Melbana Energy Limited · ASX:MAY
Melbana Energy — Cuba Oil & Gas 2017 Summit
22 slides from Melbana Energy's conference presentation, February 2017
Slide 1: Cuba Oil & Gas 2017 Summit Presentation
Cuba Oil & Gas 2017 Summit Presentation February 2017
Slide 2: Disclaimer
Disclaimer Forward-looking Statements and Resources Summary of information: This presentation contains general and background information about Melbana Energy’s activities current as at the date of the presentation and should not be considered to be comprehensive or to comprise all the information t
Slide 3: Presentation Overview
Presentation Overview Overview of Melbana Energy Cuba oil & gas prospectivity and operating environment Exploration history of Block 9 Melbana process for Block 9 so far Identified prospectivity of Block 9 Next steps 3
Slide 4: Corporate Overview
Corporate Overview 4
Slide 5: Melbana Energy: Company Overview
Melbana Energy: Company Overview • Australian listed (ASX: MAY) petroleum USA exploration company USA • Only ASX listed company with Cuban energy industry exposure Cuba Block 9 • Identified enormous exploration potential in Cuba Block 9 • Seeking early drilling opportunities in Block 9 • Onshore New
Slide 6: Board of Directors
Experienced Leadership Board & Management Board of Directors Peter Stickland Andrew Purcell Michael Sandy Managing Non-Executive Non-Executive Director & CEO Chairman Director Senior Team Colin Naylor Robert Zammit Errol Dean Dr. Rafael CFO & Exec Manager – Johnstone Johnstone Tenreyro Company Comme
Slide 7: Cuba
Cuba 7
Slide 8: Cuba Oil and Gas Potential
Cuba Oil and Gas Potential Untapped Region of the Gulf of Mexico • The Gulf of Mexico is one of the Cuba – Significant Undiscovered Potential world’s great petroleum mega provinces − Cuba represents the under- explored south-eastern margin of this province • US Geological Survey estimates Broader lo
Slide 9: Oil and gas industry in Cuba
Oil and gas industry in Cuba Map of acreage holdings in Cuba • Established international oil industry participation • Significant areas of Cuba is not yet leased • International operators reporting globally competitive operating costs in Cuba of ~US$7/barrel. 9
Slide 10: Cuba - Re-emerging as an investment destination
Cuba - Re-emerging as an investment destination Policy changes having positive impact • Cuba has implemented an attractive fiscal regime: − New Law of Foreign Investment in 2014, including 8 year profit tax exemption • Cuba reached a deal with “Paris Club” creditor nations late 2015 - an important s
Slide 11: Melbana Progress On Block 9 So Far
Melbana Progress On Block 9 So Far PSC (2,380 km2 or 588,000 acres) located onshore and close to infrastructure • Commenced pre-qualification in 2012 • Prequalified as Operator early 2013 • Identified Block 9 as preferred opportunity • Commenced direct negotiations with Cupet for Block 9 PSC • Septe
Slide 12: Melbana Exploration philosophy: Integration is the key
Melbana Exploration philosophy: Integration is the key Geology Outcrop Integrated Understanding of Structural Geology Reservoir Engineering Prospectivity Petrophysics 12
Slide 13: Brief Exploration History of Block 9
Brief Exploration History of Block 9 Lightly explored, natural oil seeps and several small oil discoveries Pre 1959: • Asphalt mined from surface Havana deposits Varadero Field is the largest oil field in Cuba with over 11 Majaguillar & San Anton producing fields Cuba • Motembo discovery – light oil
Slide 14: Block 9: Geological Characteristics
Block 9: Geological Characteristics Multiple plays in large compressional fold belt Lower Sheet Depth B B’ • Reservoir m Itabo- Bolanos Guadal-1 − Predominantly of fine grained, 0 1 Tertiary -1 fractured carbonates 1000 UPPER SHEET − Targeting same main productive zone in existing fields in Cuba – 2
Slide 15: Cuba Block 9 – Exploration Resource Potential
Cuba Block 9 – Exploration Resource Potential Multi-billion barrel oil in place exploration potential identified Lower Sheet Play • Exploration potential for over 12 billion barrels of oil-in-place with Prospective Resources of ~600 million barrels (unrisked Best Estimate, 100% basis)* • 18 individu
Slide 16: Alameda prospect: close to historical oil recoveries
Alameda prospect: close to historical oil recoveries High impact prospect, currently designing well for potential 2018 drilling • Large structure in western part of Block 9 • Primary objective in depth range from 3,000 to 3,700 metres • Marti-5 (drilled 1988) recovered lighter oil (24°API) and had o
Slide 17: Central Area: High Potential A2 and C1 Leads
Central Area: High Potential A2 and C1 Leads Multiple structures with hundred million barrel exploration potential • A2 is a large structure supported by two nearby shallow wells that recovered oil from the upper sheet above the deeper A2 lower sheet target • C1 lead is also a large structure • C1 l
Slide 18: Cuba Block-9 Operating Environment
Cuba Block-9 Operating Environment Onshore accessible area in close proximity to active oil industry • Block 9 consists largely of low-lying farm land • A number of sealed roads cross Block 9 • Largest nearby city is Cardenas Low lying farmland (population ~100,000) approximately 5km west of Block 9
Slide 19: Cuba Block 9 – Near Term Activities
Cuba Block 9 – Near Term Activities Integrate data and investigate potential for early drilling in 2018 • Continue to integrate data to provide a comprehensive picture of the geology of Block 9 • Develop drilling program for possible accelerated drilling in Block 9 to test the exploration potential
Slide 20: Melbana Energy - Indicative Activity Pipeline
Melbana Energy - Indicative Activity Pipeline Key upcoming activities in Cuba, NZ and Australia CUBA • Priority lower sheet drill targets identified BLOCK 9 PSC • Ongoing assessment of Block 9 prospectivity • Up to two wells to be drilled in early 2018 • Drill program planning underway NEW ZEALAND •
Slide 21: Summary and Conclusions
Summary and Conclusions Melbana strategy to target projects with appropriate risk reward profile Building a portfolio of high impact drilling opportunities in Cuba and Australia/NZ Cuba has excellent oil & gas prospectivity and demonstrated modest operating costs Existing fields, oil recoveries and
Slide 22: www.melbana.com
6 Melbana Energy www.melbana.com