Vintage Energy Ltd. · ASX:VEN
Vintage Energy — Investor Presentation (April 2020)
31 slides from Vintage Energy's investor presentation, Apr 30, 2020
Slide 1: Share placement and SPP
Share placement and SPP Funds to be utilised for: • Vali-1 ST1 fracture stimulation and flow testing • Initial engineering and design work to connect Vali-1 ST1 to Moomba gas flowline network • Corporate overheads • Working capital APRIL 2020
Slide 2: Quality balanced portfolio
Quality balanced portfolio Geographically diverse and gas focused portfolio with two early discoveries Galilee Basin “Deeps JV” Bonaparte Basin EP 126 • Albany Field a 61 km2 robust structure • Multiple oil and gas play types • Numerous prospects and leads in frontier region • Gas flow from Albany-1
Slide 3: Vali capital raising
Vali capital raising Vali gas discovery offers near-term production and cash flow1 that will deliver shareholder value • Raised $30 million at IPO and delivered on what we said • Vali gas discovery a prime development candidate WHY • Two discoveries and the potential for early revenue with the poten
Slide 4: Projected eastern and south-eastern gas production vs demand
Projected eastern and south-eastern gas production vs demand New gas discoveries required to ease dependence on the development of ‘undeveloped 2P Reserves’ and ‘anticipated developments’ to meet forecast demand • Federal Govt has identified gas companies and the delivery of gas to market as an esse
Slide 5: Market cap vs Broker valuations of Vali gas discovery (net to VEN)
Market cap vs Broker valuations of Vali gas discovery (net to VEN) Both MST Access and Taylor Collison analysts value Vali gas discovery well above VEN market cap 35-40 40 • Vali-1 ST1 gas discovery announced on 16 January 2020 35.6 35 • ERCE independently certified Vali 2C Contingent Resource of 35
Slide 6: Vali gas discovery pre-connection work
Vali gas discovery pre-connection work Vali gas discovery has independently certified 2C Contingent Resource booking and potential to be producing within 12 months1 FRACTURE INITIAL TIE-IN FLOW TESTING2 STIMULATION DESIGN WORK3 ~$1.4m ~$0.3m ~$0.1m • Ensure Covid-19 compliant • Complete well • Initi
Slide 7: Indicative Vali timeline – next 12 months
Indicative Vali timeline – next 12 months Quick tie-in of Vali possible due to its close proximity to gathering systems and processing / national pipeline grid1 Q3 2020 Q4 2020 Q1 2021 Stimulate First and flow Market gas, negotiate Convert Cooper / Eromanga Connect to infrastructure1 production test
Slide 8: Delivering in a short time frame; funding required for next steps
Delivering in a short time frame; funding required for next steps Quality gas portfolio built around the strong eastern Australian domestic gas demand and pricing IPO PLANNING EXECUTION DELIVERING NEXT STEPS $30 million raised, with a • Right team put in place • Expeditious portfolio • Gas discovery
Slide 9: Key raising details
Key raising details Up to $3 million capital raise, with $2.25 million placement oversubscribed • Targeting a $3 million capital raise via an institutional placement and Post-capital raise pro forma $3 million raise Share Purchase Plan (“SPP”) Pre-raise ordinary shares1 267,317,406 76.2% • Directors
Slide 10: Indicative placement and SPP timeline
Indicative placement and SPP timeline Key dates Record Date SPP 29 April 2020 Vintage announces completion of placement and intention to launch SPP 30 April 2020 Dispatch SPP Booklet to eligible shareholders and release offer letter on the ASX 1 May 2020 Opening Date of SPP 1 May 2020 Settlement of
Slide 11: Sources and uses of funds
Sources and uses of funds Capital raising to primarily fund fracture stimulation and flow testing of Vali-1 ST1 and engineering and design work to connect Vali into the Moomba gathering system1 A$ million 1 Subject to regulatory and JV approvals and access to infrastructure 11 April 2020
Slide 12: Operations
Operations ~w VINTAGE ENERGY
Slide 13: Achievements to date
Achievements to date Line of Thorough appraisal and exploration program that delivered on Prospectus ‘Focus’ sight to cash flow Farmed-in to ATP 2021, drilled Vali-1 ST1 1 Cooper / Eromanga Basins Gas discovery with likely connection to Moomba1 2 Cooper / Eromanga Basins Farmed-in to PRL 211 Prospec
Slide 14: Cooper / Eromanga Basins – Southern Flank (ATP 2021)
Cooper / Eromanga Basins – Southern Flank (ATP 2021) Vali gas discovery with 2C Contingent Resource booking and potential to be producing within 12 months1 • New gas field in under-explored Southern Flank – Vintage 50% and operator – Highly prospective 370 km2 permit, close to infrastructure and par
Slide 15: Cooper / Eromanga Basins – Southern Flank (ATP 2021)
Cooper / Eromanga Basins – Southern Flank (ATP 2021) Likely next steps to stimulate and flow test Vali-1 ST1 and tie-in to gathering line to Moomba • Gas discovery with pay and shows at multiple levels Vali-1 ST1 • Patchawarra Formation the primary target and successful • Pay calculated and gas reco
