East West Minerals Ltd. · TSXV:EW
East West Minerals — East West Petroleum — Investor Presentation (August 2010)
32 slides from East West Minerals's investor presentation, August 2010
Slide 1: Corporate Overview August 2010
© 2010 East West Petroleum, “fe AST WEST PETROLEUM Corporate Overview August, 2010
Slide 2: Notice regarding forward looking statements
Notice regarding forward looking statements This presentation contains certain forward-looking statements (forecasts) under applicable securities laws relating to future events or future performance. Forward-looking statements are necessarily based upon assumptions and judgements with respect to the
Slide 3: Notice regarding forward looking statements
Notice regarding forward looking statements The Company’s actual results could differ materially from those anticipated in the forward looking statements contained throughout this presentation as a result of the material risk factors set forth below, and elsewhere in this presentation: •volatility in
Slide 4: Mission Statement
Mission Statement East West Petroleum’s mission is to invest in emerging international E&P projects where the application of state-of-the-art technologies will contribute significantly to asset valuation and shareholder value.
Slide 5: Corporate Goals
Corporate Goals • Build a large, high-potential unconventional resource position in E. Europe, N. Africa & S.Asia • Supplement unconventional resources with conventional reserves & production • Apply state-of-the-art exploration, drilling and completion technologies where these activities will maxim
Slide 6: The East West Difference
The East West Difference Well-connected and World-class advisory dedicated management board with decades of with strong proven track experience record Application of modern Company-building technologies an integral projects with unlimited component of business potential in world-class plan jurisdict
Slide 7: Strategic Projects with A Vision
Strategic Projects with A Vision Current Production on the Carbon • Weighted Interest in Oil and Gas Wells in Alberta, Canada property in Alberta generating Existing • Provides Company with stable cash flow Production cash flow Awarded four oil and gas exploration blocks in the • Targeting conve
Slide 8: Areas of Primary Interest
© 2010 East West Petroleum Areas of Primary Interest Sa
Slide 9: Carbon Property Alberta
Carbon Property Alberta The Carbon property is located approximately fifty miles northeast of Calgary, Alberta in Township 29, Range 22 W4M. The working interests in this property range from 4.8 to 20 percent in 4 producing oil wells and 13 gas wells. The wells are producing from the Horseshoe Canyo
Slide 10: The Target – Pannonian Basin
The Target – Pannonian Basin Romania has an estimated 600 million barrels of oil reserves 70 hydrocarbon fields have been discovered in the Romanian section of the Pannonian Basin Largest oil field in the area contains 144 million barrels of light, sweet crude oil
Slide 11: The Upside – Unconventional Potential
The Upside – Unconventional Potential Pannonian Basin has the potential to host significant shale gas ExxonMobil and Falcon Oil & Gas hold a joint- venture to explore for shale gas in Hungary on the Pannonian Basin, with a P-90 Resource exceeding 20 trillion cubic feet (TCF) Major oil and gas
Slide 12: Importance of European Shale Gas
Importance of European Shale Gas Billion Cubic 2007 From % of Meters Imports Russia Imports Increasing Russian Austria 7.48 5.60 74.87% dominance in natural gas Bulgaria 3.10 3.10 100.00% export leads to potential Czech Republic 8.63 6.43 74.51% security of supply issues Finland 4.30 4.30 100.00%
Slide 13: Why Romania
Why Romania • European Union member • Romanian gas industry pre-dates that of US by 2 years • Excellent fiscal terms • Oil and gas infrastructure in 4 Block area • Attractive oil and gas prices • Conventional and unconventional potential on each Block • Several leads mapped for further seismic studi
Slide 14: Company Strategy in Romania
Company Strategy in Romania • Company holds 100% of the risk Company seeks to Initial • Search for farm-out partners to reduce risk Acquisition divest as much risk as possible to industry • Other companies pay disproportionately partners high “paying interest” for “working interest” (i.e. Paying 4
Slide 15: Romania Government Take
Romania Government Take Using US$70 oil, Romania Government Take Percentage Romanian government 100.00% take only 30% of the oil, 90.00% 80.00% which means contractor 70.00% takes 70% of the profits 60.00% 50.00% One of the highest 40.00% 40 million barrels reserves 80 million barrels contractor
Slide 16: Romanian Fiscal Structure Breakdown
Romanian Fiscal Structure Breakdown • Sliding Royalty based on One of the most lenient quarterly production fiscal structures in the Royalty from 3.5%~13.5% world Uses a concession • 5% fixed tariff on (Royalty/Tax) system Tariff amount of oil sold rather than a Production Sharing • 16% flat cor
Slide 17: Romania Government Take Comparison
Romania Government Take Comparison Romania is in the top 10 100% 90% in the world for 80% contractor take 70% 60% “Beyond Five Stars” – 50% Lower government take 40% Contractor Take 30% than that of the United 20% Government Take Kingdom 10% 0%
Slide 18: 10th Romanian Bidding Round results (July 2010)
10th ROMANIAN Bidding Round results (July 2010) 20 out of the 30 exploration blocks awarded to 13 different companies Companies now negotiating contracts Exploration blocks attracted competition from major corporations Major players are present (Chevron, Exxon Mobil, Lukoil, etc..)
