Europa Oil & Gas (holdings) Plc · LSE:EOG
Europa Oil & Gas (holdings) — H1 2024 Earnings Presentation
22 slides from Europa Oil & Gas (holdings)'s earnings presentation, Apr 15, 2024
Slide 1: Europa Oil & Gas 2024 Interim Results
Europa Oil & Gas 2024 Interim Results April 2024 www.europaoil.com | AIM: EOG | @Europa Oil & Gas plc | @Europaoilandgas
Slide 2: Disclaimer
Disclaimer NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES, CANADA, AUSTRALIA OR JAPAN, OR ANY OTHER JURISDICTION WHERE TO DO SO MIGHT CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION The informati
Slide 3: Overview - Europa Oil & Gas (Holdings) plc
Overview - Europa Oil & Gas (Holdings) plc Europa is building a balanced portfolio of producing, appraisal and exploration assets with minimal emissions within the net zero context Assets throughout the cycle with significant upside and multiple catalysts 1) Producing assets generating significant r
Slide 4: Interim Results - Highlights
Interim Results - Highlights • Financial Performance (6 months to 31 January 2024) H1 2024 H1 2023 o Revenue £1.4 million (H1 2023: £3.7 million) £m £m o Gross loss £0.1 million (H1 2023: £1.5 million profit) o Pre-tax loss of £1.0 million (H1 2023: pre-tax loss £1.3 million) Revenue 1.4 3.7 after i
Slide 5: Wressle - Key Cash Generator
Wressle - Key Cash Generator Cloughton • Wressle has one of the highest production rates in the UK PEDL343 onshore, average net production at 160 boepd over 3 months to January 24 (above CPR upside case) Crosby Warren • Gross revenue from Wressle of US$45m since August 2021 DL001 (net c.$13.5m to EO
Slide 6: Wressle: Further Development
Crosby Wressle: Further Warren-1 PEDL 182 Broughton North Prospect2 Development Crosby Warren East Penistone Flags – 0.3mmbbls 0 km 2 Ashover Grit – 0.3mmbbls Broughton North Wressle-1 Pad Europa 100% Broughton-1 Egdon 30% Europa 30% Union Jack 40% Wressle-1 Egdon 30% PEDL 180 Downhole Europa 30% Un
Slide 7: Wressle Development
Wressle Development • Drill two new production wells, drilled back to back in Q4 2024 • First well to target Penistone Flags • Gas exported to local gas network 600m from site • Existing site to be extended 50m • Install gas processing equipment • Planning approval expected Q2 2024 • Environment Age
Slide 8: Cloughton – PEDL 343
Cloughton – PEDL 343 • Discovered in 1986 • Carboniferous sandstones with excellent salt seal • Simple 4-way anticline • Flowed up to 28,000 scft/d • Flow potential 6 mmscf/d1 • Sweet gas >98% methane/ethane • GIIP Pmean 192 bcf1 • EOG engaged with stakeholders to secure the necessary permits and ap
Slide 9: FEL 4/19 - Prospectivity & Way Forward
FEL 4/19 - Prospectivity & Way Forward • FEL 4/19 held 100% by Europa • Inishkea West is a 1.5 TCF ILX1 prospect, a Corrib play and structural analogue • Targeting exploration well 2025/26 • Very low emissions intensity – FEL 4/19 gas is forecast to be 2.8 kgCO2e/boe2 • Inishkea West has potential t
Slide 10: Inishkea & Inishkea West
Inishkea & Inishkea West • Inishkea West (1.5 TCF Pmean) prospect • Same world-class Triassic gas play as Corrib gas field • 4-way closure • 18 km from Corrib infrastructure Prospective Volumes (BCF Prospective Resource) • Reprocessed seismic has improved imaging Prospect P90 P50 Pmean P10 and reduc
Slide 11: Ireland’s Annual Gas Supply & Demand
Ireland’s Annual Gas Supply & Demand • SEMO issued 20 system alerts since 2020 (13 were issued from 2010- 2019) • 3 coal burning generators restarted in Co Clare since 2021 • 2 GW of new gas generators planned “We in Ireland are going to need natural gas until at least 2050, if not beyond then.” Leo
