Egdon Resources — Shareholder Meeting (December 2013)
18 slides from Egdon Resources's shareholder meeting presentation, Dec 5, 2013
Slide 1: Egdon Resources plc 2013 AGM Presentation
Egdon Resources plc 2013 AGM Presentation Slide 1 AGM Presentation 5 December 2013
Slide 2: Egdon at a Glance
Egdon at a Glance AIM Listed (EDR) Formed 1997 Established Oil & Gas Exploration & Production Company Onshore UK & France focus Existing UK production of c. 200 boepd & cash flow Market Cap – c. £11 million (@ 8p per share) 30 Licences in the UK and France Strong opportunity base for growth Value Dr
Slide 3: Egdon at a Glance: Reserves and Resource Estimates
Egdon at a Glance Three Core Areas: Oil and Gas Reserves and Resource Estimates 1 Northern England proven + class of reserve/resource probable Units 2 Southern England 3 France Net Oil Reserves 0.33 MMstb Best Estim ate Net Oil Contingent Resources 3.42 MMstb Net Oil Prospective Resources (conventio
Slide 4: Strategy
Strategy Egdon’s Strategy remains the same: “To create shareholder value by building a profitable and material exploration and production business with a focus on operations onshore in the UK and France.” Egdon will look to increase shareholder value by : • Rationalising and improving the quality of
Slide 5: 2013 Highlights
2013 Highlights • Attributable production of 79,947 barrels of oil equivalent (2012: 45,656 barrels of oil equivalent) with oil and gas revenues during the period up 27.8% to £3.34 million (2012: £2.61 million) • Loss for the period of £0.72 million (2012: £2.89 million loss) after impairment charge
Slide 6: Northern England
UK Northern England • The UK is Egdon’s primary business segment with 27 licences, 24 of which are onshore, with 15 operated by Egdon • Two broadly defined focus areas : • Northern England • Southern England PEDL209 Southern England Slide 6 AGM Presentation 5 December 2013
Slide 7: Production
Production Keddington Oil Field PEDL005 (remainder) : Egdon 75% operated • Look to maximise value of “greater Keddington area” (including Louth Prospect) • Target production in short term of 40 bopd – wells on natural decline • Lower gas rates have resulted in investment in gas to wire project being
Slide 8: Appraisal - Northern England
Appraisal - Northern England “A” Prospect P.1929 (41/18 & 41/19) : Egdon 100% operated • 26th UK Seaward Licensing Round award in April 2013 • One of the earliest North Sea discoveries, well 41/18-1 (A-339/1-2) drilled by Total in 1966 • Tested gas at 2.5 mmcfg/d following acidisation • Net Egdon Be
Slide 9: Exploration - Northern England
Exploration - Northern England Initial drilling programme: Final timing dependent upon new EA permitting requirements which are currently under consideration by EA Wressle Prospect PEDL180 : Egdon 25% operated • Undrilled Prospect defined on 2012 proprietary 3D seismic data • Multiple reservoir targ
Slide 10: Exploration - Northern England
Exploration - Northern England Second exploration drilling programme 2014 to include: North Kelsey Prospect PEDL241 : Egdon 40% operated • Conventional prospect defined on 3D seismic data with multiple reservoir targets • Farmed-out 10% interest at 2:1 promote to Union Jack Oil Plc Net Egdon Best Es
Slide 11: Exploration - Northern England
Exploration - Northern England Laughton Prospect PEDL209 : Egdon 60% operated • Laughton Prospect on trend with nearby existing production at Corringham (5 km to SE) • Multiple conventional reservoir targets – primary target Silkstone Rock • Net Egdon Best Estimate Prospective Resources of 0.6 mmbo
Slide 12: UK Shale Gas – Egdon Core Area
UK Shale Gas – Egdon Core Area • Egdon has today announced an Exploration Option and Farm-in Agreement with Scottish Power Generation Limited in respect of UK Onshore Production Licences PL161 and PL162 located in Lincolnshire • Core Area for Egdon with drilling activity in neighbouring licences PED
Slide 13: UK Shale Gas - BGS Shale Gas Assessment and Egdon Licences
UK Shale Gas - BGS Shale Gas Assessment and Egdon Licences PL161/162 Source: Slide 13 AGM Presentation 5 December 2013
Slide 14: UK Shale Gas
UK Shale Gas • Egdon is one of very few publicly quoted companies with an exposure to UK shale gas • Focus on exploration phase of UK shale gas plays and plan to monetise prior to development • Egdon has expanded its acreage position in the Gainsborough Trough to expose the Company to more near-term
Slide 15: France
France • Interests in three French licences - Mairy, St Laurent, Pontenx • Awaiting the award of a fourth (Donzacq • Back-in options on two permits (Gex, Navacelles) plus a pending application (Gex Sud) • Nimes Permit relinquished at the end of 2012 • Although the regulatory regime in France is curr
Slide 16: Egdon Work Programme & Outlook
Egdon Work Programme & Outlook Production • Full-year production guidance of c. 200 boepd from Keddington, Avington, Dukes Wood/Kirklington, Waddock Cross and Ceres • Additional potential drilling at Keddington, Waddock Cross and Kirkleatham could lead to increased production Exploration and Apprais
Slide 17: Egdon Work Programme & Outlook
Egdon Work Programme & Outlook Active Farm-out and Divestment Process • A number of farm-outs and deals concluded during 2013 • Continued marketing and discussions on-going for additional deals • Divestment (or relinquishment) of non-core assets continues to be pursued UK Shale Gas • UK shale gas (a
Slide 18: Summary
Summary • Production guidance for coming financial year of c. 200 boepd (70% from Ceres) • Additional development activity at Keddington, Kirkleatham, Waddock Cross, etc. could lead to further production increase • UK shale-gas to be a key value driver for the business with a deep well planned in th
Egdon Resources — Shareholder Meeting (December 2013) on 6ix