Cadogan Energy Solutions Plc · LSE:CAD
Cadogan Energy Solutions — Cadogan Petroleum — Oil Capital Conference 2017
14 slides from Cadogan Energy Solutions's conference presentation, Sep 5, 2017
Slide 1: Cadogan, a new company delivering on its new strategy
Cadogan, a new company delivering on its new strategy Presentation to Oil Capital Conference London September 5th, 2017 Oil Capital Conference, 2017
Slide 2: Important notice
Important notice This presentation material does not constitute or form part of any offer for sale or subscription or any solicitation for any offer to buy or subscribe for any securities nor shall they or any part of them form the basis of or be relied upon in connection with any contract or commit
Slide 3: Why invest in Cadogan
Why invest in Cadogan Cadogan has: § A clear strategy to pursue shareholder value § A strong platform to deliver on its strategy § A track record of delivering against its strategy § The intrinsic upside of an undervalued stock Cadogan’s goal is to offer its shareholders exposure to material upside
Slide 4: Cadogan: a snapshot
Cadogan: a snapshot A strong platform to create opportunity and growth § Strong financial position § $ 40 million net cash1 § Established revenue streams § Producing fields and exploration assets in Ukraine (far from the conflict zone) and Italy § Proven track record as low- cost operator § World cl
Slide 5: Cadogan: its strategy
Cadogan: its strategy Make select asset acquisition leveraging on Cadogan’s strengths § Pursue mature exploration/appraisal assets with material upside § Target on-shore assets § Focus on geography with strong and first-hand knowledge (Europe, Africa, Middle-East, Central Asia) or which offer potent
Slide 6: Financial strength
Financial strength Cash, …preserved through effective cost cutting and management of working capital G&A (MUSD) § Promoted locals to replace 8 expatriates § Executive Directors down from 6 3 to 1 - 40% § Kiev staff down from 34 to 262 4 § New, smaller offices § Right-sized the scope of 2 security co
Slide 7: Management strengths
Management strengths Board of Directors § Very experienced and high profile non-Executive Directors § Variety of back-grounds and experience across energy (including renewables), finance and international politics CEO § 35 years of international industry experience § > 10 years at Senior Executive l
Slide 8: Current assets
Current assets § 4 operated, on-shore licenses covering 562 Km2 in the Carpathian basin § 15 % interest in an eni-operated shale gas license § All licenses located in West Ukraine, far away from conflict zone § Oil and gas production § Gas trading § Provider of services to oil companies § Bought 90
Slide 9: Current assets
Current assets Monastyretska § Appraisal through early production § Full development to follow (upon securing licence conversion) Deb & Cher Pursue value upside associated Bitlyanska with returning royalties back to normal rate § Secure licence by drilling shallow oil prospect § Actively pursue farm
Slide 10: Delivering on our strategy
Delivering on our strategy Reduced costs and taken e&p operations to break-even e&p margin and oil price 80 8 § From 74 to 40 operating 60 6 staff in the fields 40 4 § From two to one operating districts 20 2 § From two to one warehouses 0 2013 2014 2015 2016 2017 (for) 0 § From one to three oil -20
Slide 11: Delivering on our strategy
Delivering on our strategy Growing production without deploying capital 2.5 250 2 200 1.5 150 1 100 0.5 50 0 0 2014 2015 2016 2017 (for) CAPEX, M$ production, boepd 10 Oil Capital Conference, 2017
Slide 12: Delivering on our strategy
Delivering on our strategy Maintained a healthy pipeline: nearly 50 potential opportunities screened* Proposals received High level Non binding LoI Finalized and/or solicited screening or equivalent 47 23 9 1 * As of June 15, 2017 11 Oil Capital Conference, 2017
Slide 13: Listed position
Listed position Ticker CAD -LN Five main shareholders5 No. (M) % Outst. Listing type LSE Standard Main Market SPQR Capital Holdings SA 67,298,498 29.12% Domicile UK Mr Pierre Salik 40,550,000 17.55% Shares in issue 231,091,734 Mr Michel Meeus 26,000,000 11.25% Share Price3 GBp 8.13 CA Indosuez (Swit
Slide 14: Summary and conclusions
Summary and conclusions Cadogan Petroleum is: § A proven, low-cost, efficient operator with a base of production and reserves on which to build growth § A well funded company, with $ 40 million of net cash and no debt6 § A company with a stream of e&p revenues supplemented by subsidiary operations i