Tlou Energy Ltd · ASX:TOU
Tlou Energy — Investor Presentation (March 2015)
20 slides from Tlou Energy's investor presentation, March 2015
Slide 1: Corporate presentation
Corporate presentation Anthony (Tony) Gilby MD & CEO March 2015
Slide 2: Disclaimer
Disclaimer Disclaimer Future performance This presentation (Presentation) has been prepared by Tlou Energy Limited (Tlou). The Presentation and This Presentation contains certain “forward-looking statements”. Forward looking words such as, “expect”, information contained in it is being provided to s
Slide 3: About Tlou Energy
About Tlou Energy Who we ASX listed coalbed methane (CBM) company are What CBM in Botswana we do Our Provide a clean and reliable energy Goal source to Botswana & southern Africa 3
Slide 4: Company Overview
Company Overview Market Cap: Share Price: $0.15 ~$22m (12 Mar 2015) 148m shares Operations: Acreage: Botswana 10 Permits 100% owned 4 pilot locations HQ: Brisbane ASX: TOU 4
Slide 5: Key Information
Key Information Botswana CBM Project • ~8,300km2, 100% owned • ~100 well database NSAI Certified Contingent Resources • 152 BCF (2C) • 2,322 BCF (3C) Significant market opportunity • Botswana’s most advanced project • High energy demand Location • Low cost • Supportive government 5
Slide 6: Experienced Team
Experienced Team Board of Directors Key In-Country Management Nathan Mitchell – Chairman Glen Smith – Chief Operating Officer •17 years in resource exploration •Geologist with 25 years operational experience •International Operational Experience •Operational and geological experience •Pioneer of CBM
Slide 7: Botswana Field Operations
Botswana Field Operations Aerial view of Operations Selemo Pod Gas flare - Selemo Pod December 2014 7
Slide 8: Botswana CBM Project
Botswana CBM Project e BOTSWANA Mmashoro ! Morupule Power Selemo Pilot Pod Station >a * ial rae \ 8 \ 8 » oF x t Potential 300MW Power Station ~ SOUTH * AFRICA x TLOU ENERGY ANGOLA MAMIBIA BOTSWANA ZIMBABWE LEGEND \ —— Main road ) an Kalahan - Karco Basin LEGEND sx Proposed Gas Pipeline Substation T
Slide 9: Lesedi Project
Lesedi Project TLOU ENERGY po EN fo LEGEND 723 v ra) ‘@ ~ Potential significant gas flow 4 528 Wa Potential future gas producer y Y 3% VY Gas flow recorded ° Lesedi 2P 4 + 2014 Core hole 00% © Well C1-2X Existing lateral well —_ . *—- Proposed lateral & vertical production well Lesedi Project fe} Le
Slide 10: Gas flows
Gas flows Selemo Pilot - Short term test – December 2014* • Peak recorded gas flow of ~400,000 cfd • Average recorded gas flow of ~200,000 cfd • Results suggest a commercial development is achievable. • First in Botswana to flow CBM gas at these rates *As detailed in Tlou’s ASX announcement on 6 Jan
Slide 11: Lesedi CBM Project Technical Fundamentals
Lesedi CBM Project Technical Fundamentals Coal depth ~300-700m Cumulative net coal thickness ~25m (Average) Gas contents 4-6 m3/t (DAF) (Average) Unstimulated reservoir ~2-5mD permeability per DST Gas compositions 75%+ methane 11
Slide 12: Horizontal Pilot Design
Horizontal Pilot Design • Horizontal wells (~750m in-seam) with vertical pumping well • Lesedi completed as a dual lateral • Selemo completed as a single lateral • Target Reservoir: Basal Morupule coal seam (~6m) 12
Slide 13: Botswana Operations
Botswana Operations e TLOU ENERGY
Slide 14: Commercialisation Sequence and Existing Power Grid
Commercialisation Sequence • Initial Gas Delivery – School & substation • Existing Orapa Power Station – 90MW Gas or Diesel • Proposed Power Station – 300MW Gas &/or Coal • Export Existing Power Grid • 33kV close to Lesedi Project • 220kV to the east • 400kV Interconnect to neighbouring countries 14
Slide 15: Commercialisation
Commercialisation Initial Gas Delivery • Uses otherwise flared gas • CNG or Pipeline to Kodibeleng ~80km • Connect local school • Substation inter-connect Flared gas CNG / Pipeline Power School Connect to grid 15
Slide 16: Independently Certified Contingent Resources (NSAI)
Independently Certified Contingent Resources (NSAI) Resource Statement Contingent Resource OGIP(2) Unrisked Gross (100 Percent) Unrisked Net (100 Percent) Category (BCF) (BCF) (BCF) • 152 BCF (2C) Contingent Resources Low Estimate (1C) (1) 0.0 0.0 0.0 • 2,322 BCF (3C) Best Estimate (2C) 303.5 152.2
Slide 17: Forward Plan
Forward Plan MOU for Reserve Expanded Flow gas FID gas supply certification program • Achieved • In progress • Target • Additional • Target mid 2015 wells based end 2015 • Operations on results ongoing 17
Slide 18: Investment opportunity
Investment opportunity ef eo @ OVERVIEW ts ) First gas to market ¢ The most advanced gas company in Botswana ¢ Flowed gas at potentially commercial rates * 8,300 km? 100% Tlou Energy @ comMmMercIAL ¢ High gas prices and low cost environment yields +/-20% ROR ¢ Existing Orapa 9OMW & proposed 300MW po
Slide 19: Tlou Energy Limited (ASX:TOU)
Tlou Energy Limited (ASX:TOU) Botswana CBM focus 148m shares Market Cap: ~A$22m Cash Balance: ~A$5.8m (Dec 2014) Certified Contingent Resources (NSAI) Supportive government & low cost location Pathway to commercialisation 19
Slide 20: Thank You
Thank You 210 Alice St Brisbane QLD 4000 Australia Tel: +61 7 3012 9793 Ground Floor, Victoria House 132 Independence Avenue Gaborone Botswana Tel: +267 316 0857 www.tlouenery.com [email protected] ASX: TOU