Mnp Petroleum Corp · OTC:MNAP
Mnp Petroleum — Investor Presentation (March 2014)
32 slides from Mnp Petroleum's investor presentation, Mar 10, 2014
Slide 1: MNP Petroleum Company Presentation
MNP Petroleum Company Presentation January 2014 TSX - V: MNP OTCQB: MNAP www.mnppetroleum.com
Slide 2: Who We Are
WHO WE ARE MNP is changing from Exploration to Exploration & Production Focus in Central Asia for: Exploration Production Diversified asset portfolio in a basin with proven petroleum system Low and medium risk plays Shallow and deep targets (100 m to 5000 m) 2
Slide 3: MNP' Assets
MNP’ Assets Gross Acreage Country E&P Operator Working Interest Blocks (000’s acres) Tajikistan Exploration MNP 90 % 2 839 Mongolia Exploration MNP 74 % 2 744 Albania, 7.2 % France & Exploration Petromanas 8 2’890 (Equity Interest) Australia 3
Slide 4: Management Team
Management Team • Former Head of Exploration and Research of OMV; CEO of various international operations with OMV; E&P Executive Director Petrom Werner Ladwein and member of the Board; Director of several private corporations Chief Executive Officer & President • +30 years experience in the oil & g
Slide 5: Board of Directors
Board of Directors • Founder of MNP • Plays a critical role in targeting, appraising and acquiring the rights Heinz Juergen Scholz to major oil and gas assets in the FSU Chairman of the Board • Experienced in construction of factories and telecommunication networks in the FSU • Former Head of Explor
Slide 6: Board of Directors
Board of Directors • Former Chairman of the Society of Petroleum Engineers Calgary Section, Client Solutions for the Canadian Business Unit of Sanjel Corporation, Green Imaging Technologies, Inc. and Vice President and Managing Director of Saint Brendan’s Exploration Ltd. Darcy Spady • He held execu
Slide 7: Focus: Fergana Basin
Focus: Fergana Basin Exploration Project Rehabilitation/Production Project (in process to acquire) • 3396 km2 acreage (839,000 acres) • 8 producing fields • 1310 km 2D seismic acquired to date • Rehabilitation • Commencement of drilling Q3 2014 • Upside: appraisal & development, redevelopment, explo
Slide 8: Exploration Fergana Basin
Exploration Fergana Basin Tajikistan 8
Slide 9: Exploration: Key Wells 2014/2015
Exploration: Key Wells 2014/2015 First two exploration wells: Kayrakkum West Supetau TD: 5200 m TD: 4500 m Analog: Niazbek-Karakchikum field Analog: Mingbulak field, Mahram field Somon Somon 2011/12 2011/12 Acquisition Acquisition Somon 2010 Acquisition Somon 2007 Acquisition Non Somon Acquisition N
Slide 10: Exploration: Kayrakkum Prospect
Exploration: Kayrakkum Prospect • Target depth 4700 – 5000 m • Analog: Niazbek-Karakchikum field Paleogene reservoirs Paleogene Kayrakkum Niazbek- Primary Karakchikum targets 10
Slide 11: Exploration: West Supetau Prospect
Exploration: West Supetau Prospect • Target depth 3800 – 4200 m • Analog: Mingbulak and Mahram • Closest production from same reservoir in Mingbulak (>250 MMBOE reserves) • Closest discovery in same reservoir, however, not fully developed: Mahram S N Russian well, did not reach Paleogene targets Mah
Slide 12: Exploration Resources
Exploration Resources • Proven petroleum systems Bordering producing fields as analogues Unrisked Contingent Resources (Gross / MNP working interest 90%) OOIP Contingent Resources Licenses Mean MMBO Mean MMBOE Northwestern 137.5 31.5 Unrisked Prospective Resources (Gross / MNP working interest 90%
Slide 13: Exploration Project Terms
Exploration Project Terms • Production Sharing Contract Terms confidential No royalty 100 % cost recovery No profit tax No export limitations Exploration phase expires July 2014 respectively July 2016, Extension of Initial Exploration Period of each license is possible 30 years devel
Slide 14: Conclusion Exploration Fergana Basin
Conclusion Exploration Fergana Basin Licenses: • Connected and forming one large area • Modern seismic acquired 2008-2012 • Prospects and leads defined • Two drill ready prospects Critical for spud (rig availability and LLI) Drilling site in preparation Analogues: • Fields at the edge of the bas
Slide 15: Rehabilitation Fergana Basin
Rehabilitation Fergana Basin Tajikistan (in process to acquire) 15
Slide 16: Location of Producing Fields
Location of Producing Fields • 8 producing fields • Fields run down • Upside: • 30+ MM BO 2P reserves due to lack of: appraisal & technology development (Independent resource report) redevelopment investment • Current production: < 300 bopd exploration • Rehabilitation West Supetau North W