Slide 19: Romania Exploration Program
Romania Exploration Program East West Petroleum was awarded 4 exploration block in the Pannonian Basin of Western Romania cover 1,000,000 acres. Conventional and Unconventional potential Block 2 - Tria Block 3 - Baile Felix Romania Block 7 - Perian Block 8 - Biled
Slide 20: Romanian Blocks Exploration Potential
Romanian Blocks Exploration Potential East West Petroleum has secured 4 large exploration blocks in Romania Block Exploration Potential Scoping Economics Company is planning an Tria (2) 11 leads delineated over 38 Mmbo discovery 1700 – 5000 ft. with size delivers NPV (@10%) of extensive exploratio
Slide 21: Romania – Executive Summary
Romania – Executive Summary High Potential – Current and historical production and reserves of oil and natural gas High Upside – Shale Gas Potential within the Pannonian Basin High Contractor Take – “Beyond Five Stars” Fiscal Structure lets companies keep a large percentage of what they discov
Slide 22: Small Caps Within the Pannonian Basin
Small Caps Within the Pannonian Basin 350,000,000 300,000,000 250,000,000 Market Capitalization (C$) 200,000,000 150,000,000 100,000,000 50,000,000 - Sterling Aurelian Regal Winstar Falcon Oil & Melrose Audax Europa Oil & East West Resources (LON:AUL) Petroleum Resources Gas (CVE:FO) Resources Resou
Slide 23: All the players (present)
All the players (present) Amro Gold Oil (Private) MOL Hungarian Oil & Gas (BDP:MOL) Amromco (Private) Moravske Naftove Doly (State Owned) Audax Resources Ltd (ASX:ADX) Petrom (BSE:SNP) Aurelian (LON:AUL) Petromar Resources (Private) Carpathyan Energy (Private) PLC & Expert Petroleum SRL (Private) Ch
Slide 24: Beyond Romania – Company Plans
Beyond Romania – Company Plans Seek attractive To leverage existing Project Acquisition technical targets with favorable connections and fiscal terms knowledge in unconventional Reduce Risk by production Farming Out Conduct Preliminary Projects to Larger Explore for conventional Companies Explor
Slide 25: Board of Directors / Management
Board of Directors / Management Gregory Renwick - Director, President, and CEO Mr. Renwick brings over 30 years of broad, international petroleum experience to the Company. Mr. Renwick began his career with Mobil Oil Canada as a geophysicist. Over the next 25 years, Mr. Renwick held various technica
Slide 26: Board of Directors / Management
Board of Directors / Management Herb Dhaliwal - Director Herb Dhaliwal is a graduate in commerce of the University of British Columbia (1977). He was a senior Minister for Western Canada in the federal Cabinet of Prime Minister Jean Chretien. Between 1997 and 2004 he successively held the portfolios
Slide 27: Board of Advisors
Board of Advisors Dr. Marc Bustin - Advisor Dr. R. Marc Bustin (Ph.D., P. Geol., FRSC) is Professor of petroleum and coal geology in the Department of Earth and Ocean Sciences at the University of British Columbia and president of RMB Earth Science Consultants and former president of CBM Solutions L
Slide 28: Board of Advisors
Board of Advisors Wak Kani – Advisor Wak Kani is a geologist with over 34 years in production and exploration positions with significant operations experience. Mr. Kani began his career with Chevron and Oxy in the North Sea. For 11 years he was Chief Geologist for Hardy Oil, now a part of ENI/AGIP.
Slide 29: Financing Terms
Financing Terms East West Petroleum (EW.H) 2-Year Number of Units: 10 Share Price million 0.7 Unit Price: C$0.25 0.6 0.5 Warrants: Full three- Share Price ($C) 0.4 year warrants 0.3 exercisable at C$0.34 0.2 Financing 0.1 Price 0
Slide 30: Share Capital
Share Capital STRUCTURE Issued & Outstanding Shares (Pre-Financing) 31,725,306 Stock Options $0.26 Expire Jan / 07 / 15 360,000 $0.16 Expire Jun / 11 / 15 1,800,000 $0.20 Expire Jul / 19 / 15 840,000 $0.26 Expire Oct / 19 / 10 30,000 Fully Diluted (Pre-Financing) 34,755,306 Shares Issued (Financing)
Slide 31: Company SnapShot
Company SnapShot Share Price (As of 08/20/2010): C$0.34 Market Cap (Post-Financing): C$10.9M Warrants (Post-Financing): 10M Fully Diluted Market Cap(Post-Financing): C$20M Cash Position (Post-Financing): C$2.8M
Slide 32: Contact Us
Contact Us East West Petroleum Engineering AJM Petroleum Consultants 200 – 638 11th Ave S.W. Bank Calgary, Alberta, CANADA Bank of Montreal T2R 0E2 Legal Advisors James L. Harris, Thomas Rondeau Phone: +1 (403) 410-3870 Business Lawyers Vancouver Fax: +1 (403) 410-3854 Auditors www.eastwestpetroleum
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