Carnarvon Energy Limited · ASX:CVN
Carnarvon Energy — Carnarvon Petroleum — Go West Conference (May 2009)
27 slides from Carnarvon Energy's conference presentation, May 26, 2009
Slide 1: Go West Conference
For personal use only Go West Conference Ted Jacobson CEO May 2009
Slide 2: Disclaimer
Disclaimer For personal use only The information is this document, that relates to oil exploration results and reserves, is based on information compiled by the Company’s Chief Operating Officer, Mr Philip Huizenga, who is a full-time employee of the Company. Mr Huizenga consents to the inclusion of
Slide 3: Corporate Snapshot
Corporate Snapshot For personal use only Capital Structure Directors & Management Ordinary Shares 683 million Chairman: Peter Leonhardt Market Capitalisation: $409 million Managing Director: Ted Jacobson (fully diluted @ 60 cents) Non Exec Directors: Neil Fearis & Ken Judge Cash on hand $77 million
Slide 4: Investment Highlights
Investment Highlights For personal use only Strong balance sheet Approx A$77 million cash1, no debt Strong reserve position: - Oil Reserves - 16.6 mmbbls 2P and 37 mmbbls 3P - 2P reserves - up 46% over 2008 - Significant exploration and appraisal opportunities with 2 rigs under long term contr
Slide 5: Market Position
Market Position For personal use only One of the premier oil & gas producers listed on the ASX Carnarvon expects further growth over the coming year with significant exploration and appraisal upside to be assessed 5
Slide 6: Project Areas
Project Areas For personal use only Significant production from onshore Thailand L44/43 licence Thailand - Oil production, appraisal and exploration Exploration and appraisal from onshore Thailand L44/43, L33/43 & L20/50 Indonesia – Study group licences Exploration and appraisal from onshore T
Slide 7: Asset Portfolio
For personal use only Asset Portfolio 7
Slide 8: Thailand Reserves/Resources
Thailand Reserves/Resources For personal use only Rapidly Growing Thailand Oil Reserves Reviewed as at 31 December 2008 by independent consulting firm Gaffney Cline & Associates 16.6 mmbo 2P net reserves – Increase of 46% over the previous 12 months and almost 500% over previous 24 months – Appr
Slide 9: Thailand Production
Thailand Production For personal use only 1Q 2009 average production of ~4,110 bopd equated to revenue of ~A$21.5 million for the quarter. Quarterly Production BOPD (Net) 5000 4500 4000 3500 Net Oil Rate (BOPD) 3000 2500 2000 1500 1000 500 0 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Q1 09 Quarter SW
Slide 10: High Margin, Low Cost Operations
High Margin, Low Cost Operations For personal use only High Margins PTT (Thai National Oil Co.) sales contract based on Singapore HSFO crude price (trades at discount to West Texas Crude) Operating costs per barrel decreasing with rising production rates. Less than US$5 barrel including trucking
Slide 11: Thailand Activity
Thailand Activity For personal use only L44/43 (CVN 40%) Production Development drilling 2-6 wells 2009 Appraisal drilling 4-12 wells 2009 Exploration drilling 2-6 wells 2009 SW1A (CVN 40%) Production Drilling 1-2 wells 2009 L33/43 (CVN 40%) Exploration drilling 1-2 wells 2009 L20/50 (
Slide 12: L44/43 Overview
L44/43 Overview For personal use only Four producing oil fields L44-W Discovery L33/43 Na Sanun East L44/43 Bo Rang Gas Wichian Buri Wichian Buri Na Sanun East Na Sanun Si Thep New Discovery Area 3 oil and gas discoveries Producing Field Gas Discovery L44-W Prospects Bo Rang Gas Na S
Slide 13: L44/43 Volcanic Prospects
L44/43 Volcanic Prospects For personal use only Contingent Resource L44-W L33 L44 Bo Rang A & B NSE North A Prospect Name 1C 2C 3C Status NSE-F1 2.9 6.2 10.3 Appraisal NSE-I1 NSE North A 8.5 12.6 17.9 Ready NSE-I1 3.7 5.5 7.8 Drilling Na Sanun West Bo Rang A 5.3 9.2 14.4 Ready NSE-F1 Bo Rang B 14.2
Slide 14: NW – SE Cross Section