Slide 17: Producing Fields
Producing Fields Shallow field alignment Deep Fields Intermediate Fields Hanging Wall Reservoir N S 500m 0 500m Ng 1000m Footwall Reservoir 1500m Pg K 2000m Msg 2500m Pz 3000m 3500m Oil and Gas fields Leads/Prospects 17
Slide 18: Production Potential
Production Potential Increase production through: • proper maintenance including investment in new equipment Starting with current active wells Using shut-in and abandoned wells (totally 230 wells had produced with initial rates up to about 3500 bopd) • Redevelopment Oil Production Rate (STB per
Slide 19: Production Project Conclusion
Production Project Conclusion • Rehabilitation with upside potential in redevelopment and exploration • Self-financing out of cash flow Increase production to > 3200 BOPD Total cost (Opex and Capex) close to 60 million USD over 4 years Increase of recovery only from 14 % to 22 % based on this
Slide 20: Conclusion Rehabilitation Fergana Basin
Conclusion Rehabilitation Fergana Basin • Exploration: Resource potential Fergana Basin of 4 Bn BBL (EIA, USGS); of which 75 % yet to be discovered two exploration areas near producing fields Proven petroleum system Subsalt plays at center of basin Fault related structures at the edge of t
Slide 21: Exploration East Gobi Basin
Exploration East Gobi Basin Mongolia 21
Slide 22: MNP' Exploration Blocks: XIII and XIV
MNP’ Exploration Blocks: XIII and XIV MNP: 74%WI, operator • Shunkhlai Group: 10 % WI • Swiss Investor: 8 % WI • Hong Kong Investor: 8 % WI Acreage • 3,010.8 km2 (744,000 acres) Close to existing production • Acreage surrounds two producing fields in PSC 97 (100 % Sinopec) 2D Seismic acquired • To d
Slide 23: Good Neighborhood
Good Neighborhood Blocks XIII and XIV surround PSC 97 operated by Sinopec subsidiary Dongsheng: • Zuunbayan and Tsagaan-Els oil fields • Current production approx. 1,600 bopd; API 22 – 35° • Primary exploration targets in the East Gobi Basin are Cretaceous fluvial sandstone reservoirs (in Zuunbayan
Slide 24: Prospective Areas
Prospective Areas Before Drilling Ger Chuluu Subbasin (Focus on 6 Subbasins) After Drilling Ger Chuluu Subbasin (Focus on 3 Subbasins) OOIP unrisked (Mstb) P50 (Gross / MNP Working Interest 74%) TOTAL 362,697 Source: internal 24
Slide 25: Production Sharing Contract
Production Sharing Contract Profit Oil Splits Average Monthly Production Contractor Government ≤ 5,000 bbl/d 56.5% 43.5% ≥ 5,001 and < 10,000 bbl/d 51.5% 48.5% • 100% cost recovery ≥ 10,001 and < 15,000 bbl/d 46.5% 53.5% ≥ 15,001 and < 20,000 bbl/d 41.5% 58.5% ≥ 20,000 bbl/d 36.5% 63.5% • No export
Slide 26: Conclusion Gobi Basin
Conclusion Gobi Basin Drill ready prospects Shallow exploration (cost of a well: 1 - 2 million USD) Infrastructure available (producing fields in neighborhood) Recoverable past costs to date: 13 million USD Market for crude oil (Mongolia (refined products), China) No export limitations
Slide 27: Equity Interest in Petromanas
Equity Interest in Petromanas 27
Slide 28: 7.2% Equity interest in Petromanas (TSX.V:PMI)
7.2 % Equity interest in Petromanas (TSX.V:PMI) • Assets in Albania, France and Australia • Main activity in Albania: Tested Sphirag-2 Drilling Molisht-1 For more information please visit: www.petromanas.com 28
Slide 29: Financial
Financial 29
Slide 30: Capital Structure
Capital Structure Exchange TSX Venture OTCQB Symbol MNP MNAP Market Capitalization CAD 12.1 million USD 10.4 million Stock Price (Nov 15, 2013) CAD 0.07 USD 0.06 52 Week Range CAD 0.036 – CAD 0.13 USD 0.035 – USD 0.12 Common Shares (outstanding) 172,592,292 Warrants (strike price USD 0.70) 45,450,50
Slide 31: Summary
Summary MNP is changing from Exploration to Exploration & Production Exploration acreage in Fergana Basin, Tajikistan Proven Petroleum System High potential prospects 2 prospects ready to be drilled Acquisition of producing assets in Fergana Basin, Tajikistan Rehabilitation Redevelopme
Slide 32: Contact Information: MNP Petroleum Corp.
Contact Information: MNP Petroleum Corp. Dr. Werner Ladwein, CEO & President Bahnhofstr. 9, P.O. Box 155, Peter-Mark Vogel, CFO & Corporate Secretary CH-6341 Baar, Switzerland Tel: +41 44 718 10 30 Email: [email protected] Fax: +41 44 718 10 39 Website: www.mnppetroleum.com (TSX-V: MNP; OTCQB: M