United Oil & Gas Plc · LSE:UOG
United Oil & Gas — Merger or Acquisition (July 2019)
10 slides from United Oil & Gas's merger presentation, July 2019
Slide 1: Rockhopper Egypt Acquisition - A Transformational Opportunity
Rockhopper Egypt Acquisition - A Transformational Opportunity www.uogplc.com AIM:UOG
Slide 2: Disclaimer
Disclaimer The Presentation is being supplied to you solely for your information. The Presentation has been prepared by, and is the sole responsibility of, United Oil & Gas Plc (the “Company”, “UOG”, “United”, or “United Oil & Gas”). The directors of the Company have taken all reasonable care to ens
Slide 3: Transformational Acquisition of Rockhopper Egypt
Transformational Acquisition of Rockhopper Egypt Conditional agreement to acquire 100% of Rockhopper Egypt Pty for US$16m Includes 22% non-operating interest in the Abu Sennan Concession ACQUISITION METRICS $16m 2.64mmboe >1,100boepd $22.91-29.92m Acquisition Cost Net 2P Reserves Current Net 2P NPV1
Slide 4: Transaction Rationale
Transaction Rationale ▪ Consistent with strategy to build a balanced full-cycle portfolio of assets to High quality significantly increase shareholder value potential portfolio ▪ Value creation through active management of production, development and low- risk exploration/appraisal assets in Europe/
Slide 5: Abu Sennan Licence Summary
Abu Sennan Licence Summary EXPLORATION LICENCE Duration 5 Yrs in 3 Phases Ends Sept ‘23 Area 653 km2 Financial $10m Commitments Drilling Phase 1 (Sept ‘21): 2 wells* Commitments and Phase 2 (Sept ‘22): 1 well Phasing Phase 3 (Sept 2023): 1 well Abu Sennan-6 Awarded March 2019 3 “1” Blocks (c.9km 2)
Slide 6: Upside Potential
Upside Potential Significant infill potential from bypassed pay and previously untargeted reservoirs; Sizeable exploration upside potential Leads and Prospects Map Abu Sennan Prospects ▪ Ongoing infill drilling campaign has had considerable success to date – gross production levels have increased fr
Slide 7: Key Commercial Terms
Key Commercial Terms Transaction Funding US$16m US$8m Cash consideration for the Combination of prepayment Senior secured prepayment purchase of Rockhopper Egypt finance and equity funding finance signed with BP which also Pty Ltd for the acquisition provides a downside price protection for UOG US$5
Slide 8: Transaction Timing and Next Steps
Transaction Timing and Next Steps 23 July 2019 SPA Announcement & Share Suspension 22 Aug 2019 JV Partner Consents Publication of AIM Re-admission Document and resumption of trading Q4 2019 General Meeting Regulatory Approval and Admission of enlarged group to trading on AIM Completion expected Q4-2
Slide 9: Egypt Investment Case
Egypt Investment Case Economic Overview ▪ Political and Economic Stability: Sisi’s government reinstated for second term in Mar-18 ▪ Commitment to IMF Reform Programme: 5th $2bn Tranche of $12bn disbursed Feb-19 ▪ Credit rating B(Stable)/B3/B+ (Stable) S&P, Moody’s Fitch ▪ Egypt will raise US $4-7 B
Slide 10: www.uogplc.com
www.uogplc.com