Prominence Energy Limited · ASX:PRM

Prominence Energy — Sun Resources NL — Investor Presentation (August 2014)

25 slides from Prominence Energy's investor presentation, August 2014

  1. Slide 1: Transformational Land Acquisition & Near-Term Drilling

    Transformational Land Acquisition & Near-Term Drilling August 2014 Jack Howe #1 Coring Lower Woodbine

  2. Slide 2: Important Information Disclaimer

    Important Information Disclaimer This presentation has been prepared by Sun Resources NL (“Sun”) for the purpose of providing a company and technical overview to interested parties to enable recipients to review the business activities of Sun. This presentation is limited in scope and is not intende

  3. Slide 3: Transformational Land Acquisitions

    Transformational Land Acquisitions  Sun Resources NL (“Sun”) recently announced it had secured the rights to oil and gas leases covering approximately 1,980 gross1 mineral acres in the highly prospective Lower Woodbine area in Texas (“Land Acquisition”) − Land Acquisition’s complement Sun’s existin

  4. Slide 4: Investment Highlights

    Investment Highlights  Diversified position within two leading US onshore unconventional resource plays in Texas ‒ Woodbine1: 28,669 gross (18,203 net1) acres  Premier Position Acreage ‒ Eagle Ford: 10,028 gross (5,014 net) acres ‒ Total acreage position: up to 38,697 gross (23,217 net) acres  Ac

  5. Slide 5: Corporate Overview

    Corporate Overview Capital Structure Share Price / Volume History 0.05 30.0 ASX code SUR 0.04 Ordinary shares on issue 2,645m 25.0 0.04 1 Performance options 140m 0.03 20.0 Price (A$) 2 Unlisted options (various prices) 75m Volume (m) 0.03 15.0 Current share price (24-Jul-14) $0.015 0.02 Market capi

  6. Slide 6: Experienced Board & Management Team

    Experienced Board & Management Team  Currently an Emeritus Professor at the University of Melbourne, Fellow of the Academy of Technological Sciences and Engineering and a Prof Ian Plimer Fellow of the Australasian Institute of Mining and Metallurgy (Non Exec. Chairman)  Serves on the boards of sev

  7. Slide 7: Asset Portfolio - Snapshot

    Asset Portfolio - Snapshot Upon successful completion of the Land Acquisitions, Sun will have an interest in ~23,000 net acres across 8 projects. Woodbine Projects Project Net acres 1 Delta (Petro-Hunt AMI) 910 2 Delta Oil 9,803 Texas Southern Oil (Amerril, 3 2,991 mostly SW Leona) 4 Beeler Oil 230

  8. Slide 8: Woodbine Projects

    SUN reSourcesSz Woodbine Projects

  9. Slide 9: Woodbine: Recent Activity

    Woodbine: Recent Activity Increasing activity around Sun’s lease areas by large US oil & gas companies. US oil & gas companies General Activity Petro Hunt and Sun 7,832 acre AMI. Well set to spud Buffalo Oil Field shortly Sub-Clarksville sand Alabama Ferry: Oil Leon in Glen Rose Fm EOG new Lower Woo

  10. Slide 10: Woodbine: Multiple Oil Targets

    Woodbine: Multiple Oil Targets Multiple oil targets … focus required  Austin Chalk  Sub Clarksville Sandstone  Eagleford Shale  Woodbine  Buda  Bossier Upper Middle Lower 10

  11. Slide 11: Woodbine: Illustrative Potential Economics

    Woodbine: Illustrative Potential Economics1 IRR VS IP Rate NPV10/bbl = US$33 NPV10/bbl = US$27 NPV10/bbl = US$11 Notes: 1. Economics are based on a $6m lateral in the Upper Woodbine at around 6,000 TVD. Currently Lower Woodbine laterals in the Southern Woodbine area are AFE’d at closer to $8m gross,

  12. Slide 12: Woodbine: Sun's Projects

    Woodbine: Sun’s Projects Sun has a working interest in over ~18,000 net acres across its 7 Woodbine Projects. Project Table Leasehold and activity map 3 Working Acres Net Royalty Map Project Interest Interest (%) Gross Net (%) 1 Southern Woodbine¹ TBC TBC 1,980 1,980 2 Normangee 50.0% 37.5% 3,852 1,

  13. Slide 13: Southern Woodbine: Target Leasing Areas

    Southern Woodbine: Target Leasing Areas Asset Overview Leasehold and activity map WI%  TBC Operator  Sun Net Acres  1,9801 minimum  Leon County-Madison County Border, between Leona Location and Normangee  Multiple lateral completions by EOG in Lower Woodbine target. Operational  Five shaded ar

