Oracle Power Plc · LSE:ORCP
Oracle Power — Investor Presentation (June 2024)
39 slides from Oracle Power's investor presentation, June 2024
Slide 1: Unlocking major project return through focused development strategies & international partnerships
Unlocking major project return through focused development strategies & international partnerships Corporate Presentation June 2024
Slide 2: Disclaimer
DISCLAIMER THE INFORMATION CONTAINED IN THIS CONFIDENTIAL DOCUMENT (“PRESENTATION”) HAS BEEN PREPARED BY ORACLE POWER PLC (THE “COMPANY”). IT HAS NOT BEEN FULLY VERIFIED AND IS SUBJECT TO MATERIAL UPDATING, REVISION AND FURTHER AMENDMENT. THIS PRESENTATION HAS NOT BEEN APPROVED BY AN AUTHORISED PERS
Slide 3: Company Overview
COMPANY OVERVIEW RECOGNISING & REALISING VALUE An international natural resources & energy project developer listed Currently active in Pakistan & Australia on London's AIM market (L.ORCP) Led by an experienced team with extensive experience in major Robust relationships with industry giants, which
Slide 4: Team to Deliver
TEAM TO DELIVER THE RIGHT COMPOSITION OF INDIVIDUALS TO DELIVER ON OUR LONG-TERM STRATEGY & SHORT-TERM OBJECTIVES Mark Steed Involved in major projects both in the UK & in emerging markets. With +35 years' experience in the Securities industry, he is a Non-Executive Chairman member of the Institute
Slide 5: Our Portfolio
OUR PORTFOLIO DELIVERING GROWTH FROM EXCEPTIONAL PROJECTS & STRONG PARTNERSHIPS NORTHERN ZONE GREEN HYDROGEN HYBRID RENEWABLE THAR SOLAR THAR BLOCK VI GOLD PROJECT PROJECT PROJECT PROJECT COAL PROJECT WESTERN AUSTRALIA PAKISTAN PAKISTAN PAKISTAN PAKISTAN 25km east of major gold mining centre, Kalgoo
Slide 6: Clear Strategy
CLEAR STRATEGY OUR VISION IS TO BE A LARGE INTERNATIONAL PROJECT DEVELOPER IN THE NATURAL RESOURCES & ENERGY SECTORS, THROUGH A GROWING PORTFOLIO OF HIGH RETURN PROJECTS 1. 2. 3. 4. Develop selected early-stage Deliver bankability, by de-risking Be jurisdiction agnostic and invest Diversify to mitig
Slide 7: Northern Zone Gold Project
NORTHERN ZONE GOLD PROJECT WESTERN AUSTRALIA 7
Slide 8: Snapshot
SNAPSHOT WORLD CLASS OREBODY ASX Code: RGL Acquired highly prospective gold project license located in Western Australia in Q4 2020 25km east of the major gold mining centre of Kalgoorlie, the home of the ‘Super Pit’ mine, which is the second largest gold mine in Australia Exploration targeting 2.5M
Slide 9: Development Timeline
DEVELOPMENT TIMELINE NEAR-TERM TIMELINE TO PRODUCTION Q4 2020 Q4 2021 2022 Q2 2023 Q3 2023 Q4 2023 2024 + Project acquisition Reverse Positive results Farm in HoT Riversgold Diamond drilling RC and AC drilling Commercial Circulation drilling =>IRGS with target agreement with Diamond Drilling has val
Slide 10: Green Hydrogen Project
GREEN HYDROGEN PROJECT PAKISTAN 10
Slide 11: Snapshot
SNAPSHOT ORACLE ENERGY IS THE SPV FOR THE GREEN HYDROGEN PROJECT & IS FUNDED ON A 70:30 BASIS BY KAHEEL ENERGY (100% OWNED BY HIS HIGHNESS SHAIKH AHMED DALMOOK AL MAKTOUM THROUGH HIS PRIVATE OFFICE) & ORACLE POWER RESPECTIVELY Strategy to be Pakistan’s first hydrogen facility, establishing the count
Slide 12: Location
LOCATION 7,000-ACRE AREA, CLOSE TO N5 HIGHWAY, WHICH CUTS THROUGH THE CENTRE OF PAKISTAN FROM THE COASTAL KARACHI TO THE NORTHERN REGIONS • N5 highway connects the project to the two largest ports in Pakistan: 35km to Port Qasim & 70km to Karachi Port • Within a radius of 20km, +350MW of renewable p
Slide 13: The Market
THE MARKET GREEN HYDROGEN & GREEN AMMONIA MOLECULES HAVE GAINED BUSINESS & GOVERNMENT INTEREST WORLDWIDE GREEN HYDROGEN GREEN AMMONIA Demand for clean hydrogen could reach 660 million metric tons in 2050, making up Expected that the country-to-country traded ammonia market would grow from 18- 22% of