NW – SE Cross Section For personal use only Wichian Buri Sands NSE Upper Volcanic (Development) (NSE-A1) (Development) NW SE Na Sanun Main Volcanic (Downdip) (Development) NSE Main Volcanic Further Volcanic Potential (Exploration) Wichian Buri Deep Na Sanun Lower NSE Lower Volcanics Volcanics (Appra
Slide 15: W-E Correlation
W-E Correlation For personal use only W E NSE Upper Volcanic Na Sanun West (Appraisal) (Exploration) Na Sanun Main Volcanic (Downdip) (Development) NSE Main Volcanic Further Volcanic Potential (Exploration) NSE Lower Volcanics (Appraisal) Na Sanun Lower Volcanic (Appraisal) Correlation slide acros
Slide 16: L44W-D1 Appraisal
L44W-D1 Appraisal For personal use only Structure extends into L33/43 licence on 2D seismic L33/43 L44/43 L44-W Discovery Planned L44W-D1 L44W-D1 L44-W New Oil discovery at L44-W Flow rate on testing 1,220 bopd Appraisal well to be drilled updip at L44W-D1
Slide 17: L20/50 Thailand
L20/50 Thailand For personal use only Carnarvon 50% interest and operator, Sun Resources (ASX:SUR) 50% Southeast and on trend of large, 200 million barrel Sirikit Oil Field (produced over 150 mmbbls and still producing ~20,000bopd) ~1,000km 80’s vintage 2D seismic interpreted Sirikit Nong Bua-
Slide 18: L20/50 Thailand
L20/50 Thailand For personal use only C A B - 82-S1-04-369 - 1500.0 1600.0 1700.0 1800.0 1900.0 2000.0 0.000 01 01 05 10 05 0.500 10 40 1.000 Lead D1 1.500 Lead A1 Lead B1 Many structures mapped – require more seismic for definition New seismic survey to be acquired this year Kitchen areas int
Slide 19: L20/50 Thailand
L20/50 Thailand For personal use only C A B Sirikit style structures along basin margin Significant structural highs 3 previous wells drilled in license Nong Bua -1 only well in closure – oil shows Other 2 wells outside closure – not valid tests SP: 2100.0 2200.0 0.000 0.000 0.500 0.500 Le
Slide 20: L52 & L53 Applications Thailand
L52 & L53 Applications Thailand For personal use only Carnarvon 50%, Pearl Oil 50% and operator L33 & L44 2 large onshore permits – 6,950 sq kms Licences Onshore extension of offshore Gulf of Thailand 6 wells drilled (4 shallow for CBM and 2 deep for oil) New applications Oil seeps surroun
Slide 21: Project Pipeline
Project Pipeline For personal use only Development Exploration Production & Appraisal L33 & L43 Na Sanun East Na Sanun East L20 / 50 Bo Rang Wichian Buri L52 & L53 Si Thep Na Sanun New Ventures – Thailand L44-R Si Thep New Ventures – SE Asia Wichian Buri Deep Australia 21
Slide 22: Industry (Peers) Paradigm Shift
Industry (Peers) Paradigm Shift For personal use only Peers focus on balance sheet and survival, not growth Exploration – a liability not an asset Bank loans – onerous conditions Raising equity – difficult, dilutive and at significant discounts Farm-outs – no promotes being paid for anything
Slide 23: Carnarvon Positioning
Carnarvon Positioning For personal use only CVN focus on growth!!! Increasing reserves D Increasing production D Increasing cash D No debt D Strong cashflow D Self funded programme D Strong technical ability D Strong access to dealflow D CVN BUSINESS MODEL REMAINS STRONG 23
Slide 24: Carnarvon Assessment
Carnarvon Assessment For personal use only Consolidate Current Position √ Strong balance sheet with cash $70 million and no debt √ Self funded exploration and appraisal programme with excess cashflow for growth Capitalise on Opportunities √ Market conditions are presenting a number of asset acqu
Slide 25: Conclusion
Conclusion For personal use only Growing cash Growing reserves and production Carnarvon actively looking for projects that fit defined investment criteria Carnarvon well poised for significant growth 25
Slide 26: Industry Award
Industry Award For personal use only Carnarvon was awarded the 2008 Explorer of the Year at Good Oil Conference in Perth 26
Slide 27: Contact
Contact For personal use only Philip Huizenga Ted Jacobson Chief Operating Officer Managing Director Carnarvon Petroleum Limited Carnarvon Petroleum Limited www.carnarvonpetroleum.com T +61 8 9321 2665 www.carnarvonpetroleum.com T +61 8 9321 2665 Member of the ASX F +61 8 9321 8867 Member of the ASX