Winchester Energy Ltd · ASX:WEL
Winchester Energy — Good Oil Conference 2019
22 slides from Winchester Energy's conference presentation, Sep 11, 2019
Slide 1: Oil Production & Development, Permian Basin - Texas - USA
For personal use only Oil Production & Development Permian Basin - Texas - USA Good Oil Conference 12 September 2019 ASX:WEL
Slide 2: Disclaimer
Disclaimer For personal use only This document is for information purposes only. It is not a prospectus, disclosure document or The estimated total prospective resources referred to in this presentation were first offering document under Australian law or under any other law and does not constitute
Slide 3: Investment Summary - Winchester Energy Ltd (ASX: WEL)
Investment Summary - Winchester Energy Ltd (ASX: WEL) ➢ Growing oil production and quarterly net revenues (A$695,102 in June 2019 quarter - up 2.5 times from March 2019 quarter) For personal use only ➢ Leases comprising 17,000 contiguous acres. ➢ New Mustang and Lightning oil discoveries with Spitfi
Slide 4: Why explore in the Permian Basin, Texas?
Why explore in the Permian Basin, Texas? “The Permian Basin is currently the best oil address in the world outside of the Middle East – 2nd largest oil field after Ghawar.” Forbes 2017 For personal use only Winchester Energy is the only ASX-listed company with its sole focus in the Permian Basin Sti
Slide 5: Winchester Energy in the Permian Basin
Winchester Energy in the Permian Basin Winchester Energy is the only ASX-listed company with its sole focus in the Permian Basin For personal use only Winchester Energy • 17,000 net acres under lease, with multiple CISCO stacked conventional drilling targets • Focus is on development of the Mustang
Slide 6: Capital Structure
Capital Structure Winchester Energy (ASX:WEL) shares trading at $0.057 on 10 September 2019 Cash on hand* For personal use only 31 August 2019 $2.5 mill Total shares on issue* 538 mill 14 Recent Share Price Total options on issue Growth @A$0.12/share 39 mill 12 2.8 – 5.8 cents Current Market Cap @ 5
Slide 7: Recent Mustang & Lightning Performance
For personal use only Recent Mustang & Lightning Performance • Mustang oil discovery White Hat 20#3 online in May 2019 at 306 bopd with gross production still at an average of 200 bopd (WI 75%) in Aug. • Mustang development; White Hat 20#5 - 50 feet of gross Fry Sand, pre-frac swabbed 60% oil. Frac
Slide 8: 2019/1Q 2020 Planned Drilling Schedule
2019/1Q 2020 Planned Drilling Schedule Active Exploration and Development Program For personal use only 10 September 2019 winchesterenergyltd.com 8
Slide 9: Increasing Winchester shareholder value – the details
Increasing Winchester shareholder value – the details Growing cash flow by the successful development and exploration of 17,000 acres of leasehold For personal use only • White Hat 20#4 / 39#2 development wells on Mustang Field following on from 2019 exploration drilling success at White Hat 20#3 &
Slide 10: Independent Prospective Resource Estimation
Independent Prospective Resource Estimation* Mire & Associates Inc. with Winchester (WEL) Pre-Drill Chance of Success Estimates** For personal use only Mustang Lightning Spitfire Cisco stacked sands Strawn Sand & Ellenburger Strawn Sand- Fry Member Gross Prospective Recoverable Limestone Gross Prosp
Slide 11: Mustang Oil Field: Active 2019 / 2020 Development Drilling Program
Mustang Oil Field Active 2019 / 2020 Development Drilling Program • Mustang Oil Field confirmed as a target for further For personal use only development drilling following White Hat 20#3 (IP 306 bopd). • Accelerated development drilling commenced with White Hat 20#5 drilled August 2019, intersectin
Slide 12: Mustang Oil Field
