Meren Energy Inc. · TSX:MER
Meren Energy — Africa Oil — FY2024 Earnings Presentation
17 slides from Meren Energy's earnings presentation, Feb 28, 2025
Slide 1: The Next Phase of Value Creation
Africa Oil Corp. THE NEXT PHASE OF VALUE CREATION 2024 RESULTS, STATEMENT OF RESERVES AND BUSINESS OUTLOOK 28th February 2025 WWW.AFRICAOILCORP.COM www.AFRICAOILCORP.COM
Slide 2: Speakers and Agenda
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. SPEAKERS AGENDA Roger Tucker President & CEO • Introduction • 2024 Highlights • Prime Consolidation Update Pascal Nicodeme • Financial and Operational Results CFO • Year-End 2024 Statement of Reserves • Business Outlook • Q&A Oliver Quinn
Slide 3: Forward-Looking Statements
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. FORWARD-LOOKING STATEMENTS This document has been prepared and issued by and is the sole responsibility of Africa Oil Corp. (the Actual results may differ materially from those expressed or implied by such forward-looking “Company”) and i
Slide 4: 2024 Highlights
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. 2024 HIGHLIGHTS $67.9M returned to shareholders, reinforcing our commitment to value creation Three strategic transactions executed to strengthen and de-risk the portfolio Delivered production and CFFO in line with guidance Venus appraisa
Slide 5: Imminent Closing of the Prime Deal
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. IMMINENT CLOSING OF THE PRIME DEAL New Shareholder Distribution Policy Expect to close the transaction in on or about March 7, 2025 Significant YE’24 combined AOC and Prime (100%) cash of $460.9 million. Intention to declare the first div
Slide 6: Quarterly Production Performance
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. QUARTERLY PRODUCTION PERFORMANCE FY’24 entitlement1 production of 19,400 Average daily production (boepd) – net to AOC’s 50% boepd is within the shareholding in Prime guidance range of 25,000 18,000-21,000 boepd Q4 Entitlement Production:
Slide 7: Oil Sales
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. OIL SALES Prime oil sales continues to achieve superior Brent pricing Average 2024 sales price of Sales Price Dated Brent 120 $84.6/bbl Average Dated Brent: $82.7/bbl 100 Cargo Schedule Update 80 No cargos lifted in Q4'24 Up to 5 cargos a
Slide 8: Financial Highlights
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. FINANCIAL HIGHLIGHTS AOC Net Income ($ million) Prime’s EBITDAX1 and CFFO2 ($ million) net to AOC’s 50% shareholding 300 150 100 250 50 26.9m 30.8m 21.9m 25.3m 17.8m 8.1m 4.9m -3.2m 200 0 Q1’23 Q2’23 Q3’23 Q4’23 Q1’24 Q2’24 Q3’24 Q4’24 -5
Slide 9: AOC Corporate Cash Management
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. AOC CORPORATE CASH MANAGEMENT Africa Oil Cash Balances & 12M 2024 Movements ($ million) Prime (net to AOC’s 50%) End Q4’24 Prime Net Debt $175.3m (YE’23: $298.9m) Combined End Q4’24 Combined Net Debt $113.9m (YE’23: $66.9m) AOC and Prime
Slide 10: Pro-Forma Reserves
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. PRO-FORMA RESERVES Based on AOC’s YE’24 2P Reserves and Valuation1 2P WI 2P EE 2P WI 2P 101.6 116.4 RRR 77% $2.1bn mmboe mmboe NPV10 Notes: (1) The reserves estimates presented in this presentation have been evaluated by RISC in accordanc
Slide 11: 2025 Nigeria Operations Outlook
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. 2025 NIGERIA OPERATIONS OUTLOOK 2025 focus on infill drilling and development progression • Infill drilling planned following 4D seismic insights PML 2/3 • A drilling campaign for Egina will commence in Q1 2025 AKPO / EGINA • High impact
Slide 12: Orange Basin – Namibia
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. ORANGE BASIN – NAMIBIA Completed Venus Appraisal The Venus-1X discovery has completed a successful appraisal program, with development studies ongoing targeting 150 kbopd and FID expected by H1 2026, while two 3D seismic surveys completed
Slide 13: Orange Basin – South Africa
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. ORANGE BASIN – SOUTH AFRICA Exploration & Appraisal • Up to 5 exploration wells approved, with drilling plans advancing. • High-impact prospects identified using 2D/3D seismic. Farm-down & Interest • Africa Oil holds an 18% stake in Block
Slide 14: Value Proposition
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. VALUE PROPOSITION NAV Build Out (US$ million) Share Price (as of 24 Feb. 2025) C$/SH (1) C$1.91 3.68 2.90 3.77 Market Cap. (as of 24 Feb. 2025) ~US$585m 1,742 489 750 1,786 ~C$835m 47 366 108 1,373 Pro Forma Market Cap. 49% 35% ~US$900m P
Slide 15: Focused Capital Allocation to Anchor Shareholder Returns
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. FOCUSED CAPITAL ALLOCATION TO ANCHOR SHAREHOLDER RETURNS Capital Allocation Priorities of Pro-Forma AOC Balance Sheet Strength Shareholder Returns Organic Growth Inorganic Growth • Minimum liquidity • Annual base dividend of ▪1 Increase s
Slide 16: Differentiated Independent E&P Investment Case
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. Differentiated Independent E&P Investment Case Delivering Compelling Total Shareholder Returns High netback Funded organic Robust balance Transparent and production from growth sheet with low debt committed world-class offshore opportunit
Slide 17: Reader Advisory
2024 Results Presentation | 28 February 2025 AFRICA OIL CORP. READER ADVISORY Accounting for Africa Oil’s (Africa Oil, AOC or the Company) Interest in Prime The 50% shareholding in Prime is accounted for using the equity method and presented as an Aggregate oil equivalent production data are compris