Slide 12: Equatorial Guinea – Low Risk Exploration
Equatorial Guinea – Low Risk Exploration • Antler Global Limited (“Antler”) was formed by experienced management team to pursue acquisition of oil & gas licences in Equatorial Guinea • Antler signed a production sharing contract (“PSC”) on 31 May 2023 with the Republic of Equatorial Guinea and Guine
Slide 13: EG-08: Location Map
EG-08: Location Map Chevron obtained the acreage (Block O & I including EG-08) following Noble Energy acquisition in 2020. First well in Sept 2005 (Alen discovery). www.europaoil.com | AIM: EOG | @Europa Oil & Gas plc | @Europaoilandgas
Slide 14: EG-08: Compelling AVO story proven by fields in adjacent block
EG-08: Compelling AVO story proven by fields in adjacent block Block EG-08 Block O & I • Compelling AVO story • Several discoveries in next • Bright amplitudes evident in door block to EG-08 with far-offset seismic data at essentially identical far-offset Prospects A, B & C amplitudes as seen in • N
Slide 15: EG-08: Low risk Exploration
EG-08: Low risk Exploration ‘A’ Prospect W Seismic A Line through B Gas Condensate Prospect A Discovery in – Note C brightening adjacent block at over same stratigraphic structure. horizon Export Pipeline to LNG plant Amplitude Extraction on Far Offset Data – Amplitude Extraction on Far Offset Data
Slide 16: EG-08: Volumetrics & Risk to Commercialisation
EG-08: Volumetrics & Risk to Commercialisation Prospect A Prospect B Prospect C Prospective Resources Total Pmean mid-case Low Case Mid Case Mid Case Mid Case Prospective Resource P90 202 290 163 66 = 1,386 BCFE • All figures in BCFE (billion cubic feet equivalent) P50 426 686 365 186 • EOG internal
Slide 17: EG-08: Summary
EG-08: Summary • High quality, low risk and potentially high reward gas ILX opportunity • All three prospects are independent (ie the results of one would not impact the COS of the others) and all three can be drilled from a single well with 2 side tracks at a cost of ~US$50m • Prospects are straigh
Slide 18: Serenity Development Options
Serenity Development Options • Oil discovery at well 13/23c-10 announced October 2019 by i3 Energy • Drilled down-dip of Tain oil field (32° API oil, flow-tested 6,270 BOPD & 1.6 MMSCFD) • S1 well encountered 31.7o oil (11ft) in Upper Captain sands (30% porosity). Matches the oil from Tain and Blake
Slide 19: New Ventures
New Ventures • Value driven • Target the best deals for EOG ▪ Opportunity cost in both staff time (G&A) and EOG financial resources • New opportunities measured against: ▪ Strategic fit to EOG portfolio ▪ Match to EOG core skillset ▪ Materiality – significantly move EOG valuation ▪ Risk – acceptable
Slide 20: Appendix
Appendix Alen Production Facilities – First Gas July 2013 www.europaoil.com | AIM: EOG | @Europa Oil & Gas plc | @Europaoilandgas
Slide 21: About Equatorial Guinea
About Equatorial Guinea • OPEC Member • Capital: Malabo (current) on Bioko Island; Ciudad de la Paz (next, under construction) • Area: 28,050 sq km • Population: 1.6 million • Languages: Spanish, French, Portuguese • Major Oil and Gas Fields ▪ Alba (4.6 TCF) discovered by Marathon 1984 – onstream 19
Slide 22: Key PSC Terms
Key PSC Terms • Typical PSC for Equatorial Guinea consisting of: • 20% GE Petrol (State) interest • State royalty dependent on production milestones • Cost and Profit oil structure • Petroleum profits tax of 35% • PSC ratified on 4 Oct 2023 • First period 4 years, drill or drop at end year 2 22
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