Slide 14: Globally Announced Green Hydrogen Projects
GLOBALLY ANNOUNCED GREEN HYDROGEN PROJECTS ORACLE ENERGY’S GREEN HYDROGEN PROJECT IS THE FIRST ANNOUNCED PROJECT OF MEGA SCALE WITHIN THE INDO-PAK REGION • +1,000 project proposals have been announced globally as of the end of January 2023 • 795 aim to be fully or partially commissioned through 2030
Slide 15: Planned Production Facility
PLANNED PRODUCTION FACILITY HYDROGEN SUPPLY CHAIN • Project is in Pakistan’s Sindh province, a region abundant with larger solar and wind renewable resource and good infrastructure. Company plans to develop project as follows: 2 3 4 • Hybrid Renewable Energy Production & Storage - solar & wind power
Slide 16: Feasibility Studies
FEASIBILITY STUDIES GREEN H2 & GREEN NH3 STUDY HYBRID RENEWABLE POWER & TRANSMISSION STUDY Undertaken by Thyssenkrupp Uhde, a global leader in chemical Study undertaken by State Grid Corporation of China in plant engineering, study confirmed project development viability: collaboration with Shanghai
Slide 17: Potential Offtakers
POTENTIAL OFFTAKERS STRONG RELATIONSHIPS WITH INTERNATIONAL CONGLOMERATES • Agreement for cooperation & commercialisation signed with MOU with Emirates Global Aluminium, a leading global aluminium PetroChina International (Middle East) (PCME) producer, for the potential supply of 50,000 tonnes of gr
Slide 18: Planned Development Timeline
PLANNED DEVELOPMENT TIMELINE FOCUSED ON PROJECT OPTIMISATION 2021 – Q1 2023 Q2 2023 Q3 2023 Q4 2023 2024 2025 – 2027 2022 2026 Pre-feasibility Emirates global PetroChina offtake Hydrogen / Renewable power ESIA/ Geotechnical Financial close COD study completed aluminum offtake MOU ammonia feasibility
Slide 19: Progress Highlights
PROGRESS HIGHLIGHTS • Pre-Feasibility Study completed by Power China International for 400MW GH production & 1.2 GW hybrid power generation • LOI issued by GoS for Renewable Power Generation consisting of hybrid solar and wind power • 7000 Acres Land Acquired - in the Gharo-Keti Wind Corridor, which
Slide 20: Hybrid Renewable Project
HYBRID RENEWABLE PROJECT PAKISTAN 20
Slide 21: Snapshot
SNAPSHOT STRATEGIC PROJECT TO MEET COUNTRY’S AMBITIOUS RENEWABLE • Project is in Pakistan’s Sindh province, a region abundant with TARGET IN LINE WITH FOCUS ON SUSTAINABILITY & NATIONAL GOALS larger solar and wind renewable resource and good infrastructure. Company plans to develop project as follow
Slide 22: Location
LOCATION 7,000-ACRE AREA, CLOSE TO N5 HIGHWAY, WHICH CUTS THROUGH THE CENTRE OF PAKISTAN FROM THE COASTAL KARACHI TO THE NORTHERN REGIONS • N5 highway connects the project to the two largest ports in Pakistan: 35km to Port Qasim & 70km to Karachi Port • Within a radius of 20km, +350MW of renewable p
Slide 23: Feasibility Studies
FEASIBILITY STUDIES HYBRID RENEWABLE POWER & TRANSMISSION STUDY Study undertaken by State Grid Corporation of China in collaboration with Shanghai Survey, Design & Research Institute (SIDRI): • The Shanghai Survey, Design and Research Institute (SIDRI), in collaboration with State Grid, successfully
Slide 24: Planned Development Timeline
PLANNED DEVELOPMENT TIMELINE FOCUSED ON PROJECT OPTIMISATION 2021 – Q1 2023 Q3 2023 Q4 2023 2024 2025 – 2027 2022 2026 Pre-feasibility State Grid Topography Renewable power ESIA/ Geotechnical Financial close COD study completed Investment MOU completed study completed study completed Plant operation
Slide 25: Progress Highlights
PROGRESS HIGHLIGHTS • Pre-Feasibility Study completed by Power China International for renewable power generation • LOI issued by GoS for Renewable Power Generation consisting of hybrid solar and wind power • 7000 Acres Land Acquired - in the Gharo-Keti Wind Corridor, which has an annual generation
