Synergia Energy Ltd · LSE:SYN
Synergia Energy — Oilex — Shareholder Meeting (September 2012)
19 slides from Synergia Energy's shareholder meeting presentation, Sep 7, 2012
Slide 1: Early entry advantage in the Indian unconventional energy market
ABN 50 078 652 632 Early entry advantage in the Indian unconventional energy market Oilex General Meeting | September 2012 OILEX Ltd | General Meeting 07 September 2012
Slide 2: Important information
Important information Disclaimer The presentation in this projected form and as verbally presented (Presentation) is provided on the basis that none of the Company nor its respective officers, shareholders, related bodies corporate, partners, affiliates, employees, representatives and advisers make
Slide 3: Company profile
Company profile Oilex Ltd (ASX: OEX) is an oil and gas explorer with near-term production potential focused on unconventional oil and gas in India. Oilex is listed on the ASX and AIM Share price (as at 5/09/12) 7.0 cents 4.75p Market capitalisation $24.8mm £16.8mm Cash (as at 30/06/12) $4.4mm £2.8mm
Slide 4: Strategic transformation under way
Strategic transformation under way 2005-11 2012+ Conventional Target Unconventional onshore onshore/offshore Stage Explorer Producer Location Indian Ocean Rim India Early entry into world- Opportunity Early-Late Mature class resource OILEX Ltd | General Meeting 07 September 2012 4
Slide 5: Investment case
Investment case › Early entry into tight reservoir development in Cambay Basin › Cambay has world-class tight reservoir resource potential • Independent assessment by NSAI during 2011 • Unrisked Contingent Resource - 222 BCF gas, 37 MMbbls oil 2C, net Oilex › Compelling commercialization opportuniti
Slide 6: Early entry advantage in a strong energy market
Early entry advantage in a strong energy market › Footprint established in tight reservoir development in India › Large and highly prospective acreage position secured, 45% equity › Significant advancements in evaluation, drilling and completion techniques in North America › Modern techniques have n
Slide 7: Oilex's unique market opportunity
Oilex’s unique market opportunity Capitalise on our early mover advantage by Utilising modern technology to pursue tight oil and gas resources in a proven Indian basin where Oil and gas is proven and the commercial potential is outstanding OILEX Ltd | General Meeting 07 September 2012 7
Slide 8: Cambay Project - world-class tight reservoir potential
Cambay Project - world-class tight reservoir potential Large acreage position ~40,000 acres Independent assessment Netherland Sewell & Associates Inc. (Oct 2011) SUBSTANTIAL 222 BCF gas and 37 MMbbl oil Unrisked Contingent Resources (2C net RESOURCE Oilex) Substantial prospective resource up
Slide 9: Cambay-76H Well
Cambay-76H Well › Tight reservoir technology transfer • Evaluation • Drilling and completion • Fracture stimulation › Encouraging well results • Oil and gas flared at surface • High formation overpressure • Consistent with production modelling › Comparable to North American tight reservoir analogues
Slide 10: Compelling commercialization opportunities
Compelling commercialization opportunities › Indian economy has excellent long term growth potential - 8%+ p.a. › International Energy Agency forecasts robust outlook for gas prices › Cambay project is ideally located at the hub of Indian’s largest gas pipeline network • 10 km from grid • Local buye
Slide 11: India's natural gas deficit expanding
India’s natural gas deficit expanding Natural Gas Production Natural Gas Consumption Natural Gas Imports (RHS) Source: Energy Outlook 2030, BP 2011; Natural Gas in India, IEA 2010 OILEX Ltd | General Meeting 07 September 2012 11
Slide 12: Established gas infrastructure network
Established gas infrastructure network EXISTING AND PROPOSED GAS PIPELINES IN GUJARAT CAMBAY FIELD Source: Gujarat State Petronet Limited OILEX Ltd | General Meeting 07 September 2012
Slide 13: India – attractive destination for oil & gas investment
India – attractive destination for oil & gas investment › Attractive fiscal regime › Central Government regulated – as per UK, Australia etc › Favourable terms on Cambay PSC › Continuing strong demand driven by rising internal industrial consumption › Stable democratic political system OILEX Ltd | G
Slide 14: Increased confidence in successful execution
Increased confidence in successful execution › Drilling, completion and fracture stimulation techniques extensively proven in North America › Bolstered operating team with new COO appointment › Focused recruitment of North American expertise › Strong relationships with leading US technical consultan
Slide 15: Near-term production and cash flow potential
Near-term production and cash flow potential › Transformational strategy provides near-term production and cash flow potential › Reduces reliance on future equity injections › Targeting first production late 2013 › Appraisal plan to drill and flow test offset well near Cambay-76H › Liquids-rich gas
Slide 16: Activity pipeline
Activity pipeline Indicative Project Schedule Propose to drill Offset Well, 3 vertical + 2 horizontal wells in the next 18 – 24 months 2012 2013 Offset Well Production test result Vertical Wells D, G, A wells Book Contingent Core & Log Analysis Resources D, G wells Horizontal Wells (D + G) Productio
Slide 17: Significantly undervalued relative to peers
Significantly undervalued relative to peers EV/MMboe 2C Resource $1,600,000 $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $- OEX SEH RIA AWD HOG PVE SEH = Sino Gas, RIA = Rialto Energy, AWD = Aleator Energy, HOG = Hawkley Oil and Gas, PVE = Po Valley Energy Source: IRESS OILEX
Slide 18: Investment summary
Investment summary › Early mover advantage › Cambay has world-class potential • Unmatched commercialization opportunities • Attractive fiscal and regulatory regime › Increased confidence in successful execution › Near-term production and cash flow potential › Significantly undervalued Near-term high
Slide 19: www.oilex.com.au Phone: +61 8 9485 3200 Email: [email protected]
ABN 50 078 652 632 www.oilex.com.au Phone: +61 8 9485 3200 Email: [email protected] OILEX Ltd | General Meeting 07 September 2012