Predator Oil & Gas Holdings PLC · LSE:PRD
Predator Oil & Gas — Investor Presentation (January 2019)
36 slides from Predator Oil & Gas's investor presentation, January 2019
Slide 1: Building a Responsible Fossil Fuel Company
Building a Responsible Fossil Fuel Company Predator Oil & Gas Holdings plc Investor Presentation Predator Oil & Gas Holdings PLC | Corporate Presentation January 2019 1
Slide 2: Overview
Overview • Company listed on the London Stock Exchange’s Main Market with a Standard Listing (Lon: PRD) • Predator aims to be a responsible fossil fuel company making the reduction of CO2 emissions a priority. • Focussed on Gas, which has lower CO2 emissions than oil, and sequestrating CO2 for Enhan
Slide 3: Corporate Snapshot
Corporate Snapshot Market: London Main Market Share Price Performance Standard List Ticker: PRD Share Price: 6.65p Market Cap: £6.66 million Shares in Issue: 100,137,121 Options: 10,013,712 Warrants: 4,016,962 (at 2.8p) Significant Shareholders Shareholder % Shareholding Paul Griffiths* 44.71% Ronal
Slide 4: Trinidad Enhanced Oil Recovery
Trinidad Enhanced Oil Recovery Predator Oil & Gas Holdings PLC | Corporate Presentation 4
Slide 5: Trinidad CO2 Enhanced Oil Recovery
Trinidad CO2 Enhanced Oil Recovery • Predator is applying proven North American C02 Enhanced Oil Recovery (“EOR”) technology to a mature producing oil field – Inniss-Trinity • Entered into a well participation agreement with FRAM Exploration (Trinidad) Limited (“FRAM”), funding the cost of two pilot
Slide 6: Trinidad CO2 Supply
Trinidad CO2 Supply The Republic of Trinidad and Tobago petrochemical industry: - 11 ammonia plants and 7 methanol plants - 4,280,240 metric tonnes of products exported 2013 - 300 mm cf/d C02 vented into atmosphere - 95% pure C02 source available for EOR • Predator is implementing EOR which is a Gov
Slide 7: Why Trinidad?
Why Trinidad? Capture Source No requirement for expensive capture in Trinidad • EOR grade CO2: 95% pure and suitable for safe transport by pipeline • 40 kilometres from the Innis Trinity Oil Field reducing pipeline capital costs • Consolidated supply chain Purify Already 99% pure in Trinidad • Joint
Slide 8: Trinidad CO2 Enhanced Oil Recovery – How it Works
Trinidad CO2 Enhanced Oil Recovery – How it Works • Liquid C02 injected lower on the structure (AT-5X) at a pressure close to virgin pressure before production ever started • Reservoir is re-pressurized – no oil production at this time • Liquid C02 is then injected higher on the structure (AT-4) to
Slide 9: CO2 Pilot Well Work Programme
CO2 Pilot Well Work Programme • No new drilling required • Simple modification of wellheads for production from C02 EOR wells • Low cost well workovers • Good site conditions for access for 20-tonne C02 trucks and for storage tanks • Existing oil gathering facilities with export to Petrotrin pipelin
Slide 10: Innis Trinity Field – 6 Year Production Profile
Innis Trinity Field – 6 Year Production Profile • C02 injection is forecast to lead to a 4- to 6-fold increase in current well productivities • Target production forecasts for H1 2019 are in the range 300 – 400 bopd Forecast Uplift in Production with C02 EOR (green) Compared Uplift in Oil recovered
Slide 11: Innis Trinity Field – 6 Year Production Profile
Innis Trinity Field – 6 Year Production Profile • Substantial historical accumulated tax losses can be offset against 50% Profit Tax creating very high IRR’s given low Capex requirement • IRR between 154% and 281% depending on oil price for an investment of $750,000 • When oil price is greater than
Slide 12: Comparison of Netbacks with and without Historical Tax Losses
Comparison of Netbacks with and without Historical Tax Losses WTI Spot Price US$50/brl (Realised Price US$47.5/brl) P50 PRODUCTION PROFILE No Tax Losses Applied With Tax Losses Applied Undiscounted Netbacks US$/brl Undiscounted Netbacks US$/brl 100% Project Economics 100% Project Economics 7.83 US$/