Slide 26: The Thar Solar Project
THE THAR SOLAR PROJECT PAKISTAN 26
Slide 27: Snapshot
SNAPSHOT A STRATEGIC PROJECT TO UTILISE BLOCK VI IN THAR COVERING 66.3 SQ. KM, IN LINE WITH FOCUS ON SUSTAINABILITY & NATIONAL GOALS Conditional permission obtained from the Pakistani Government to established a 1GW solar farm on the Thar Block VI mine site Positioned to meet Pakistan’s ambitious so
Slide 28: Prospects & Markets
PROSPECTS & MARKETS SIGNIFICANT OPPORTUNITIES • Energy produced anticipated to be integrated into the national power grid or sold to K Electric operating within the grid framework • Power could also be used for development of Thar Block VI itself, especially for the coal-to-gas & coal-to-liquid conv
Slide 29: Planned Development Timeline
PLANNED DEVELOPMENT TIMELINE RAPID DEVELOPMENT WITH FULL SUPPORT OF THE GOVERNMENT Q2 2022 Q4 2022 Q2 2023 + Pre-feasibility for 1GW completed Conditional permission obtained from MOU with PowerChina signed (project 1GW power COD Government for project announced) 29
Slide 30: Thar Block VI Coal Project
THAR BLOCK VI COAL PROJECT PAKISTAN 30
Slide 31: Snapshot
SNAPSHOT 30-YEAR MINING LEASE FOR BLOCK VI, WHICH HAS +1.4 BILLION TONNES OF LIGNITE COAL (JORC) Located in one of the largest coalfields in the world, Thar, 380km to the east of Karachi, 20km northeast of Islamkot town & airport 30-year mining lease for Block VI - 100% owned by Oracle Power's subsi
Slide 32: Prospects
PROSPECTS EXTENSIVELY DIVERSIFIED & ENHANCED INITIAL COAL TO POWER DEVELOPMENT AT BLOCK VI 73% proposed equity under 15% proposed equity under 12% proposed equity under Consortium Agreement Consortium Agreement Consortium Agreement DEVELOPMENT PATHS 1. 2. 3. 1,320MW power plant Gasification for urea
Slide 33: Coal Mine
COAL MINE A WORLD-CLASS ASSET February 2012, feasibility study (JORC) by SRK Consulting: • 529 million wet tonnes of coal with a gross calorific value of 3,182 kcal/kg, making it ideal for power generation • 23-year mine life, using an open-pit mining technique, with mining operations to extend down
Slide 34: Coal Power Plant
COAL POWER PLANT PREPARING A PATHWAY FOR THE DEVELOPMENT OF THIS IMPORTANT PROJECT • MOU signed in May 2023 for the development of the 1.32GW Thar coal-fired power plant • Two units of 660MW each • K-Electric as the off-taker • Government of Sindh as a facilitator • Potential investor & PowerChina I
Slide 35: Coal Gasification (Urea/Fertiliser) & Coal-to-Liquids
COAL GASIFICATION (UREA/FERTILISER) & COAL-TO-LIQUIDS ONGOING SUPPORT FROM THE GOVERNMENT OF PAKISTAN FOR MOBILISATION OF CTG/L DEVELOPMENT GIVEN PAKISTAN'S CRITICAL GAS CRISIS • Coal Gasification Thar Block VI has the potential to provide urea for Pakistan’s fertiliser production & assist in increa
Slide 36: Investment Case
~~ INVESTMENT CASE
Slide 37: Investment Case
INVESTMENT CASE COMMITTED TO GENERATING SHAREHOLDER RETURNS KEY PROJECTS BUILDING VALUE SUPPORT Four diverse, world-class projects Maximising value through developing Strong government & stakeholder specifically targeted to generate strategies to fast-track pathways to support significant value & mi
Slide 38: Glossary of terms
Glossary of terms Dictionary of terminology and acronyms JV Joint Venture PCME PetroChina International (Middle East Company) CPEC China-Pakistan Economic Corridor MOU Memorandum of Understanding FEED Front-End Engineering Design EGA Emirates Global Aluminium JDA Joint Development Agreement ESIA Env
Slide 39: PR & IR Contact
www.oraclepower.co.uk info@oraclepower.co.uk PR & IR Contact St Brides Partners Ltd oracle@stbridespartners.co.uk 39