Nxt Energy Solutions Inc. · TSX:SFD
Nxt Energy Solutions — Investor Presentation (December 2012)
16 slides from Nxt Energy Solutions's investor presentation, Dec 5, 2012
Slide 1: Corporate Presentation
CORPORATE PRESENTATION (UPDATED December 5, 2012) A PROVEN, DISRUPTIVE TECHNOLOGY FOR H Y D R O C A R B O N E X P L O R AT I O N 1
Slide 2: Disclaimer and Forward-looking Statements
Disclaimer and Forward-looking Statements This presentation is not intended to be used as an Offering Document. The information contained in this document may include forward-looking statements including opinions, assumptions, estimates and expectations of future prospects for the Company and financ
Slide 3: A Canadian Public Company
A Canadian Public Company www.nxtenergy.com NXT Energy Solutions Inc. is a service provider to the upstream Oil & Gas Industry: Engaged in exploration reconnaissance. We identify and rank high-potential prospect leads using a unique airborne survey method. SFD ® Survey System 3
Slide 4: SFD survey locations
SFD survey locations NXT Offices Agents/Liaisons 4
Slide 5: 2012 – A Record Year
2012 – A Record Year Selected list of recent contracts and near-term pipeline objectives. Status Location US$ Value Complete Colombia, Guatemala $ 3.5 million Complete Argentina $ 1.65 million Completion in Q4-12 Mexico $ 5.8 million Near-term Completion in Q4-12 Belize $ 0.45 million Objectives Pla
Slide 6: SFD: Fast Tracks the Exploration Process
SFD®: Fast Tracks the Exploration Process Cost Time E&P Success REDUCES = Risk LOW FINDING Environmental COSTS Footprint Focus is the key 6
Slide 7: NXT Energy Solutions – SFD (Stress Field Detection)
NXT Energy Solutions SFD (Stress Field Detection) • Disruptive Patent Pending Airborne Survey Technology for Oil & Gas Exploration • The only tool that can detect trapped reservoirs at stage I of the exploration cycle We can identify the best oil and gas prospects in at least 1/10th of the time, and
Slide 8: Data Coverage for $3.5 Million: Seismic vs. SFD
115 km Seismic vs. 2,500 line km SFD® Data Coverage for $3.5 Million 2500 2000 Line Kilometers 1500 1000 500 0 2D Seismic SFD 5,000 sq. km. Survey Method SFD ® (5x5) Seismic SFD delivers Focus quickly and cost effectively Significantly reduces reconnaissance seismic 8
Slide 9: SFD responds to perturbations in the gravity field related to changes in stress direction
SFD® responds to perturbations in the gravity field related to changes in stress direction Gravity field is distorted by stress Discontinuities affect regional/local stress distribution SH max SH min changes in stress orientation entering reservoir
Slide 10: NXT Survey Results in Colombia
NXT Survey Results in Colombia (May 2009 – July 2012) To date, 11 SFD Lead Areas have been drilled, 7 of which were successful, resulting in the discovery of 4 oil pools with an estimated 1.26 Billion BBL OOIP. In addition, 8 wells were drilled along SFD survey lines that were not recommended by SFD
Slide 11: SFD Services
SFD® Services Concession Level - Reconnaissance grid designed to identify and rank individual reservoir prospects and/or optimize seismic programs (PRE) - Prospect Verification high-grading seismically derived prospects based on reservoir quality onshore/offshore (PRE, BP) Basin Level grid designed
Slide 12: Vast Market Opportunity
Vast Market Opportunity 2010 E&P Market: $447 Billion $12 Billion Global Geophysics Market 1% = $120 million NXT Revenue Targets 2012 $11 Million 0.09% 2013 $20 Million 0.17% 2014 $40 Million 0.33% Best Previous Year - $5.3 Million Source: Spears Oilfield Market Report, 2010; Barclay’s Original E&P
Slide 13: Current and Future Revenue Streams
Current and Future Revenue Streams 1. Service Fees 2. Data Sales In Colombia alone, over 40,000 km of proprietary data have been acquired. Additional data added with each new survey 3. Royalty Existing GORR contracts in Canada (Pengrowth ~ BC Horn River Basin; Alberta ~ Swan Hills) 4. Vertical Expan
Slide 14: Capitalization
Capitalization TSX-V: SFD, OTCBB: NSFDF Capitalization - Shares Outstanding (millions) 39.5 Common shares issued 10.0* Convertible Preferred shares (convert at 1:1, mature Dec 31, 2015) 3.1 Stock options (average exercise price $0.85) 4.5 Warrants (US $1.20 exercise, expire from March 8 to May 4, 20
Slide 15: Board and Management
Board and Management Management Non-Executive Geosciences Directors Advisory Board George Liszicasz Charles Selby Chairman & CEO Caledonian Royalty Corporation Dr. George Iusco Repsol Greg Leavens, C.A. Mickey Abougoush Chief Financial Officer Teknica Overseas Ltd. Andy Steedman, M.B.A Tom Valentine
Slide 16: Highlights
Highlights • Disruptive Technology for Oil & Gas Exploration • Profitable and Commercially Proven • Contract and Pipeline Activity is Robust • Vast Market Opportunity THANK YOU ! 16
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