Australis Oil & Gas Ltd. · ASX:ATS
Australis Oil & Gas — Shareholder Meeting (May 2023)
26 slides from Australis Oil & Gas's shareholder meeting presentation, May 2, 2023
Slide 1: Chairman's Address and Company Presentation Material
ASX Announcement 2 May 2023 For Immediate Release Chairman’s Address and Company Presentation Material 2023 Annual General Meeting Please find attached to this document a copy of the Chairman’s address and the presentation that will be provided by Australis Oil & Gas Limited today at its Annual Gene
Slide 2: Chairman's Address – 2023 Annual General Meeting
Chairman’s Address – 2023 Annual General Meeting Thank you very much to those of you in attendance today at the AGM of Australis Oil & Gas and thank you to those listening and or watching online. The timeframe for delivery of the returns we seek for investors has been longer than we anticipated. We
Slide 3: 2023 AGM Presentation
ASX: ATS 2023 AGM Presentation 02 May 2023
Slide 4: Important Notice and Disclaimer
Important Notice and Disclaimer This presentation has been prepared by Australis Oil & Gas Limited ACN 609 262 937 (ASX: ATS) (Australis). Summary of information: This presentation contains general and background information about Australis’ activities current as at the date of the presentation and
Slide 5: 2022 ESG and Financial results
2022 ESG and Financial results 3
Slide 6: ESG summary - 2022
ESG summary - 2022 Australis reported another year of safe operations and reduced emissions Employee Safety Performance ▪ Strong safety culture led by field operations resulted 2022 2021 in another exemplary performance with no safety Near Miss 0 0 incidents over 4,832 workdays. First Aid 1 0 ▪ Proa
Slide 7: Fiscal summary 2022
Fiscal summary 2022 Strong 2022 fiscal performance continues to support strategic objectives Financial results Units 2022 ▪ Strong fiscal results during 2022 Sales Volume Bbls 347,000 ▪ Net Debt reduced to $4.2 million at 31 Average Realised PriceA US$/bbl 96.6 December 2022 Average Achieved PriceB
Slide 8: 2022 Operating Costs
2022 Operating Costs Our focus has been on operated costs ▪ Australis as a small operator, active in an area remote to the major oil field service centers and with steeply rising industry costs – see CPI plot. − Overall Opex has been maintained through 2021 – 2022. − Reduction in workover frequency
Slide 9: Driving down workover frequency
Driving down workover frequency Driving down well workover frequency – key to extending field life and reducing operating costs ▪ Workover costs are a significant portion of the Australis operating budget ▪ Workover frequency has been a key focus for the operations team over past 6 years to extend c
Slide 10: TMS Asset Description
AUSTRALIS OIL & GAS TMS Asset Description
Slide 11: The Tuscaloosa Marine Shale (TMS)
The Tuscaloosa Marine Shale (TMS) Australis believes that the TMS is one of the last discovered, delineated but undeveloped quality unconventional oil play remaining in the Lower 48. ▪ Large depositional area in Louisiana and Mississippi ▪ Historically well known as a source rock with multiple assoc
Slide 12: Australis TMS Asset
Australis TMS Asset An attractive opportunity that is increasingly relevant to an evolving industry ✓ Key attributes ensure play attractive ➢ Proved oil deliverability over a long-time frame to define decline curves ➢ Proximity to infrastructure and markets Asset with key value ➢ Proactive regulator
Slide 13: Strategic Position with Scale in TMS Core
Strategic Position with Scale in TMS Core Australis controls the core area and is largest lease holder ▪ Large contiguous land position in the TMS Core with ~77,200 net acres (none on federal lands) providing strategic control and operational benefits TMS Asset Profile Mississippi and Louisiana, USA
Slide 14: How does the TMS compare?
AUSTRALIS OIL & GAS How does the TMS compare?
Slide 15: NoviLabs play comparison chart
NoviLabs play comparison chart The three key oil plays have seen improvements in recovery over time although productivity has varied Cum 12 month oil production per 1,000ft (bbls) Year ▪ Data taken from the three US tight oil basis, each producing over 0.5 mmbbls/d. They account for almost 85% of th
Slide 16: TMS Development and Performance
TMS Development and Performance TMS development activity level is much lower but if represented in a similar way would look as follows ▪ A total of 90 wells have been drilled in the TMS, highest activity levels in 2014 when 31 wells were brought on to production ▪ The chart shows all 90 wells, some
Slide 17: NoviLabs comparison chart with the TMS
NoviLabs comparison chart with the TMS Compare TMS to NoviLab analysis of other plays – TMS is Tier 1 productivity! 30 100 Cum 12 month oil production per 1,000ft (bbls) 90 25 80 70 20 60 50 Annual Well Count 15 50 40 40 30 10 30 20 20 TMS Well Count 5 10 10 TMS bbl/1000ft - 2010 2011 2012 2013 2014
Slide 18: TMS Well Performance – Core vs Non Core
TMS Well Performance – Core vs Non Core The TMS has a Tier 1 productivity defined Core area with significantly improved and consistent performance. ▪ Map on the right shows the full depositional areas of key gulf coast unconventional plays ▪ The TMS extends over 14 million acres in central Louisiana
Slide 19: NoviLabs comparison chart with TMS Core area
NoviLabs comparison chart with TMS Core area Compare TMS Core to Novalaps’ analysis of other plays 30 100 90 25 80 70 20 60 15 50 50 Annual Well Count 40 40 10 30 30 5 20 20 TMS Core Well Count 10 10 TMS Core bbl/1000ft - 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 0 0 ▪ Have now tak
Slide 20: Update on Business Development & US Industry
Update on Business Development & US Industry 18
Slide 21: Australis strategy
Australis strategy The business strategy for Australis has been consistent since IPO Identify a target Secure a material Repackage asset to Secure a partner to Seek to monetise unconventional oil position in asset at a demonstrate fund further field value for asset with key low entry price underlyin
Slide 22: Diminishing well performance analysis of Permian (Midland) Basin
Diminishing well performance analysis of Permian (Midland) Basin Even the very biggest plays are increasingly mature • The chart opposite was generated by Novi labs. • Shows the average performance of all wells drilled in the Midland Basin • As can be seen, the average length of wells has increased
Slide 23: How developed are these mature plays?
How developed are these mature plays? Delaware Basin (Permian) development status ~ 10km ~ 8km Courtesy of Google Earth • The map opposite is taken from an April 2023 presentation pack by Detring Energy Advisors. • It shows the development status of the Delaware Basin • For those not familiar with f
Slide 24: Summary
Summary Although it has taken patience as time frames have extended, Australis is in a unique position to create value 2022 Results Sales Fiscal Netback $12.1mm EBITDA $6.1mm Profit $2.0mm 347,000bbls 0 Recordable 2 Minor 0.070 mt EHS Injuries Reportable Spills CO2e/boe Asset • ~77,200 net acres (28
Slide 25: Footnotes
Footnotes 1. All estimates and risk factors taken from Ryder Scott, report prepared as at 31 December 2022 and generated for the Australis concessions to SPE standards. See ASX announcement released on 9 February 2023 titled “Reserves and Resources Update Year End 2022”. Australis is not aware of an
Slide 26: Glossary
Glossary Unit Measure Unit Measure B Prefix - Billions bbl Barrel of oil MM or mm Prefix - Millions boe Barrel of oil equivalent (1bbl = 6 mscf) M or m Prefix - Thousands scf Standard cubic foot of gas /d Suffix - per day Bcf Billion standard cubic foot of gas Abbreviation Description TMS Tuscaloosa