Gas (Ferrostaal, − Term sheet nearing finalisation – pricing discussions Sales SNH, advancing. Proman, Helm) • Additional gas off take solutions also being considered. Funding Finance • Petrofac provides up to $500 million for Stage I development; initial capital investment at FID. 8 FEBRUARY 2013 Credit Suisse Energy Summit
Recommend
More recommend