Mustang Oil Field SE - NW 3D seismic section through key White Hat well locations, Central Lobe. For personal use only A 20 #1 JF #3 20 #4 20 #3 Post frack 20 #5 20 #2 Post frack 39 #2 38 #3 B PL 306 bopd 200 bopd PL Interpreted Strawn “Fry "3D seismic amplitude map – Mustang central lobe Penn Shale
Slide 13: Exploration Prospect - Lightning
Exploration Prospect - Lightning New Upper & Lower Cisco Sand Oil Discovery For personal use only • Arledge 16 #2 New oil Discovery • Successful completion for production of Lower Cisco sands - within Cisco gross 490 ft oil column - opens up a major new stratigraphic play of slope channel sand fans
Slide 14: Exploration Prospect - Lightning
Exploration Prospect - Lightning New Upper & Lower Cisco Sand Oil Discovery For personal use only GR ARLEDGE 16 #2 Mud log Arledge 16 #2 • TD : 5,502 feet • Well cost: US$550k D & C Upper Cisco • Pay: 490 gross feet ZONE 1 • Reservoir: Two Pay intervals in Cisco Formation from mud log and wireline l
Slide 15: Exploration Prospect - Lightning
Exploration Prospect - Lightning New Upper & Lower Cisco Sand Oil Discovery For personal use only Zone 2 - Lower Cisco Sand lobe – FMI log-Testing – no mud log shows below 5,115 ft 5,075 – 5,131 feet Interval 4: 5010 – 5033 ft Calculated 24.5 feet of pay Fracced 111,000 lbs of Sand 1,700 Interval 3:
Slide 16: Exploration Prospect - Lightning
Exploration Prospect - Lightning New Upper & Lower Cisco Sand Oil Discovery For personal use only Zone 1 - Upper Cisco Sand lobe 4735 ft – 4900 ft – FMI log- Untested Zone 1 Revised potential pay >30% net/gross 10 September 2019 winchesterenergyltd.com 16
Slide 17: Exploration Prospect - Lightning
Exploration Prospect - Lightning New Upper & Lower Cisco sand oil discovery Arledge #1 (16#1 Re-Entry) Pat 1 Successful completion for For personal use only W E Arledge 16 #2 production of the Upper and Lower Cisco sands - Cisco with gross 490 ft oil column - opens up a major new stratigraphic play
Slide 18: Exploration Prospect - Spitfire 'Strawn Channel'
Exploration Prospect - Spitfire ‘Strawn Channel’ For personal use only Target is a 3D seismically defined major Strawn ‘channel’ feature interpreted to be filled with Upper Strawn Sand Support for the presence of Strawn sand fill in the ‘channel’ is provided by a well drilled to the west of the chan
Slide 19: Spitfire Prospect - Strawn Channel Prospect
Spitfire Prospect - Strawn Channel Prospect seismic line XL1110 using velocity imaging WHR 212 #1 For personal use only WEST PROPOSED LOCATION EAST MCLEOD AMERAC #1 PROJD. TOP CARBONATE CHANNEL FACIES STRAWN ELLENBURGER TD @ 7100ft SCALE Inversion seismic line processing MILES 0 0.5 XL 1110 10 Septe
Slide 20: Exploration Prospect - El Dorado
Exploration Prospect - El Dorado Four-way dip structure – multiple targets For personal use only El Dorado Prospect is a 3D seismically defined four-way dip structural closure at the Strawn and Ellenburger limestone horizons. Secondary targets are in the Cisco down to the Strawn Formation. Good poro
Slide 21: Wolfcamp "D" Shale – Thomas 119-1
Wolfcamp “D” Shale – Thomas 119-1 Thomas Ranch 119"D" #1Three Vert Logs For personal use only Well log for Wolfcamp Fingers Shale – Thomas 119-1 Thomas 119 vertical frac carried out by USEC during 1Q 2019 Three Fingers Shale 3 Fingers Shale Significant vertical frac oil and gas rates 29 bopd reporte
Slide 22: Summary - Winchester Energy Ltd
Summary - Winchester Energy Ltd (ASX: WEL) ✓ Active and Successful For personal use only ✓ Debt-free & Cash-Flow positive ✓ High working interests ✓ Five contiguous leases covering 17,000 net acres ✓ 3D seismic over approximately 100 sq. miles ✓ New and Exciting Prospect Portfolio ✓ Recent Discoveri