Slide 13: CO2 EOR - Managements Economic Indicators – Year 1
CO2 EOR - Managements Economic Indicators – Year 1 In US$/brl – WTI Spot Price 19/10/2018 unescalated 68.65 (65.22 5% discount local sale) Project Phase CAPEX State Taxes OPEX Post Tax Net- Pre-Tax Net- BOPD (Year 1) Royalties Back Back Most Likely Phase 2 – Pilot 2 Producers 29.1 20.9 8.7 26.2 9.4
Slide 14: Pilot CO2 – Risks and Objectives
Pilot CO2 – Risks and Objectives • Pilot C02 injection volumes and rates must be verified by field operations ➢ Greater volumes of C02, and therefore more time, may be required to repressurise the AT-4 fault compartment if the compartment communicates with and leaks to other areas of the Inniss Trin
Slide 15: CO2 Summary - Strategy For Growth
CO2 Summary - Strategy For Growth • Proven technology • Proven oil production history and extensive database from previous operators Texaco and Shell • Production growth potential is well understood and potentially material • Not capital intensive – can accrete reserves through applying organic cash
Slide 16: Morocco Gas Exploration
Morocco Gas Exploration Predator Oil & Gas Holdings PLC | Corporate Presentation 16
Slide 17: Morocco – Reducing CO2 Emissions
Morocco – Reducing CO2 Emissions • In Morocco, 80.4% of thermal electricity generating capacity is based on coal (with minor fuel oil) • There is a Gas requirement of 920 mm cfgpd to replace high carbon fuel • Subject to explorations success on the Guercif field, Predator can supply initially 400 mm
Slide 18: Morocco – Guercif Licence
Morocco – Guercif Licence • Opportunity for early cash flow on drilling success due to strong gas market; high gas prices; and proximity of gas Predator SDX Energy Guercif Gas infrastructure (Maghreb Gas Pipeline passes through the Rharb Gas Licence Application Area) • Low cost onshore drilling due
Slide 19: A Regional Pan Mediterranean Biogenic Gas Play
A Regional Pan Mediterranean Biogenic Gas Play Italy and Croatia General Geological Conditions Po Valley / Adriatic for Biogenic Gas Generation Biogenic Zones 16 TCF 1. Adequate Carbon Content 2. Rapid Accumulation of Sediments 3. Cool Geothermal Regime Mediterranean region biogenic discoveries/fiel
Slide 20: Guercif – Prospective Fairway for Miocene Turbidite Gas Sands
Guercif – Prospective Fairway for Miocene Turbidite Gas Sands Proven Tertiary Turbidite Reservoir Trend SDX Energy Rharb Basin Miocene gas fields Predator Oil & Gas Holdings PLC | Corporate Presentation 20
Slide 21: Guercif – Drill Ready Multiple Stacked Basin Centre Gas Sands
Guercif – Drill Ready Multiple Stacked Basin Centre Gas Sands Tortonian Contourite Sand Bodies Stacked Messinian Contourite Sand Bodies Basin Centre and pinch out towards margins Basin Centre and pinch out towards margins Defined by seismic amplitude anomalies Defined by seismic amplitude anomalies
Slide 22: Partially De-Risked by Gas Shows and Untested Gas Pays in Offset Well GRF-1
Partially De-Risked by Gas Shows and Untested Gas Pays in Offset Well GRF-1 COMPOSITE OUTCROP SECTION GRF-1 Mud Log Gas Shows in TGB3 and TGB-4 Sands TGB3 AND TGB4 Turbidite Sands 2 x 110 foot sand bodies Gross sand thickness 220 feet GRF-1 Transatlantic Log Analysis Gas in TGB3 and TGB-4 Sands COMP
Slide 23: Guercif - Work Programme and Budget
Guercif - Work Programme and Budget • The initial licence period is 30 months • Paying 100% of work programme (ONHYM 25% carried through exploration) • Strategy is to farm out for a carry on work programme • Bank Guarantee of US$1.5 million required on award of licence – refundable against work prog
Slide 24: Ireland Gas Exploration and Appraisal
Ireland Gas Exploration and Appraisal Predator Oil & Gas Holdings PLC | Corporate Presentation 24
