Investor Presentation September 2019
Disclaimer This presentation was prepared by Navitas Petroleum Limited Partnership ( “ Navitas ” or the “ Partnership ” ). This presentation does not purport to be comprehensive or to include any and all information that may be relevant in connection with the making of a decision to invest in the securities of the Partnership or of companies held thereby. No explicit or implicit representation or undertaking are made with respect to the accuracy or completeness of any information included herein. In particular, no representation or undertaking are made with respect to the reasonableness and/or materialization of any forecast. For a full picture of the Partnership ’ s business and the risks entailed thereby, see the offering prospectus released by the Partnership and any and all immediate and periodic reports filed by the Partnership with the Israel Securities Authority and the Tel Aviv Stock Exchange Ltd., including warnings pertaining to forward-looking information, as this term is defined in the Securities Law, 5728-1968, included therein. The forward-looking information in the presentation may not materialize, in whole or in part, or may materialize in a manner materially different to the expectation, and may be affected by various factors that cannot be assessed in advance. Furthermore, the timetables for the performance of various actions in the context of the petroleum assets in which the Partnership has working interests, that are included in this presentation, and the cost thereof, are estimated and include forward-looking information that is not certain, is based on merely partial information that is available to the General Partner on the date of the presentation, and includes assessments of the General Partner based on the information available thereto on the date hereof, which may change based on the progress of the activities, the date of actual performance thereof and the resultant findings, as well as numerous external influences and/or restrictions such as changes in the condition of the petroleum assets, a delay in the receipt of approvals and permits required for the performance of the various activities, dependence on contractors, etc. Therefore, the actions actually performed and the dates thereof may differ materially from the assessed or implied targets. Furthermore, the data regarding the quantity of recoverable oil barrels from each one of the Partnership ’ s assets also constitutes forward-looking information, that is based on reports received by the Partnership from an independent reserves evaluator, which may be updated as further information accumulates and/or as a result of a range of factors involved in oil and natural gas production projects. For the avoidance of doubt, it is clarified that the Partnership does not undertake to update and/or modify the information included in the presentation to reflect subsequent events and/or circumstances, other than as required by law. The Partnership ’ s business strategy described in the presentation is correct as of the date hereof, and may change in the future, inter alia in consideration of the market conditions and the decisions of the Board of Directors of the Partnership ’ s General Partner. The presentation also includes public and statistical publications released by various authorities and bodies, the content of which has not been independently checked by the Partnership, and for the veracity of which the Partnership is consequently not responsible. It is further clarified that a considerable part of the information provided herein is taken and/or derived from the Partnership ’ s reports, although presented in a concise and/or graphic and/or brief manner, and therefore this presentation is not a substitute for inspection of the Partnership ’ s reports, but rather a supplementary source of information. In any event of discrepancy between this presentation and the prospectus and/or reports released by the Partnership, such prospectus and/or reports shall prevail. This presentation is not an offer and/or invitation to purchase securities of the Partnership. This presentation and anything included herein are not a basis for any contract or undertaking, and should not be relied upon in such context. The information provided in the presentation is not a basis for the making of any investment decision, is not a recommendation or an opinion, and is no substitute for the discretion of a potential investor. 2
Navitas Petroleum Corporate Business Card Partnership Strategy Acquisition of oil and gas assets with proved reserves and significant development potential Neches Block 7, Canada BP filed an exploration plan Oil producing asset with to drill 20 wells in the future development adjacent blocks (2021) potential Shenandoah Discovery Buckskin North Project Buckskin South Discovery Review of further Towards FID and development On production development 3
