Empyrean Energy Plc · LSE:EME
Empyrean Energy — 121 Conference (May 2019)
27 slides from Empyrean Energy's conference presentation, May 2019
Slide 1: Building a Mid-Tier Company Methodically
Sacramento Basin Project California Block 29/11 China BUILDING A MID-TIER COMPANY METHODICALLY Duyung PSC Indonesia
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation may contain forward-looking statements and information that both represents management's current expectations concerning future events and are subject to known and unknown risks and uncertainties. A number of factors could cause actual results, performanc
Slide 3: Company Overview
Company Overview ▪ AIM quoted company focused on building a low cost, high value company ▪ Executive management has widespread experience in Asian region • Comprehensive understanding of successful geological play • Extensive relationship with upstream players, service providers, governments, nation
Slide 4: Delivering on a Well-defined Strategy
Delivering on a Well-defined Strategy INFRASTRUCTURE-LED SUCCESSFUL EXPLORATION We aim to create value for our stakeholders by ▪ Progressing discoveries toward project sanction and into proven reserves, production, and cash flow through efficient appraisal and development; and ▪ By adding new resour
Slide 5: 12 Months of an Active Exploration Drilling in Indonesia and China
12 MONTHS OF AN ACTIVE EXPLORATION DRILLING IN INDONESIA AND CHINA EMPYREAN ENERGY PLC |Q2 2019 5
Slide 6: Duyung PSC: Mako Discovery & Tambak Prospect
Duyung PSC: Mako Discovery & Tambak Prospect EMPYREAN ENERGY PLC | Q2 2019 6
Slide 7: Duyung PSC, Indonesia
Duyung PSC, Indonesia MAKO GAS FIELD – A LARGE SHALLOW GAS ACCUMULATION Mako South # 1 Flow test ▪ Well defined large structural trap c. 350 square km of closure ▪ Shallow waters ca 92m ▪ Excellent reservoir confirmed by core data ▪ Highly successful flow-test ▪ 276 Bcf of certified gross 2C recover
Slide 8: On Path to Commercialisation
On Path to Commercialisation MAKO GAS FIELD – Independent resource audit by Gaffney Cline & Associates ("GCA") Heads Of Agreement with gas buyers signed ▪ Biogenic gas accumulation • Dry gas, no H2S, minimal CO2, over 97% methane ▪ Shallow sandstone reservoir, with well defined gas water contact • F
Slide 9: Mako-2 Appraisal Well
Mako-2 Appraisal Well SCHEDULED TO BE DRILLED IN Q4 2019 ▪ Mako gas field will be appraised by Mako-2 well • Approximately 12.5 SW of Mako South -1 • Designed to target gas being reservoir • Well design includes a comprehensive testing program Mako Appraisal Well-Drilling in 2010 EMPYREAN ENERGY PLC
Slide 10: Tambak Prospect - Low Risk Exploration Target
Tambak Prospect - Low Risk Exploration Target POTENTIAL TO MORE THAN DOUBLE RECOVERABLE RESOURCES ▪ Tambak prospect is located beneath Mako gas accumulation • Large trap with approximately 15 square kilometre closure mapped at Lower Gabus reservoir • Lower Gabus clastis are the main reservoir is in
Slide 11: Block 29/11, China: GCA audited mean STOIIP of 884 MMstb
Block 29/11, China : GCA audited mean STOIIP of 884 MMstb EMPYREAN ENERGY PLC | Q2 2019 11
Slide 12: Block 29/11: Overview
Block 29/11: Overview ▪ Directly south of the largest oil field in the basin, Liuhua 11-1 oil field complex, which contains 1.3 billion barrels originally in-place. (Topaz 15km south of Liuhua) Block Location ▪ Key Prospects on trend with four CNOOC light oil discoveries since 2010 immediately west
Slide 13: Jade and Topaz Prospect - Transformational Potential
Jade and Topaz Prospect- Transformational Potential KEY ELEMENTS: 3D SEISMIC, PROVEN OIL KITCHEN, WORLD CLASS CARBONATE RESERVOIR ▪ Several oil discoveries around Block 29/11 have demonstrated a proven presence of world class oil source rock in the basin ▪ EME’s basin modelling indicates that a kitc
Slide 14: Gas Clouds – Mitigating Exploration Risk
Gas Clouds – Mitigating Exploration Risk ▪ On good quality seismic data, gas clouds are seen as low reflectivity zones in the overburden ▪ These have been effectively used as an exploration tool in the North Sea, Gulf of Mexico and other basins worldwide for discovering significant amounts of oil ▪
