Egdon Resources — H1 2023 Earnings Presentation
20 slides from Egdon Resources's earnings presentation, Apr 24, 2023
Slide 1: Interim Results - April 2023
Interim Results - April 2023 1
Slide 2: Established UK energy company, onshore focus
Kirkleatham gas field Resolution Endeavour Ceres gas field Wressle oil field Springs Road • AIM: EDR Fiskerton Airfield oil field North Kelsey Dukes Wood / Kirklington oil fields Biscathorpe • Established UK energy company Keddington oil field • Onshore UK focus – 34 Licences • Recent step-change in
Slide 3: Vision and strategic focus
“Our vision is to provide locally derived, secure, affordable, and sustainable energy to help support the UK’s evolving energy needs” Maintain geographical Focus on near-term growth in focus on the UK production and revenue Maintain our significant Develop energy storage, hydrogen portfolio of shale
Slide 4: Operational highlights
• Production increased by 27% to 253 boe per day (“boepd”) (H1 2022: 200 boepd) • Total production 46,465 boe (H1 2022 : 36,714 boe) • Wressle was the stand out asset, averaging 689 barrels of oil per day (“bopd”) significantly exceeding forecast production rates • 357,838 barrels of water free oil,
Slide 5: Financial highlights, six months ended January 2023
Six months ended 31 January 2023 • Half year revenues increased by over 46% to £3.73 million (H1 2022: £2.55 million) • “EBITDA” of £2.11 million (H1 2022 : £1.41 million) • Post Tax profit for the Period of £0.44 million (H1 2022 : £1.22 million) – Tax charge of £0.74 million • Cash and cash equiva
Slide 6: Post period highlights
• Despite a weakening in commodity prices, production and revenues have continued to be strong with February and March unaudited revenues of £0.63 million and £0.52 million respectively • On 6 February 2023 Egdon entered into a Farmout Option Agreement with York Energy (UK) Holdings Limited relating
Slide 7: Wressle, PEDL189 & PEDL182
• Wressle, PEDL189 & PEDL182, (EDR: 30%) • Outstanding production and financial performance • Oil production reached 400,000 barrels on 28 March 2023, with no formation water to date • Two stage gas monetisation underway: • Stage 1 – Ashover Grit gas (all regulatory consents in place) • 3 microturbi
Slide 8: Wressle site photos
Separators, knock-out pot and permanent Gas feed to three microturbines - housed in production lines in new bund protective shroud Interim Results - April 2023 8
Slide 9: Wressle forward plan
• Newly reprocessed 3D seismic data interpreted Site showingand newmapped incineration unit • Potentially significant increase in resources from the Ashover Grit at Wressle identified • New (updated) Competent Person’s Report commissioned (completion expected in June 2023) • The CPR will inform the
Slide 10: Keddington, PEDL005R
• Keddington, PEDL005R, (EDR: 45%) • A target in the east of the field could deliver ~180,000 barrels of incremental production via a side-track • 3D seismic reprocessing completed • Seismic interpretation and mapping completed • Uplift in seismic resolution • K6 reservoir coordinates defined – dire
Slide 11: Avington, PEDL070
• Avington, PEDL070 (EDR: 36.33%) • The IGas operated Avington field has been shut-in since 2017 • Planning consent granted on appeal in December 2021 and all conditions now discharged • Phased scope of works to redevelop the field will start in Q2 2023 • Workover and flow testing of AV-3z • Depende
Slide 12: Waddock Cross, PL090
• Waddock Cross, PL090 (EDR: 73.75%) • Shut-in Bridport Sandstone oil field (Dorset) • Significant Stock Tank Oil Initially in Place (STOIIP) volume of 57 mmbbls • New horizontal well = commercial oil production (500-800 bopd) and c. 1 mmbls per well recovery Add new photograph/map • 2023 – Egdon in
Slide 13: Weaverthorpe, PL081
Weaverthorpe, PL081 (EDR: option to earn 70%) Scarborough • 6 month option to farm-in with York Energy Pickering • Sherwood Sandstone prospect, located onshore Kirby Misperton North Yorkshire Malton Marishes • Up-dip of Fordon-2, with interpreted gas pay PL081 ☼ Fordon-2 (BP, 1974) • Good quality re
Slide 14: Biscathorpe and North Kelsey
Biscathorpe, PEDL253 (EDR: 35.8%) North Kelsey, PEDL241 (EDR: 50%) • The Biscathorpe-2 side-track would target: • Prospect mapped from 3D seismic, with multiple reservoir targets = Wressle analogue • Dinantian Carbonate, where a 68 metre oil column was discovered in Biscathorpe-2 with • Gross Mean P
Slide 15: Shale-gas portfolio in Northern England
• Egdon’s shale-gas portfolio in Northern England, totals 151,742 net acres (614km2 net) with Mean volumes of undiscovered GIIP of 37.6 TCF (net) • Primary focus is the Gainsborough Trough where Springs Road-1 well (Egdon 14.5%) confirmed a world class resource with estimated Gas in Place of c. 640
Slide 16: New energy opportunities: geothermal, storage, hydrogen
• The Company recognises the potential for repurposing of its fields, sites and wells for renewable purposes • Initial focus on geothermal development, working with Creative Geothermal Solutions Limited (CGSL) • The Regulators have approved a programme to P&A Dukes Wood-1 and recomplete it for a geo
Slide 17: ESG and corporate governance
• Egdon wishes to build value through developing sustainable long-term relationships with partners and the community and is committed to the highest standards of health, safety and environmental management, protection and performance • The Company remains fully compliant with all of its environmenta
Slide 18: Outlook and priorities
• Revenues continue to be strong - February and March revenues of £0.632 million and £0.52million • Production guidance increased to 240-250 boepd for 2022/23 • Key operational priorities are: 1) Maintaining and enhancing strong production at Wressle whilst progressing the gas monetisation and furth
Slide 19: Interim Results - April 2023
Interim Results - April 2023 19
Slide 20: Disclaimer
This document comprises the written materials/slides for a presentation (together with any accompanying information communicated verbally (including any questions and answers session and any material distributed with it), the Presentation) by Egdon Resources plc (the Company). This Presentation does