  14. Slide 14: Southern Woodbine: Recent Lower Woodbine Lateral Well Oil Completions

    Southern Woodbine: Recent Lower Woodbine Lateral Well Oil Completions SW Leona Area of Amerril Oil Project (Refer to slide 12 for project mapping to Location of New Sun Leases: 5 wider land holding position) May Completion BOPD (30 Currently ~1,980 gross acres. Well Name Operator 1 Loc. Date day IP)

  15. Slide 15: Woodbine: Normangee Oil Project

    Woodbine: Normangee Oil Project Asset Overview Leasehold and activity map WI%  50.0%, remaining 50% held by Amerril Amerril Project: SW Leona Area Operator  Sun Resources T. Keeling & Seale #1H Lower Woodbine Oil Net Acres  1,976 Location  Madison County, East Texas (onshore USA)  Jack Howe #1H

  16. Slide 16: Woodbine: Delta Oil Project (Petro-Hunt)

    Woodbine: Delta Oil Project (Petro-Hunt) Asset Overview Leasehold and activity map WI%  25.0% NRI%  18.75% Area of Petro- Hunt AMI with Davis #1 Well Sun Operator  Petro-Hunt Petro-Hunt (Op) Dexter Red Oak Net Acres  910 Prospect  Leon County, Texas Location  Adjacent to proven oil production

  17. Slide 17: Woodbine: Delta Oil Project

    Woodbine: Delta Oil Project Asset Overview Leasehold and activity map WI%  100% WI NRI%  75% Net Acres  9,803 Operational  Sun continues to seek future activity, by way of farm- Highlights out, joint venture or direct drilling activity  Acquired ~10,000 net acres of oil and gas leases from Hist

  18. Slide 18: Woodbine: Amerril Oil Project

    Woodbine: Amerril Oil Project Asset Overview Leasehold and activity map  18-50% WI%  Centerville AMI – ~18% WI  SW Leona AMI – 50% WI NRI%  37.5% Operator  Amerril Net Acres  ~3,354  Two lateral wells and one vertical well prove up Lower Woodbine Potential  Centerville AMI − F.Thompson #1H d

  19. Slide 19: Woodbine: Beeler Oil Project

    Woodbine: Beeler Oil Project Asset Overview Leasehold and activity map  CW Brown #1H - 13.5% WI%  Remainder - 16.7% WI, (12.5% NRI)  CW Brown #1H - 10.5% NRI%  Remainder – 12.5% Operator  Amerril Net Acres  230 Current  Oil production coming from the Woodbine laterals Production  Production

  20. Slide 20: Eagle Ford Project

    SUN reSourcesSz Eagle Ford Project 20

  21. Slide 21: Eagle Ford: Recent Activity

    Eagle Ford: Recent Activity Eagle Ford Badger Play Map / Key Well Activity  Eagle Ford is an active area surrounded by US Independents and ASX-listed peers  Premier liquids-rich shale play in the US − Currently dominated by major global E&P companies − Carbonate rich, oil prone geology  Future va

  22. Slide 22: Eagle Ford: Badger Project

    Eagle Ford: Badger Project Asset Overview Leasehold and activity map WI%  50% NRI%  Sun leases at 75% NRI Operator  Ursa Net Acres  5,014  Bastrop County, Texas Location  Acreage adjacent to the Giddings oil field, a prolific Austin Chalk oil field that has produced over 1 billion barrels of o

  23. Slide 23: Relative Valuation

    SUN reSourcesSz Relative Valuation 23

  24. Slide 24: Valuation

    Valuation Sun’s valuation appears attractive on an EV/net acreage multiple. Eagleford transaction comps (US$ EV/net acre) ASX peer trading comparables (A$ EV/net acre) EV($m) EV($m) Aurora Aurora Oil/&Baytex Oil & Gas Gas / Baytex Energy Energy (2014) (2014) 2,588 53,747x Freeport-McMoRan Copper & G

  25. Slide 25: Contact Sun, or visit the website for further information

    Contact Sun, or visit the website for further information www.sunres.com.au Matthew Battrick Interim CEO Sun Resources NL L2, 30 Richardson Street t: (+61) 8 9321 9886 West Perth m: (+61) 416 111 298 WA 6005 f: (+61) 9321 8161 e: mab@sunres.com.au 25

Sun Resources NL — Investor Presentation (August 2014) on 6ix