Brava Energia Sa · BMFBOVESPA:BRAV3
Brava Energia Sa — Q3 2020 Earnings Presentation
14 slides from Brava Energia Sa's earnings presentation, Nov 13, 2020
Slide 1: Results Presentation 3Q20
Results Presentation 3Q20 November 16, 2020 Strictly Confidential 1
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements about future events that are not based on historical facts and are not assurances of future results. Such forward looking statements merely reflect the Company’s current views and estimates of future economic circumstances, industry
Slide 3: 3Q20 Highlights
3Q20 Highlights First IPO in Brazil of a company in the oil and gas sector with focus on mature 1 fields, anchored in production assets and reserves, without exploratory R$2.3 bi Market exposure Value² Primary offering brought R$690 million² to the company enabling growth 2 through acquisitions and
Slide 4: Ready for new opportunities supported by a successful IPO
Ready for new opportunities supported by a successful IPO Shareholder Structure¹ RRRP3 listed on Novo Mercado FIP 3R RWE / DBO Management Free Float FIP Esmeralda Energy & Others Primary Offering 47.0% 13.4% 5.0% 30.0% reinforce commitment with the investment thesis 100.0% 100.0% 100.0% 100.0% Offer
Slide 5: 3R Petroleum | At a glance
3R Petroleum | At a glance Highlights Location of fields & focus of operations Potiguar Basin 3rd largest onshore oil Sinergies C B 3rd producer with 4 assets Company Assets A acquired from Petrobras Macau Cluster Recôncavo D Basin Pescada e Arabaiana Cluster Management team with "Redeveloping, expe
Slide 6: Timeline | Company with history in carrying acquisitions at attractive multiples
Timeline | Company with history in carrying acquisitions at attractive multiples Considering 3R acquisitions in 2020, the Company produced 8.4 thousand (boe/d) of oil in 3Q20 and has 101.0 (MM boe) of 2P reserves in 2021 Macau Cluster Pescada & Fazenda Belém Rio Ventura Petrobras’ Acquisition Arabai
Slide 7: 3R's Core Business | Recovery Factor Improvement
3R’s Core Business | Recovery Factor Improvement Recovery Factor (%) Brazilian mature fields Brazilian Basins vs. World Average present low recovery factors and present a huge opportunity 35% production improvement It’s possible to increase the 31% recovery factor through: ✓ Increase the drainage 26
Slide 8: Portfolio | Overview of 3R's oil reserves certification
Portfolio | Overview of 3R’s oil reserves certification 1P + 1C Reserves 2P + 2C Reserves 3P + 3C Reserves (mm boe) (mm boe) (mm boe) 3R is focused on development and production of proved and probable Macau* 42.6 47.9 53.4 certificated reserves Fazenda 7.2 12.8 14.9 Belém Pescada & 3.6 15.3 16.5 Oil
Slide 9: Total Production | Considering all Clusters acquired
Total Production | Considering all Clusters acquired 3R Oil & Gas Production 2020 (thousand boepd) Macau Cluster shows production improvement even with the shutdown of selected gas fields and the Aratum 8.9 platforms; 8.5 8.4 8.4 8.6 8.5 8.6 8.4 8.3 0.8 Clusters that are still managed by 0.9 0.8 0.8
Slide 10: Macau Oil Production | Operation showing early results even without CAPEX
Macau Oil Production | Operation showing early results even without CAPEX Macau Cluster Oil Production 2020 – Month (boepd) +10.4% Operational Highlights 3,974 3,905 3R operation showing early 3,806 results after assuming Macau 3,795 3,804 during the pandemic and with 3,686 3,735 no Capex implemente
Slide 11: Financial Performance | 100% Macau and 35% Pescada
Financial Performance | 100% Macau and 35% Pescada Financial Highlights | 3Q20 1 Net Revenue summed to R$81.7 MM in the quarter considering only Macau and 35% of Pescada. Cash generated from 65% of Pescada and 100% of Fazenda ¹ ANP data Belém will be deducted from the installments to be paid at Clos
Slide 12: 3R' New Capital Structure and Funding
3R’ New Capital Structure and Funding Decommissioning Cost Share Agreement R$ MM 3Q20 • Total of US$152 MM already negotiated with Petrobras to be received once the abandonment of the assets is concluded, of which US$100 MM refers to Pescada & Gross debt1 691.7 Arabaiana cluster Obligations with Pet
Slide 13: Sustainability | Business Plan supported by ESG standards
Sustainability | Business Plan supported by ESG standards → Renewable energy and climate change commitment 3 WTG with 0.6 MW of → Installation of thermoelectric generators supplied by natural gas installed capacity each E → Water management, avoiding waste and pollution that will generate 30% of Mac
Slide 14: Journey Beginning | Company is ready for new opportunities
Journey Beginning | Company is ready for new opportunities Quarterly results show the resilience of our thesis and our assets: average lifting cost of $5.8 per boe, considering Polo Macau and 35% of Pescada; Consolidation of a portfolio with synergistic assets, in production and anchored by proven r