Pacific Coast Oil Tr · OTC:ROYTL
Pacific Coast Oil Tr — Pacific Coast Oil Trust — Investor Presentation (September 2013)
21 slides from Pacific Coast Oil Tr's investor presentation, Sep 24, 2013
Slide 1: Pacific Coast Oil Trust Investor Presentation
Pacific Coast Oil Trust Investor Presentation September 2013
Slide 2: Forward Looking Statements
Forward Looking Statements Cautionary Note regarding Forward-Looking Statements This presentation contains statements about future events, beliefs, intentions, outlook and expectations of Pacific Coast Energy Company LP (“PCEC”), all of which are forward-looking statements. Any statement in this pre
Slide 3: Pacific Coast Oil Trust Overview
Pacific Coast Oil Trust Overview Perpetual royalty trust formed in 2012 by PCEC to own interests in Underlying Properties characterized by predictable production profile and long-lived reserves: Santa Maria Basin, CA (Orcutt Conventional and Orcutt Diatomite) Los Angeles Basin, CA (West Pico,
Slide 4: PCEC / ROYT Organizational Chart
PCEC / ROYT Organizational Chart (1) PCEC retains a significant interest in the Underlying Public PCEC Properties: PCEC Unitholders Management ~20% in Developed Properties ~75% in Remaining Properties ~83% ~7% ~10% Trustee ROYT (BNY Mellon) 25% NPI 7.5% ORRI 80% NPI (APO) (BPO) Underlying Prop
Slide 5: PCEC Management
PCEC Management Randy Co-founder and Co-Chief Executive Officer of PCEC’s predecessors from 1988 to 2012 Breitenbach Formerly served as President and Co-CEO of BreitBurn GP, currently Vice Chairman of the Board Chairman & CEO Trustee and is Chairman of the governance and nominating committee f
Slide 6: Underlying Properties Overview
Underlying Properties Overview Total (1) Underlying Properties Jun 2013 Production (Boe/d) 4,306 Proved Reserves (MMBoe) 33.7 % Proved Developed 71% % Oil 98% Total Proved Reserve Life (R/P) 21 yrs Proved Developed Reserve Life (R/P) 15 yrs San Luis Obispo Los Angeles San Bernardino Sawtelle West Pi
Slide 7: Trust Structure
Trust Structure The Trust is entitled to an economic interest in the following from the Underlying Properties: Structure Developed Properties: 80% of the net profits from the sale of oil and natural gas production from the Developed Properties (the “80% NPI”) Remaining Properties: a 7.5% overr
Slide 8: ROYT Investment Highlights
ROYT Investment Highlights Mature, primarily oil asset with predictable production and long lived reserves Pure Play on Oil ~98% of reserves and production are oil Long producing histories dating back up to 100 years in high-quality basins Attractive Production 85% of the volumes of the prov
Slide 9: Premium Pricing
Premium Pricing Since early 2011, Brent has traded at a premium to WTI All volumes produced by PCEC are priced using Midway Sunset (“MWS”) and Buena Vista (“BV”), local index benchmarks that correlate strongly with Brent Strong correlation to Brent pricing means minimal influence from internal
Slide 10: Aligned Interest with PCEC
Aligned Interest with PCEC PCEC retains a material, direct economic interest Having a significant retained interest in the Underlying Properties ensures PCEC is properly incentivized to successfully execute the development plan PCEC internally funds all capital expenditures on behalf of unithold
Slide 11: Asset Overview
Asset Overview Underlying Properties Overview Jun 2013 Proved Reserves as of 12/31/12 Reserve Life (R/P) (1) Daily Prod. % Proved Reserves Proved Total Recovery (Boe/d) Developed (MBoe) % Oil Developed Proved Method Santa Maria Basin Orcutt, Conventional 1,656 100% 11,008 100% 18.2 yrs 18.2 yrs Wate
Slide 12: Orcutt Field Overview and Highlights
Orcutt Field Overview and Highlights Overview Production History (Gross Boe/d) PCEC has 216 producing wells on 4,578 gross (3,704 net) acres on the Underlying 4,000 Properties in the Orcutt Field as of Diatomite Module 2 December 31, 2012 Diatomite Pilot 67% proved developed reserves and 100% Ex
Slide 13: Orcutt Field Overview and Highlights (Cont'd)
Orcutt Field Overview and Highlights (Cont’d) Overview Asset Map Orcutt Conventional Conventional production from the Monterey and Point Sal San Luis Obispo formations, at depths of 1,700 and 2,700 feet, respectively Active waterflood SX Sand developed by PCEC beginning in 2007 Early stage w
Slide 14: Orcutt Diatomite Reservoir Development
Orcutt Diatomite Reservoir Development Distinguished technical experience in Orcutt Diatomite 2007-2008: Began 30 well commercial pilot; 2009-2011: Performance 2005: Started diatomite Obtained 96 well and facility Land Use evaluation and optimization of development – redrilled 3 Permit (“LUP”); Phas
Slide 15: Orcutt Field Cyclic Steaming
Orcutt Field Cyclic Steaming Process Overview Typical Diatomite Cyclic Steaming Mechanism Steam injection for 3-6 days 1. Steam Injection A soak period of 2-3 days (5 days / 2,000-2,500 bbls Cold Water Equivalent) Return to production, well flows for 7-10 days, then is Injection pressurizes
Slide 16: Los Angeles Basin Overview and Highlights
Los Angeles Basin Overview and Highlights Overview Asset Map PCEC has interests in 97 producing wells on 2,107 gross (1,082 net) acres on the Underlying Properties in the Los Angeles Basin San Los Angeles Bernardino as of December 31, 2012 Sawtelle 93% proved developed reserves and 86% oil reser
Slide 17: ROYT Performance
ROYT Performance ROYT has delivered consistent distributions on track with original projections $2.58 in Cumulative Distributions Since the IPO in May 2012 (by month declared) $3.00 $2.58 $2.50 $2.42 $2.25 $2.10 $2.00 $1.94 $1.79 $1.64 $1.80 $1.50 $1.50 $1.35 $1.63 $1.20 $1.49 $1.06 $1.33 $1.00 $0
Slide 18: Pacific Coast Oil Trust is Tax Efficient
Pacific Coast Oil Trust is Tax Efficient ROYT Allows the Investor to Enjoy the Benefits of Real Net Profits and Overriding Royalty Interests Tax Advantage of Perpetual Trust Perpetual royalty trust investors receive the full tax benefits of owning oil and natural gas assets Simplicity and speed
Slide 19: Why Perpetual vs. PUD Trust?
Why Perpetual vs. PUD Trust? Trust Structure Comparison Perpetual Trust PUD Trust Upside Potential Lease-Level conveyance, upside from Wellbore contribution only, limited to fixed the properties retained number of wells Equivalent to direct ownership of assets Fixed income / VPP equivale
Slide 20: ROYT is an Attractive Investment
ROYT is an Attractive Investment A unique opportunity to invest in a pure play on oil and world oil pricing Stable and predictable, low-decline production profile Significant, identified upside potential Premium pricing driven by Brent (world oil) PCEC has significant operational experienc
Slide 21: Pacific Coast Oil Trust
Pacific Coast Oil Trust Investor Presentation September 2013
Pacific Coast Oil Trust — Investor Presentation (September 2013) on 6ix