Slide 15: Presence of Gas Cloud – A proven technique
Presence of Gas Cloud – A proven technique Deepwater Offshore Sabah, Malaysia ▪ 31 oil discovery with 57% success rate in the basin ▪ Most oil field have associated gas cloud in the overburden sediments Gas Cloud Kikeh Oil Field- Deepwater Offshore Sabah, Malaysia EMPYREAN ENERGY PLC |Q2 2019 15
Slide 16: Presence of Gas Cloud in all CNOOC Oil Discoveries
Presence of Gas Cloud in all CNOOC Oil Discoveries ▪ CNOOC has made 4 large oil discoveries located around Block 29/11 ▪ 3D seismic data over these discoveries was analysed ▪ All discoveries are associated with gas cloud in the overburden EMPYREAN ENERGY PLC |Q2 2019 16
Slide 17: CNOOC Dry Wells don't have Gas Cloud in the Overburden
CNOOC Dry Wells don’t have Gas Cloud in the Overburden CNOOC drilled 3 additional wells around the oil discoveries, and 3D seismic data over these wells confirms lack of any gas clouds No Cloud No Cloud No Cloud EMPYREAN ENERGY PLC |Q2 2019 17
Slide 18: Jade and Topaz Prospects - Well Defined Gas Clouds
Jade and Topaz Prospects - Well Defined Gas Clouds Exploration risk has been mitigated significantly Well Defined Gas Could No Cloud LH18-2-1 Jade and Topaz Prospects in Block 29/11 Two dry wells in Block 29/11 Covered by 3D seismic data Covered by 3D seismic data Well defined gas cloud in overburde
Slide 19: Block 29/11 - Gaffney, Cline & Associates Audit
Block 29/11 - Gaffney, Cline & Associates Audit ▪ GCA was engaged to undertake the STOIIP Audit and an assessment of the geological chance of success (“GCoS”) of the three prospects identified on Block 29/11 ▪ GCA has estimated total Mean Oil in-place of 884 MMbbl on an un-risked basis for the three
Slide 20: Jade Prospect – Low Risk Step Out Exploration Target
Jade Prospect – Low Risk Step Out Exploration Target ▪ 4-way dip closed structure Structure Map : Reservoir Top ▪ Carbonate build-up encased in marine shale ▪ Step out exploration opportunity from nearby discovery well LH23-1-1d ▪ Located updip from CNOOC oil discoveries – favourable migration pathw
Slide 21: Topaz Prospect – Large Exploration Target
Topaz Prospect – Large Exploration Target ▪ Large 3W Dip Closed Trap - close analogue for nearby LH16-2 oil discovery ▪ Carbonate build-up encased in marine shale ▪ Prospect is interpreted as a focal point for oil migration Structure Map :Reservoir Top ▪ Gross mean OOIP 508 mmboe*, P10 OOIP 891 mmbb
Slide 22: Sacramento Basin, California: Dempsey and Alvares Projects
Sacramento Basin, California: Dempsey and Alvares Projects EMPYREAN ENERGY PLC | Q2 2019 22
Slide 23: Dempsey 1-15 – Post-Drill Analysis
Dempsey 1-15 – Post-Drill Analysis ▪ Extensive gas saturated intervals on large structure with indications of improving reservoir potential of the structural peak ▪ Extensive subsurface data collected ▪ Additional crucial data is expected from the production performance of several zones in the Demps
Slide 24: Anzus Prospect- Initial Interpretation Promising
Anzus Prospect- Initial Interpretation Promising EMPYREAN ENERGY PLC |Q2 2019 24
Slide 25: Alvares 1 – Appraisal Opportunity
Alvares 1 – Appraisal Opportunity ▪ Further evaluation of all subsurface, production and seismic data will be used to assess the locations of better and thicker reservoir units and pursue attractive drilling locations ▪ Complete re-entry and testing in Alvares’ #1 well EMPYREAN ENERGY PLC |Q2 2019 2
Slide 26: Strategy Execution is on Track
Strategy Execution is on Track All assets have been de-risked China; huge upside, Indonesia; discovery made & appraisal offers exploration style upside Excellent relationship with host governments and JV partners Focus on creation of shareholder value EMPYREAN ENERGY PLC |Q2 2019 26
Slide 27: Key Contacts
Key Contacts Tom Kelly CEO/ Director +61419045044 tomkellyapnea@yahoo.com.au Gaz Bisht Executive Director +61413092014 gaz.bisht@empyreanenergy.com EMPYREAN ENERGY PLC |Q2 2019 27