Lion Energy Limited · ASX:LIO
Lion Energy — Good Oil Conference (September 2014)
21 slides from Lion Energy's conference presentation, Sep 10, 2014
Slide 1: A New Approach to Asian Energy
A New Approach to Asian Energy For personal use only Lion Energy Company Overview Kim Morrison CEO September 2014
Slide 2: Important notice and disclaimer
Important notice and disclaimer Forward-looking statements For personal use only Certain statements contained in this presentation, including information as to the future financial or operating performance of Lion and its projects are forward-looking statements. Such forward-looking statements: • sh
Slide 3: Important notice and disclaimer (cont.)
Important notice and disclaimer (cont.) Reserves & Resources, 1 Jan 2014 Gas/Associated Gas (BCF) Oil/Condensate (MMbbl) Method (Recoverable, net to Lion)1 For personal use only Reserves 1P 2P 3P 1P 2P 3P Total Reserves (Seram) 0.153 0.234 0.372 Deterministic Contingent Resources 1C 2C 3C 1C 2C 3C T
Slide 4: Presentation Overview
Presentation Overview For personal use only Snapshot Our Team Why Indonesia? Strategy Assets Milestones A New Approach to Asian Energy www.lionenergy.com.au September 2014 4
Slide 5: Company Snapshot
COMPANY SNAPSHOT Linked conventional/unconventional Indonesian strategy Restructuring complete For personal use only • Shares on issue: 95m • Market cap @20c: A$19 million • Cash: A$5.8mil (30/6/2014) • Revenue: ~A$2.2 million pa Major shareholders: • Risco Energy Investments (55.3%) • Tower Energy
Slide 6: Board & Management
BOARD & MANAGEMENT Well rounded board, proven track records For personal use only Russell Brimage Kim Morrison Chairman Managing Director and CEO 35+ years experience in oil and gas Exploration geologist, 28 years of international Founder of Oilserv Australia Ltd, providing experience includin
Slide 7: Advisory Board
ADVISORY BOARD Pre-eminent panel of industry advisors, wide-ranging skill set For personal use only Mr Roger Whyte Dr Andrew Cullen Principal Advisor Technical Advisor Geophysicist with extensive SE Asia Petroleum geoscientist (BSc, MSc and PhD) exposure, Co-founder of KRX Involved in internat
Slide 8: Strengths
STRENGTHS The right mix of skills and expertise For personal use only Technical • Best-in-class team • Big company expertise, small company agility • Advisory panel (tapping US/international unconventional knowledge) Commercial • Risco team involved in deals >$1billion in past 10 yrs • Proven track
Slide 9: Why Invest in Indonesia?
WHY INVEST IN INDONESIA? A unique opportunity in SE Asia For personal use only Projected Indonesian Oil and Gas Supply • Worlds fourth-largest population Mboe/d and Demand Balance (~250mm) 6,000 Demand: High-case • Fast-growing economy (GDP ~ 6%pa) with 5,000 oil and gas demand growing at > 5%pa Mid
Slide 10: Indonesian, Australian Comparison
INDONESIAN, AUSTRALIAN COMPARISON Indonesia has 9x more onshore discovered oil and gas than Australia despite only a ¼ of the land mass. For personal use only Indonesian and Australian Onshore Productive Basins Source: IHSE, various 18000 Australia onshore 360 16000 • 4.2 bboe conventional (75% gas)
Slide 11: Clear Strategy
CLEAR STRATEGY Linked conventional/unconventional approach For personal use only • Focus on Sumatra: prospective geology, infrastructure and markets • Use synergies in conventional exploration to de- risk our unconventional potential, advantages: • Cost efficiencies • Build capability • Near/mid ter
Slide 12: South Block A PSC (35%)
SOUTH BLOCK A PSC (35%) Heartland position in prolific North Sumatran Basin (1894 km2) For personal use only • New 183 km 2D seismic complete, targets 150bcfg & 16mmbbl oil/cond (Net, recoverable, P50, unrisked) • 2013 Matang 1 discovery in adjacent PSC (100-400 bcf) • Arun-Medan gas pipeline constr
Slide 13: Paya Bili Prospect
PAYA BILI PROSPECT New seismic promising, evaluation ongoing • Shallow, pre-war field with untested deeper sands For personal use only Pre- last relinquishment SBA PSC outline • On productive oil trend • Updip to well which tested oil and gas • <800m well • Oil, some gas likely A New Approach to Asi
Slide 14: Djerneh Prospect
DJERNEH PROSPECT Large attractive prospect, on trend with major fields to north (i.e. Pase) For personal use only Pre- last relinquishment • Prominent anticline, four way dip (7 km2) with SBA PSC outline large sub-thrust closure (up to 40 km2) • 2014 seismic positive, work ongoing • Well less than 1
Slide 15: Seram (Non-Bula) PSC (2.5%)
SERAM (NON-BULA) PSC (2.5%) Production with exploration & development upside (1524 km2) For personal use only Oseil facilities • 3000 bopd (70 bopd net to Lion), revenue A$2.2 mil pa • Attractive fiscal terms, large sunk cost pool • Successful 2014 Oseil field drilling added 1000 bopd+ • Reserve upg
Slide 16: Lofin Discovery
LOFIN DISCOVERY Potentially large gas/oil accumulation in Manusela Limestone Lofin 2 • Lofin-1 reached total depth (TD) of 4,427m For personal use only Lofin structure with MD, 160m hydrocarbon (HC) column Lofin 2 location • Tested 15.7 mmscfpd gas and 171 bpd of 36.1 API oil/cond, fractured carbona
Slide 17: Lion Unconventional Claims Staked
LION UNCONVENTIONAL CLAIMS “STAKED” Four Joint Study Applications (JSAs) submitted, >17,000 km2 For personal use only • 2 in North Sumatra, 2 in Central LNG import terminal Sumatra North Sumatra Basin • Potential world-class shale and tight gas/oil opportunities • North & Central Sumatran basins hav
Slide 18: Lion Opportunity Funnel – New Business
LION OPPORTUNITY FUNNEL – NEW BUSINESS Lion well placed to access Indonesia’s exciting deal flow New Venture Technical Negotiation / Exploration For personal use only Screening Review Final DD activities Sign Submit Sign CA Bid/Offer Acreage Undeveloped Board Java 1 Approval fields N Sum 3 N Sum 2 N
Slide 19: Milestones
MILESTONES Active program - good news flow, funded through Q1 2015 For personal use only Remaining 2013 2014 2014 net cost Lion Interests/Activities forecast Q4 Q1 Q2 Q3 Q4 A$mm Transaction approved 22 Jan 2014 relisting Corporate 0.7 Build Team/Processes, Manage Assets South Block A Seismic Acquisi
Slide 20: Why Invest in Lion?
WHY INVEST IN LION? Early mover with linked conventional/unconventional strategy For personal use only • Management • Existing attractive conventional assets in proven areas, near term drilling • Unconventional Joint Study Applications (World-class potential) • Attractive operating and commercial en
Slide 21: Thank you
For personal use only Thank you For more information please contact: Kim Morrison Chief Executive Officer kmorrison@lionenergy.com.au Office: +61 8 9211 1500 Mobile: +61 404 490 964 Twitter @LionEnergyASX 21