United Oil & Gas Plc · LSE:UOG
United Oil & Gas — FY2021 Earnings Presentation
23 slides from United Oil & Gas's earnings presentation, Apr 26, 2022
Slide 1: United Oil & Gas: Focused on growth, 2021 Full year results
United Oil & Gas Focused on growth 2021 Full year results 26 April 2022
Slide 2: Disclaimer
DISCLAIMER This presentation (“Presentation”) is being supplied to you solely for The Presentation may not be reproduced or redistributed, in whole These risks include, but are not limited to, risks associated with the your information. The Presentation has been prepared by, and is the or in part, t
Slide 3: Focused on Growth
FOCUSED ON GROWTH 2021 2022 100% drilling success Portfolio Management - Short cycle production and cashflow - $5m of proceeds delivered - Maria licence commercialisation 3/3 Successful 2/2 Exploration opportunities (6mmboe) development wells commercial oil discoveries adding production & cashflow B
Slide 4: Cash Generative Portfolio with High Reward Upside
CASH GENERATIVE PORTFOLIO WITH HIGH REWARD UPSIDE Commercialisation opportunities UK 8 (100% WI) A+D producing fields High-impact, 21 exploration PRODUCTION producing wells Existing production DEVELOPMENT EGYPT EXPLORATION generating cashflow (22% WI) P+D+A+E JAMAICA (100% WI) Near term E APPRAISAL
Slide 5: Finance
FINANCE David Quirke CFO
Slide 6: 2021 Financial Results Summary
2021 FINANCIAL RESULTS SUMMARY Realised Oil Price ($/bbl) Realised Gas Price ($/mmbtu) Cash Operating Cost ($/boe) 68.9 37.8 2.6 2.6 5.90 5.77 2021 2020 2021 2020 2021 2020 Group Revenue ($m) Gross Profit ($m) Net Profit ($m) Net of Government Take 12.2 19.2 4.1 9.1 2.5 0.9 2021 2020 2021 2020 2021
Slide 7: 2021 Cashflows
2021 CASHFLOWS $m 16.0 14.0 (3.5) 12.0 10.0 (2.0) 8.0 12.2 6.0 (5.4) 4.0 0.2 2.0 (3.1) 1.2 2.2 0.8 0.0 0.4 Cash Balance 31 Operating Cashflow Investment Investment Financing Activities Ord Shares, Working Capital Cash Balance at 2 Dec 2020 Activities - Capex Activities- Capex Repayment of Deposit an
Slide 8: Significant Cashflow Upside in Current Oil Price Environment
SIGNIFICANT CASHFLOW UPSIDE IN CURRENT OIL PRICE ENVIRONMENT Material cashflow drivers year-to-date Oil price realisations for Q1-22 of > $95/bbl Balance Sheet Dated Brent forward Curve for remainder strengthened to support of 2022 > $100/bbl and 2023 > $90/bbl growth strategy Crown milestone settle
Slide 9: Operations & ESG
OPERATIONS & ESG Jonathan Leather COO
Slide 10: Environment, Social & Governance
ENVIRONMENT, SOCIAL & GOVERNANCE
Slide 11: Environment, Social & Governance
ENVIRONMENT, SOCIAL & GOVERNANCE Progress in 2021 Focus for 2022 Social Social Social - Investment programs focused on - Continue with investment programs training, education and capacity focused on training, education and building capacity building - Zero Lost-time injuries1 - Continue dialogue wit
Slide 12: Egypt: Abu Sennan
EGYPT Abu Sennan
Slide 13: 2021 Summary - High Levels of Activity and Record Production
2021 SUMMARY - HIGH LEVELS OF ACTIVITY AND RECORD PRODUCTION 2021 WELLS Abu Sennan Licence, Egypt Lost-Time Injuries Producing fields Working interest New Development concessions granted following exploration discoveries Zero 8 22% FY average production Drilling success NewNet Profit fields onstream
Slide 14: Long-Term Production & Reserves Growth; Significant Potential Remaining
LONG-TERM PRODUCTION & RESERVES GROWTH; SIGNIFICANT POTENTIAL REMAINING Abu Sennan Production Abu Sennan 2P Reserves2,3 UOG Net Working Interest, since acquisition effective date 1-1-2019 UOG Net Working Interest, since acquisition effective date 1-1-2019 Baseline Wells Onstream in 2020 4.0 1.4 3.7
Slide 15: 2022 Planned Activity and Growth Catalysts
2022 PLANNED ACTIVITY AND GROWTH CATALYSTS 2023 2022 work programme schedule Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Drilling ASD-2 Dev ASV-1X Exp AJ-14 Dev ASH-5 Dev ASF-1X Exp Seismic Phase 1 Seismic reprocessing and interpretation - optimise target for ASH-5 Phase 2 Seismic reprocessi
Slide 16: 2022 High Impact Exploration Wells Targeting >10 mmbbls Gross
2022 HIGH IMPACT EXPLORATION WELLS TARGETING >10 MMBBLS GROSS 1 ASV-1X Exploration Well ASF-1X Exploration Well Spud on 14 April; c.60-day well Due to be drilled Q4 22; c.60- day well c. 2.6 mmbbls gross un- risked mean recoverable c. 8.1 mmbbls gross un- resources estimated by United risked mean re
Slide 17: Low Risk Exploration Portfolio with Significant Upside
LOW RISK EXPLORATION PORTFOLIO WITH SIGNIFICANT UPSIDE Illustrative potential net production growth at Abu Sennan United 22% Working Interest Production Exploration Upside - Includes 2022 drilling of ASV-1X and ASF-1X, two of the largest prospects on Abu Sennan - Potential to materially increase pro
Slide 18: UK Central North Sea: Maria
UK CENTRAL NORTH SEA Maria
Slide 19: Licence P2519 (Maria): Discovered Barrels in a High-Activity Area
LICENCE P2519 (MARIA): DISCOVERED BARRELS IN A HIGH-ACTIVITY AREA Maria United Equity 100% 6mmboe discovered resources United’s estimate of the mid-case recoverable resources held in the Maria discovery1 Awarded 2020 Expiry Dec 2023 Located in a highly prospective area of the Central North Sea, clos
Slide 20: Jamaica: Walton Morant
JAMAICA Walton Morant
Slide 21: High Impact Exploration Potential - Walton Morant Licence, Jamaica
HIGH IMPACT EXPLORATION POTENTIAL - WALTON MORANT LICENCE, JAMAICA Walton Morant Licence: 22,400km2; United equity: 100% World-class exploration opportunity - Excellent data-set including >2,250km2 3D seismic data - Drill-ready Colibri prospect independently estimated to contain over 400mmbbls recov
Slide 22: Summary & Outlook
SUMMARY & OUTLOOK Brian Larkin CEO
Slide 23: Summary & Outlook: Our Strategy
SUMMARY & OUTLOOK Our Strategy Egypt | Production + Cash generative Create value by actively managing our existing assets whilst Clear path to near term low- growing our business through additional high-margin opportunities cost production from discovered resources and Focused on growth exploration