Sonoro Energy Ltd. · TSXV:SNV
Sonoro Energy — Investor Presentation (May 2012)
22 slides from Sonoro Energy's investor presentation, May 2012
Slide 1: Investor Presentation May 2012
INVESTOR PRESENTATION May 2012
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements in this document may constitute "forward-looking statements". Such forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry res
Slide 3: Iraq – Established Oil & Gas Fields
Iraq – Established Oil & Gas Fields Sonoro’s License 24,000 km2 - Exclusive five- year exploration license for Salah ad Din Province, central Iraq Country Stats 400+ identified structures 25 fields on production 2.7 million barrels per day of oil production 600,000 barrels per day of oil refining ca
Slide 4: Sonoro – Highlights
Sonoro – Highlights Highly Prospective License in Salah ad Din, Iraq • 40% WI in exclusive Asphalt (Heavy Oil < 25 API) License • Salah ad Din Province of 24,000 km2 • First junior E&P company into Iraq proper Strong Partners (local partner Berkeley Petroleum and Geopetrol) Large Resources – Proven
Slide 5: Three Major Play Trends
Three Major Play Trends Zagros Foldbelt • Deep, high pressure anticlinal structures • Multiple carbonate reservoirs • Deeper, light oil and shallow heavy oil (biodegradation) • e.g. Hamrin (2 BN bbls recoverable, 21-30 API) Basin Axis Structural • Both shallow draped-carbonate ramp and deep construc
Slide 6: Prospective Resource Report for License
Prospective Resource Report for License Independent report assessing prospectivity of Salah ad Din Province, by RPS Canada (Feb 2011) Prospective Risked Resources (Gross Technically Recoverable) in the Mesopotamian Cretaceous and Tertiary – Salah ad Din Province Prospective Resources - Risked Recove
Slide 7: Attractive License Terms
Attractive License Terms Sonoro Energy Iraq B.V. (40%), Geopetrol (30%) and Berkeley Petroleum Mesopotamia Ltd. (30% carry to commercial), collectively the “Licensee” • Exclusive rights to asphalt (heavy oil <25 API) exploration on 24,363 km2 • Revenue sharing between Province and Licensee • License
Slide 8: Legal & Validity
Legal & Validity Articles 112 & 115 of Iraq Constitution enables Provinces and Governorates to manage their resources and issue contracts Exclusive powers for oil & gas extraction and development do not lie with Federal Government Kurdistan Regional Government has granted 42 Contracts for Oil and Ga
Slide 9: Elements of Iraq Progress
Elements of Iraq Progress 2004 KRG grants PSC’s to 4 International Companies October 2005 Constitution passed February 2007 Draft Iraq Federal Petroleum Law June 2009 First oil exports from PSC’s in KRG March 2010 Democratic Elections December 2010 Prime Minister, President and Cabinet elected June
Slide 10: Challenges in Iraq for Sonoro
Challenges in Iraq for Sonoro Salah ad Din has minimal oil and gas activity and support services, unlike Kurdistan just to the North, and Basra in the South Security and obtaining visas Unclear permitting (provincial/federal) and bureaucracy create delays and impact schedules Changing rules and requ
Slide 11: Steps Sonoro Has Taken To Mitigate Risks
Steps Sonoro Has Taken To Mitigate Risks Developing relationships with local tribes and government Understand inter-provincial and federal boundaries and requirements to move equipment and services across them Have reviewed and evaluated more mobile drilling rigs out of surrounding countries Have un
Slide 12: North Salah ad Din Prospect
North Salah ad Din Prospect 1935 discovery well drilled and abandoned North Salah ad Din • 400m depth targeting Jeribe fractured limestone • Heavy oil of 11-15°API; > 100m pay Prospect • Anticline with four-way closure • 141mm bbl recoverable (P50)* • Planning three appraisal wells *based on RPS Con
Slide 13: Seismic Acquired, Prospect De-risked
Seismic Acquired, Prospect De-risked Contingent Resource Report by RPS Canada (July 2011) Gross Contingent Resources, Jeribe, North Salah ad Din Prospect, (MMbbl) P90 P50 P10 OOIP 494 1,233 2,972 Recoverable 41 141 406 13
Slide 14: 1936 Abandoned Well Composite Log
1936Abandoned 1936 Abandoned Well Abandoned Well Composite WellComposite CompositeLog Log Log 14
Slide 15: Reconnaissance of Prospect Area
Reconnaissanceof Reconnaissance ofProspect ProspectArea Area Scouting of the drilling area and nearby communities
Slide 16: Next Steps – NSD Appraisal
Next Steps – NSD Appraisal Next Steps – NSD Appraisal North Salah ad Din Appraisal Wells • Roads, leases survey complete on NSD Prospect • Investment permit for Sherqad Area approved • Security company, team, and plan complete • Environmental Impact Assessment completed • Civil and Drilling tenders
Slide 17: General Economics – Example Field
General Economics – Example Field Example Single Integrated Field Example field is a typical shallow asphalt (heavy-oil) project Prospective OOIP Size: 1.2 billion bbls Prospective Recoverable: 140 mm bbls Other less-mature leads and Potential number of wells 300 prospects may have additional upside
Slide 18: Management
Management Richard Wadsworth – Chairman and CEO • Co-Founder and former President & COO Bankers Petroleum Ltd. Previously with Premier Oil, Koch Canada, Syncrude and Esso Canada David A. Little, MBA - CFO • Over 35 years of oil and gas experience. Founder and Chairman of Black Stag Resources Inc., A
Slide 19: Board of Directors
Board of of Board Board Board ofDirectors Directors Directors Richard Wadsworth – Chairman & CEO Jesse Meidl • Co-founder, and Past President & COO • CFO of Caithness Petroleum (private), Bankers Petroleum formerly with Thomas Weisel Dick ter Avest – President & COO Richard Montbaillard • Former Exe
Slide 20: Capital Structure
Capital Structure Market Information Listing: TSX Venture: SNV Shares issued: 265 mm Directors & Officers: ~5 % Recent Share Price: $0.09 (May 8, 2012) Market Capitalization: ~$24 mm Research Coverage: FirstEnergy Capital 20
Slide 21: Why Invest in Sonoro
Why Invest in Sonoro First Mover Advantage NSD Program Funded Proven Prolific Basin – Large Resources – Multiple Prospects Near term drilling of 141 million bbl recoverable prospect Significant upside on appraisal success Proven management team Strong Partners in Salah ad Din, Berkeley and Geopetrol
Slide 22: For further information contact
For further information contact Richard Wadsworth, P.Eng. Chairman & CEO TeI: +1 403.262.3252 Email: info@sonoroenergy.com Web: www.sonoroenergy.com