Strike Energy Limited · ASX:STX

Strike Energy — Shareholder Meeting (July 2020)

21 slides from Strike Energy's shareholder meeting presentation, Jul 31, 2020

  1. Slide 1: WE3 Pad Construction & Conductor installation

    WE3 Pad Construction & Conductor installation 31st July 2020 General Meeting

  2. Slide 2: Important Notice

    Important Notice Summary information forward-looking statements in this presentation or any changes in events, conditions or This presentation contains summary information regarding Strike Energy and its subsidiaries current circumstances on which any such statement is based. as at 30th July 2020. T

  3. Slide 3: A Perth Basin: Developer, Appraiser & Explorer

    A Perth Basin: Developer, Appraiser & Explorer Board of Directors Non-Exec Chairman West Erregulla John Poynton AO Cit WA 2C 593 BCF & 137 BCF Australian Business Leader P50 PR ¹ Governance & Finance Significant discovered gas resources South Erregulla Non-Exec D. Chairman 1600 BCF P50 PR ¹ ² Nev Po

  4. Slide 4: Perth Basin - Permian Gas Fairway

    Perth Basin - Permian Gas Fairway North Perth Basin permits inside the Permian Gas Fairway Permian gas  Size, quality, productivity and fairway outline location of these fields will enable a low cost development  Some of the largest conventional onshore gas fields ever found in Aus STX 50%  Strik

  5. Slide 5: Greater Erregulla – Development Strategy

    Greater Erregulla – Development Strategy Strike’s focus on the upstream segment of the value chain Phase 1  Initial 50 TJ/d sales gas  Existing West Erregulla resource confidence easily supports this initial development Identification Production Processing Transmission WA Market  AGIG awarded as

  6. Slide 6: Progress Continues West Erregulla Gas Project

    Progress Continues West Erregulla Gas Project Discovered Resource High Confidence Drilling program Additional subsurface info 2H20 Foundation Gas Sales Concept Select Initial 50 TJ/d Post FID Finance In progress Final Investment Decision Targeting Q4 /20 Gas Marketing & Phase 2 Expansion Studies Dat

  7. Slide 7: Strike is funded to its targeted FID of Phase-1

    Strike is funded to its targeted FID of Phase-1 Strike estimated capex requirements for West Erregulla Phase 1 to First Gas (Strike share A$mln pre FEED estimates) Cost category 48 36 48 Sources of funds FEED Cash on hand Other Upstream Debt (est) Drilling 16 26 10 30 12 Phase 1 Capex Pre FID Pre St

  8. Slide 8: West Erregulla Appraisal Campaign

    West Erregulla Appraisal Campaign Drilling Campaign W.Erregulla add 3D  WE3: early September STX 50%  WE4: shortly after WE3 subject to EP approval  WE5: tbc Nov-20 WE3 West Erregulla WE5 2C 593 BCF +137 BCF P50 PR Kingia Sandstone STX Share1 WE4  Whole core in WE3  Flow tests in WE3, 4 & 5 Dri

  9. Slide 9: More excellent confirmatory data still coming in

    More excellent confirmatory data still coming in Core Lab Report Petrographic Report of sidewall cores from West Erregulla-2 Kingia Reservoir Petrography  Kingia core sample from WE2 with measured porosity >16%  Report concludes Kingia reservoir at West Erregulla is of good to excellent quality 

  10. Slide 10: West Erregulla Appraisal - High Confidence

    West Erregulla Appraisal - High Confidence West Erregulla-2 N West Erregulla-3 (plus logs) West Erregulla-4 SE Depth Section Sonic West Erregulla-3 will Gamma Ray test North fault block up-dip of West Erregulla-4 will test highest West Erregulla-2 amplitudes in downdip flank of “Saddle” Central faul

  11. Slide 11: Permian plays are present and pervasive into the trough

    Permian plays are present and pervasive into the trough Hovea-02 Waitsia-02 Waitsia-04 W. Erregulla-03 W. Erregulla-02 16.5 mmscfd 38.7 mmscfd 90 mmscfd Sept-20 69 mmscfd Kingia Hovea Waitsia Kingia Warradong West Erregulla South Erregulla  Kingia / High Cliff and Wagina are all prevalent to the So

  12. Slide 12: South Erregulla taking shape

    South Erregulla taking shape West Erregulla wells provide proprietary  Strike’s takeaways from the 50% information that will be 3 used for well control in preliminary processed Trieste 3D West Erregulla South Erregulla data: 5 Connection between 1. South Erregulla is large West & South Erregulla ha

  13. Slide 13: Perth Basin – Jurassic Gas Play

    Perth Basin – Jurassic Gas Play  Walyering now represents a high confidence wet-gas target and is a perfect test case for Strike’s proprietary Ocean Hill 1. ~200km² of 3D seismic geophysical diagnostics of conventional gas planned for end of accumulations in the Jurassic sequences. CY21 / early CY2

  14. Slide 14: West Erregulla Pathway to full value

    Pathway to full value Activity 2020 2021 2022  West Erregulla 3,4,5* to inform full field Upstream Appraisal drilling development size. Drilling  All wells completed as producers. West Erregulla  Production License conversion. Upstream Permitting, Procurement & FEED  Construction of tie ins, Pro

  15. Slide 15: The WA Gas Landscape

    The WA Gas Landscape

  16. Slide 16: WA domestic gas security is sensitive to future LNG investment

    WA domestic gas security is sensitive to future LNG investment WA future domestic gas supply at risk from project delays 1 Announced long term delays, Browse investability concerns with remote high 1 LNG development costs 2 2 Medium term delays from commercial 3 Scarborough complexity with joint ven

  17. Slide 17: Is WAs largest gas consumer emerging?

    Is WAs largest gas consumer emerging? North West Shelf LNG production and speculated backfill (TJ/d)  NWS owners likely to try and maximise LNG output whilst AUD is depressed (higher margins) 2,400 -1,019  Oil price crash /COVID has created delays and deferments of major backfill 1,600 candidates

  18. Slide 18: Further uncertainty for the WA gas market

    Further uncertainty for the WA gas market WA domestic gas supply and demand plus TJ/d est. NWS spare capacity TJ/d 2,000 150 Scarborough -1,420 TJd 1,500 50 West Erregulla Ph1 1,000 Waitsia Stg1 500 118 Gorgon Ph2 0 2020 2021 2022 2023 2024 2025 2026 2027 Future Supply Base domgas + Perdaman + NWS s

  19. Slide 19: The Perth Basin Structural Advantage

    The Perth Basin Structural Advantage Perth Basin gas has a ‘~$1.10 GJ’ cost advantage WA Domestic Gas versus peers for transport to Perth Market: Estimated up to 1,200 TJ/d Transmission Costs WA LNG Or North West ~$2.2 bln market p.a. The Perth Basin is the closest source of gas to the bulk of WA $1

  20. Slide 20: Sources & Costs of uncontracted WA Domgas supply

    Sources & Costs of uncontracted WA Domgas supply Estimated Forward Breakeven Cost of Supply for Uncontracted Gas¹ (Relative $/GJ)  Size, quality and Perth Basin (In Demand) WA domestic demand met location to market, Other In Demand (~1,200 TJ/d) Out of Demand coupled with onshore Estimated Transmis

  21. Slide 21: Strike Energy

    strike energy

Strike Energy — Shareholder Meeting (July 2020) on 6ix