Carnarvon Energy Limited · ASX:CVN
Carnarvon Energy — Investor Presentation (May 2023)
20 slides from Carnarvon Energy's investor presentation, May 11, 2023
Slide 1: Corporate Presentation May 2023
For personal use only MAY 2023 CORPORATE PRESENTATION carnarvon.com.au
Slide 2: Overview of CVN's Partial Divestment of Bedout Basin
OVERVIEW OF CVN’S PARTIAL DIVESTMENT OF BEDOUT BASIN* For personal use only 1 10% INTEREST ▪ 10% in Dorado Production Licence ▪ 10% in Pavo and Roc fields DIVESTED ▪ 10% in all four Exploration Permits 2 US$146M IN CONSIDERATION ▪ US$56 million is payable on Completion plus working capital adjustmen
Slide 3: Impact of the CPC Transaction
IMPACT OF THE CPC TRANSACTION For personal use only 700 EXPLORATION 6 UPSIDE 600 ADDITIONAL 5 10% IN PAVO ETC 500 4 COMPLETION PAYMENT & $Am 400 CARRY LOOK- THROUGH Liquidity after transaction completion 300 3 CARRY Current market capitalisation BENEFIT 200 TO CVN 2 COMPLETION PAYMENT 100 1 CASH 0
Slide 4: Bedout Basin Investment Case
BEDOUT BASIN INVESTMENT CASE For personal use only 1 WORLD CLASS ASSET ▪ Dorado is a high-quality shallow water development project with scale and projected low per barrel costs ▪ Existing discovered tie-back opportunities in Pavo and Roc fields ▪ Dorado contains light and sweet crude, condensate, l
Slide 5: Dorado Development – Phase 1
DORADO DEVELOPMENT – PHASE 1 For personal use only THE FIELD IS EXPECTED TO PRODUCE AT AN INITIAL 75,000 TO 100,000 BOPD (gross) OIL PRODUCTION FLOWLINE GAS INJECTION FLOWLINE UMBILICAL LINE 5
Slide 6: Dorado Approvals – Phase 1
DORADO APPROVALS - PHASE 1 For personal use only ALL OF THE PRIMARY PROJECT APPROVALS HAVE BEEN SECURED APPROVAL REQUIRED AGENCY STATUS Location Declaration National Offshore Petroleum Titles APPROVED Administrator (NOPTA) 10 September 2020 Production Licence NOPTA GRANTED 7 April 2022 Offshore Proj
Slide 7: CVN Positioned to Fund Dorado
CVN POSITIONED TO FUND DORADO For personal use only CARNARVON HAS BEEN DISCIPLINED IN EXECUTING ITS FUNDING PLANS FOR DORADO US$90 million project funding carry* Senior debt process commenced in 2022 – strong interest A$178 million in cash* * Post completion of the CPC divestment announced on 22 Feb
Slide 8: Pavo Discovery in 2022
PAVO DISCOVERY IN 2022 For personal use only THE LARGEST LIQUIDS DISCOVERY IN AUSTRALIA SINCE DORADO AT 43 MMBBLS (2C gross basis) • Discovered March 2022 in 88m of water • Pavo South resource potential of 66 MMbbl (100% basis, mean) has a 64% chance of success • Light sweet oil (~52⁰ API) with low
Slide 9: Pavo Development into Dorado
PAVO DEVELOPMENT INTO DORADO For personal use only THE PROPOSED PLAN IS TO PRODUCE PAVO LIQUIDS THROUGH THE DORADO FACILITIES • Pavo-1 oil discovery is ~46km east of Dorado • Excellent potential to extend plateau rate within simple tie-back range to proposed through Dorado facilities and maintain lo
Slide 10: Pavo Production Timing Ideal
PAVO PRODUCTION TIMING IDEAL For personal use only BENEFITS IN BEING ABLE TO TIME PAVO PRODUCTION TO OFFSET DORADO NATURAL FIELD DECLINES Fluid production rates from Dorado are naturally expected to decline after a plateau period of 1-2 years. Once this begins to occur, there will be spare capacity