Slide 25: Gas in Ireland – Reducing CO2 Emissions
Gas in Ireland – Reducing CO2 Emissions • In 2016 Ireland’s C02 emissions were 32% higher than the European average (source OECD) • This is mainly due to the use of high carbon fuels such as coal and peat, less so oil, for electricity generation • Avoided C02 emissions from renewable energy for 2017
Slide 26: Gas in Ireland – Reducing CO2 Emissions
Gas in Ireland – Reducing CO2 Emissions Predator Oil & Gas Holdings PLC | Corporate Presentation 26 26
Slide 27: Atlantic Margin – Corrib South
Atlantic Margin – Corrib South • Predator has a 50% interest in licencing option 16/26 (“Corrib South”) together with its partner, Theseus (50%) • Corrib South is located 18km from the Producing Corrib Gas Field Production Lease offshore West of Ireland. • Application submitted to convert Licensing
Slide 28: Atlantic Margin – Corrib South
Atlantic Margin – Corrib South • Corrib South lies only 20 kms. south of the Corrib subsea gas gathering manifold making it a candidate for a potential subsea tie-back. Spare capacity is forecast to be available in the Corrib infrastructure within the likely time framework for drilling and potential
Slide 29: Corrib South Work Programme Schedule
Corrib South Work Programme Schedule WORK CATEGORY 2019 2020 2021 2022 2023 2024 2025 200 km2 3D seismic acquisition Exploration Well - Keeper EIA & Permitting FEED Offshore Facilities Development Wells 2 & 3 Development Wells 4 & 5 Development Wells 6 & 7 Completions Offshore Installation Pipeline
Slide 30: Celtic Sea Ireland – Ram Head
PREDATOR OIL & GAS HOLDINGS PLC Celtic Sea Ireland – Ram Head LO 16/30 -Predator Oil & Gas Ventures: 50% (Operator), Theseus Ltd: 50% • Located 40kms east of the Kinsale gas field and gas pipeline to shore in the Celtic Sea Basin. • Contains the Ram Head Prospect, formerly identified and drilled by
Slide 31: Management Experience – Offshore Ireland
Management Experience – Offshore Ireland CEO Island Oil and Gas Plc Bid US$220M bid for Marathon’s Kinsale gas field (PETRONAS won bid with US$ 180M) Predator participates in the MD of Island Petroleum Developments Ltd CEO Island Oil and Gas Plc Network Tariff Liaison Group Discovered Seven Heads Ga
Slide 32: Investment Proposition
Investment Proposition • Clear strategy for near term inexpensive production growth and cashflow in Trinidad using proven technology • Farmout strategy based on high impact gas prospects adjacent to infrastructure – transformational impact in success case Predator Oil & Gas Holdings PLC | Corporate
Slide 33: Board of Directors
Board of Directors Paul Griffiths, Chief Executive Officer Paul is a professional geoscientist with 41 years experience in the oil and gas industry internationally, including with the Libyan National Oil Corporation and Gulf Oil, and as CEO of both Island Oil & Gas plc and Fastnet Oil & Gas plc. Dur
Slide 34: Contact Details
Contact Details Predator Oil & Gas Holdings plc 3rd Floor, Standard Bank House 42 La Motte Street Jersey JE4 Predator Oil & Gas Holdings PLC | Corporate Presentation 34
Slide 35: Disclaimer (Investor Presentation)
Disclaimer (Investor Presentation) This presentation (“Presentation”) has been prepared by Predator Oil & Gas Holdings Plc (the “Company” or “Predator”) solely in connection with providing information on the Company and may be subject to change. It is being issued to certain persons on the basis tha
Slide 36: Disclaimer (website Presentation)
Disclaimer (website Presentation) This presentation (“Presentation”) has been prepared by Predator Oil & Gas Holdings Plc (the “Company” or “Predator”) solely in connection with providing information on the Company and may be subject to change. It is being issued to certain persons on the basis that
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