Slide 16: Cooper / Eromanga Basins – Southern Flank (PRL 211)
Cooper / Eromanga Basins – Southern Flank (PRL 211) Odin is a drill ready prospect that straddles PRL 211 and ATP 2021 • PRL 211 is a 98.49 km2 retention licence, close to infrastructure • The Odin structure, fully covered by recent 3D seismic, has gas potential in the Patchawarra and Toolachee Form
Slide 17: Cooper / Eromanga Basins – Southern Flank (PRL 211)
Cooper / Eromanga Basins – Southern Flank (PRL 211) Odin structure is a Vali ‘look-a-like’ • Odin is a Permian four-way dip closure plunging to the north-east into the Nappamerri Trough – Prospective for gas in multiple sands – Up-dip of Strathmount-1 which intersected interpreted Permian gas pay •
Slide 18: Otway Basin – Central Penola Trough (PEL 155)
Otway Basin – Central Penola Trough (PEL 155) Nangwarry-1 CO2 discovery potentially capable of commercial production over 30+ years • Vintage 50%, Otway Energy Pty Ltd 50% and operator • Nangwarry-1 drilled during December 2019 / January 2020 • High-quality CO2 discovery with near term commercial pr
Slide 19: Otway Basin – Central Penola Trough
Otway Basin – Central Penola Trough “The Caroline 1 [CO2] well is the single most profitable well in South Australia”1 • Caroline-1 was discovered by Alliance Oil Development Australia in 1967 – Located southeast of Mt Gambier – Eventually owned by Air Liquide Australia Ltd • The well produced CO2 f
Slide 20: Galilee Basin – ATPs 743, 744, 1015 ("Deeps")
Galilee Basin – ATPs 743, 744, 1015 (“Deeps”) Stimulation to assess commerciality • Vintage 30%, Comet Ridge 70% (operator) • Underexplored and areally extensive permits of more than 9,000 km2 • Albany Field is a large robust anticlinal structure over 61 km2 • Defined by 1980’s 2D seismic grid (2.5
Slide 21: Perth Basin – Oil potential
Perth Basin – Oil potential Equity in Cervantes oil prospect and option to drill a second structure • L14, located within the Perth Basin, is a 39.8 km2 production licence granted over the Jingemia oilfield and surrounds Farm-in structure • Binding farm-in agreement executed for 30% of the Cervantes
Slide 22: Perth Basin – Oil potential
Perth Basin – Oil potential Adjacent to the 12 MMbbl oil in place Jingemia oil field (over 4.6 MMbbl produced to date) • Cervantes structure located in a gap between the oil discovery A A’ trend of the Hovea, Jingemia and Cliff Head oil fields – High-side fault trap of multiple reservoir units (simi
Slide 23: Other permits
Other permits Longer-term projects with potentially high rewards Bonaparte Basin, Northern Territory – EP 126 • Vintage 100% • Low cost entry into large 6,700 km2 permit • Gas flows from onshore Bonaparte wells – Onshore is an underexplored frontier region – Four petroleum exploration wells drilled
Slide 24: Explanatory notes
Explanatory notes _ VINTAGE ENERGY
Slide 25: Explanatory notes
Explanatory notes Prospective and Contingent Resources: With respect to Prospective Resource estimates contained in this report, estimated quantities of petroleum that may potentially be recovered by the application of future development projects relate to undiscovered accumulations. These estimates
Slide 26: Disclaimer
Disclaimer This presentation has been prepared by Vintage Energy Limited (“Vintage” or the “Company”), with the purpose of providing general information about the Company. This presentation contains certain statements which may constitute “forward-looking statements”. Such statements are only predic
Slide 27: International offer restrictions
International offer restrictions This document does not constitute an offer of new ordinary shares (New Share) of the Company in any jurisdiction in which it would be unlawful. In particular, the document may not be distributed to any person, and the New Shares may not be offered or sold, in any cou
Slide 28: International offer restrictions (cont…)
International offer restrictions (cont…) Singapore This document and any other documents relating to the New Shares have not been, and will not be, lodged or registered as a prospectus in Singapore with the Monetary Authority of Singapore. Accordingly, this document and any other document in connect
Slide 29: International offer restrictions (cont…)
International offer restrictions (cont…) United Kingdom Neither this document nor any other document relating to the offer has been delivered for approval to the Financial Conduct Authority in the United Kingdom and no prospectus (within the meaning of section 85 of the Financial Services and Market
Slide 30: Glossary
Glossary $ Australian dollars GJ Gigajoule (1 GJ is equivalent to 1,000 joules) 1C Contingent resource low estimate1 Km2 Square kilometres 2C Contingent resource medium estimate1 Km Kilometre 3C Contingent resource high estimate1 LNG Liquefied Natural Gas 2D Two dimensional MD Measured Depth 3D Thre
Slide 31: Contact information
Contact information For information info@vintageenergy.com.au www.vintageenergy.com.au