Slide 11: Significant Exploration Upside
SIGNIFICANT EXPLORATION UPSIDE For personal use only Ara: McKean: ~600 BSCF gas and 100 MMBBLS ~100 MMBBLS oil and 165 BSCF gas condensate Yuma: Starbuck: ~425 BSCF gas and 70 MMBBLS ~60 MMBBLS oil and condensate 10 BSCF gas Pavo Wallace: Pavo South: ~200 BSCF gas and 10 MMBBLS ~66 MMBBLS oil and co
Slide 12: Upcoming Catalysts
UPCOMING CATALYSTS For personal use only 1 CPC COMPLETION ▪ CVN focus on completing conditions, with good progress made to date ▪ Partners supportive of the transaction ▪ Completion target remains end June 2023 2 FEED START & ▪ Work has been progressing around integrating the Pavo field into Dorado
Slide 13: Investment Proposition
INVESTMENT PROPOSITION For personal use only 10% IN DORADO FIELD WITH 1 75K TO 100K BOPD PRODUCTION (GROSS) 2 US$90M IN DORADO PROJECT US$90M IN DORADO PROJECT FUNDING FUNDING CARRY* CARRY* 3 DEBT INTENDED TO COVER Pavo US$146M IN DORADO FUNDING BALANCE CONSIDERATION Dorado 20% IN 43MMBBL PAVO FIELD
Slide 14: Contingent & Prospective Resource Estimates
For personal use only CONTINGENT & PROSPECTIVE RESOURCE ESTIMATES Appendix 1 14
Slide 15: Bedout Basin Assets & Equity Interests
BEDOUT BASIN ASSETS & EQUITY INTERESTS For personal use only SALE ASSETS Carnarvon’s Bedout assets consist of the WA-64-L Production Licence (containing the Dorado field), and the WA-435-P, WA-436-P, WA-437-P and WA-438-P Exploration Permits. Carnarvon’s equity in the Bedout permits at the current t
Slide 16: Bedout Basin Contingent Resources
BEDOUT BASIN CONTINGENT RESOURCES For personal use only Gross basis Oil and Condensate Natural Gas Barrels of Oil Equivalent MMbbl BCF MMboe 1C 2C 3C 1C 2C 3C 1C 2C 3C Dorado 86 162 285 367 748 1358 176 344 614 Pavo North 26 43 62 6 11 17 27 45 65 Roc 12 20 35 205 332 580 48 78 137 Bedout Project Su
Slide 17: Bedout Basin Prospective Resources (Gross)
BEDOUT BASIN PROSPECTIVE RESOURCES PROSPECTIVE RESOURCES GROSS FIELD BASIS For personal use only Liquids Natural Gas Barrels of Oil Equivalent Probability of Risked Carnarvon (Oil and Condensate; MMBBL) (BSCF) (BOE) Geological Mean Energy Success (Pg) (MMBOE) Equity pre Permit divestment Prospect P9
Slide 18: Bedout Basin Prospective Resources (Net CVN)
BEDOUT BASIN PROSPECTIVE RESOURCES PROSPECTIVE RESOURCES NET CVN BASIS For personal use only Liquids Natural Gas Barrels of Oil Equivalent Probability of Risked Carnarvon (Oil and Condensate; MMBBL) (BSCF) (BOE) Geological Mean Energy Success (Pg) (MMBOE) Equity pre Permit divestment Prospect P90 P5
Slide 19: Disclaimer
DISCLAIMER For personal use only The resource estimates outlined in this presentation are based on and fairly represent information and supporting documentation prepared by Carnarvon’s Chief Operating Officer, Mr Philip Huizenga, who is a full-time employee of the company. Mr Huizenga has over 25 ye
Slide 20: Carnarvon Energy Ltd contact details
<< CARNARVON ENERGY LTD @ Level 2 76 Kings Park Road admin@cvn.com.au West Perth WA 6005 R. +618 9321 2665 @® wwwecarnarvon.com.au