Leveraging Opportunities and Creating Value Navitas Discovered Reserves (MMBOE) Project Purchase Cost DCF Neches Buckskin North $415m ) P ( 2 Shenandoah $1m ) P ( 2 ) NPV12 ( GC-82 ) C ( 2 7 $246m 16 Buckskin North - ) NPV10 ( 24 Forecast not yet Buckskin South - 112 published $61m Neches $17.5m ) NPV10 ( 65 Forecast not yet GC-82 $0.7m published Shenandoah 427 MMBOE ) C ( 2 Block 7, Canada Prospective Resources potential 4
Buckskin Project 18 months to first oil $982 million Quick and efficient development Expected net income 18 years of production $246 million DCF value 1 (Buckskin north only, NPV10) Until 2036 Industry leading partners USA 16 MMBOE Gulf of Mexico Reserves 1 7.5% 2, 400 BOE/d Navitas working interest Navitas share of average production rate $14 dollars per barrel Marginal production cost 5
Buckskin North – Significant Achivement for Navitas Navitas share of project FCF (million US$) 100 90 80 70 60 50 $5 84 m 40 Total project cashflow (net) 30 $246m 20 10 DCF NPV10 (net) 0 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 and onwards 6
Buckskin oil discovery One of US Gulf of Mexico ’ s Largest Oil Discoveries Buckskin gross sand column Area of T el Aviv- Jaffa 415 meters 52 sq. km Buckskin reservoir area 111 sq. km Azrieli Round T ower (T el-Aviv) 187 meters Forillustrationpurposesonly.TheinformationabouttheheightofBuckskinsandcolumnandtheareaoftheBuckskinreservoirareaccordingto informationreceivedfromLLOGExploration,theproject operator. 7
Buckskin South Huge Potential for Further Development Oil discovery Announced by Chevron in 2008 Buckskin North Review of future development 16 MMBOE Following the good results of Buckskin North $239m ) NPV10 ( Industry leading partners 7.5% Navitas working interest Buckskin South USA Gulf of Mexico 8
- Shenandoah – the Project is Underway! FEED Stage $415m DCF Value 1 (NPV12, net) Current status $1.7bln 65 MMBOE Investment to date (prior to Navitas acquisition) Expected production quantity 1 Industry leading partners 2023 16,170 BOE/d Navitas share of daily production Estimated first production USA $184m Gulf of Mexico Project investment budget 23.1% Navitas working interest 9
- Shenandoah Development Timeline (2C) ▪ Delta House - Production Platform 20k PSI technology implementation is part of the development plan. ▪ The development scheme includes initial production from 4 wells (out of a total of 8 wells), manufacturing and installation of subsea facilities, pipelines and a designated production platform. ▪ The designated platform will have a production capacity of over 7 0,000 BOE/d and is based on a proven regional-hub production model, which LLOG is successfully implementing in the Delta House, Who-Dat and Khaleesi & Mormont projects. 2019 2020 2021 2022 2023 Subsea facilities Feed stage Subsea pipelines Production platform First Oil 10
Activity Update Shenandoah as a hub in the GSA Shenandoah as a Hub in the Greater Shenandoah Area 2018 drilling plan (Greater Shenandoah Area) Designated production platform – regional production hub Shenandoah production platform MONTAUK THURINGER MONUMENT Shenandoah North and Yucatan South (joint development) GSA – Greater Shenandoah Area (tie-back potential – 30 miles radius) 11
- Shenandoah Project A massive growth engine! Navitas share of project FCF (million US$) 700 600 500 400 $1,869m 300 Total project cashflow (net) 200 100 $415m DCF NPV12 (net) 0 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 and onwards -100 12
- Neches – Production with Development Upside Producing oil asset $17.5m Texas, USA Acquisition price 9,400 Acres $61m Estimated~8,000 productive acres DCF Value 1 (NPV10, net) 98 % 175 MBOE Navitas working interest Present annual production rate $21 dollars per barrel 761 MBOE Expected annual production rate after the Marginal production cost, net completion of further development 7.3 MMBOE Reserves 1 13
Block 7, Canada One of the World ’ s Most Attractive Frontier Exploration Basins Eastern Newfoundland Offshore east Canada Block 4 BP Block 3 2000 Sqkm Noble Energy BP Block 7 Hess Noble Energy Hess 30% Navitas Block 8 70% Delek Group BP Noble Energy Hess 427 MMBOE Prospective Resources potential (net to Navitas) 2020 beginning of a substantial drilling campaign in adjacent blocks In 2018 BP filed an exploration plan to drill 20 wells in the blocks adjacent to Navitas Block 7 1. See BP ’ s newsletter-https://www.bp.com/en_ca/canada/who-we-are/offshore/bp-in-newfoundland-labrador.html 14
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