Indonesia Energy Corporation Limited · AMEX:INDO
Indonesia Energy — IPO Roadshow (August 2019)
30 slides from Indonesia Energy's IPO roadshow presentation, Aug 21, 2019
Slide 1: Indonesia Energy
IND “NESIA N GAY coseon rion
Slide 2: Disclaimers and Cautionary Note on Forward-Looking Statements
Readers are cautioned that the securities of Indonesia Energy Corporation Limited (“IEC”) are highly speculative . No representation or warranty, expressed or implied, is or will be made and, save in the case of intention or fraud, no responsibility or liability is or will be accepted by IEC or by a
Slide 3: Free Writing Prospectus Statement
This presentation highlights basic information about our company . Because it is a summary, it does not contain all of the information that you should consider before investing . This offering may only be made by means of a prospectus . We have filed a registration statement (including a preliminary
Slide 4: Company Overview
COMPANY OVERVIEW 4
Slide 5: Offering Summary
Issuer: Indonesia Energy Corporation (“INDO”, “IEC” or the “Company”) Proposed Exchange/Symbol: NYSE American : INDO Offering Type: Initial Public Offering (IPO) Offering Proceeds: $ 20 Million (15 % over - allotment option for 45 days) Securities Offered : Common Stock Anticipated Use of Proceeds:
Slide 6: Indonesia Energy Corporation Overview
INDONESIA ENERGY CORPORATION OVERVIEW ▪ ~ 1 million acre development & exploration block controlled until 2048 ▪ 16 miles from Jakarta ▪ significant infrastructure in place which mitigates logistical challenges ▪ Adjacent fields producing 45 , 000 BOPD and 450 MMSCFD ▪ “De - risked” asset with prove
Slide 7: Investment Highlights
INVESTMENT HIGHLIGHTS Experienced Management with Established Global Network ▪ Highly qualified management and technical team with decades of business experience and field expertise ▪ Global experience with many of the world’s oil majors ▪ Access to unique opportunities through strong relationships
Slide 8: Executive Team
EXECUTIVE TEAM IEC’s executive team is built to capture opportunities in Indonesia and execute projects with excellence Dr. Wirawan Jusuf Frank Ingriselli Chief Operating Officer Dr. Chiahsin “Charlie” Wu Chief Business Development Officer Mirza F. Said James J. Huang, CFA • Co - founder and foundin
Slide 9: Board of Directors
BOARD OF DIRECTORS Director IEC’s board of directors is built to capture opportunities in Indonesia and execute projects with excellence Mochtar Hussein Director Roderick de Greef Director Benny Dharmawan Director Tamba P.Hutapea • Rich experience in fields of investigative auditing, compliance and
Slide 10: Indonesia - Country Overview
INDONESIA - COUNTRY O VERVIEW 10
Slide 11: Indonesia at a Glance
INDONESIA AT A GLANCE Recent credit rating upgrade to investment grade indicates there is confidence in the country’s economic growth and stability Legal Framework • Civil Law • Mature legal framework for O&G Currency Indonesia Rupiah • Rp14,246 per US$ (2018 average) Languages • Official: Bahasa In
Slide 12: Indonesia's Energy Demand Growth - Robust Outlook
INDONESIA’S ENERGY DEMAND GROWTH ▪ ROBUST OUTLOOK Industrial Sector Energy Demand Growth 6.1% / Year Electricity Demand Increase by 2050 740% Natural Gas Demand Growth 6.3% / Year Natural Gas Demand for Electricity Growth 4.9% / Year Total Energy Demand Growth 5.3% / Year Source: Wood Mckenzie : 201
Slide 13: Oil Majors Continue to Deploy Billions of Dollars into Indonesia
OIL MAJORS CONTINUE TO DEPLOY BILLIONS OF DOLLARS INTO INDONESIA 13 INDONESIA FACT: EXPLORATION DRILLING SUCCESS RATIO 2012 - 2018 Year 2012 2013 2014 2015 2016 2017 2018 Exploration Wells 96 75 64 33 33 15 22 Discovery Wells 65 53 47 27 23 10 13 Success Ratio 68% 71% 73% 82% 70% 67% 59% Average dri
Slide 14: Assets Overview
ASSETS OVERVIEW 14
Slide 15: Overview: IEC's Assets
INDONESIA INDUSTRY Block KRUH CITARUM Property Type: Producing Development Contract Type: TAC to KSO Production Sharing Contract Fiscal Terms: Cost Recovery Gross Split Development Stage: Production Exploration/Appraisal Presence of Hydrocarbon: Proven Proven Contract Effective Date: May 22, 2000 Ju
Slide 16: Kruh: Producing, Cash Flow Positive Asset
Contract Type Joint Operation Partnership (KSO) Fiscal Terms Cost Recovery Contract Effective Date May 22, 2020 Contract Expiry Date May 2030 Participating Interest 100% Concession Area 258 km 2 / 63,753 acres Stable cash generating oil asset, with 18 new wells planned to increase production signifi
Slide 17: Kruh: Single Well Economics
HISTORICAL WELL DATA OPERATING INDICATORS & ASSUMPTIONS Location Kruh Block, South Sumatra Oil Price – (2018 average) $66.12/ Bbl Number of wells drilled 29 wells Oil Realization Discount 0% Average 1 st Year Daily Production 173 BOPD Average Production Cost (2018) $21.34 / Bbl Average 1 st Year Gro
Slide 18: Citarum: De-risked ~1 Million Acre Property
INDONESIA INDUSTRY Proven hydrocarbon presence located 16 miles from Jakarta, a metropolitan area with large & growing gas demand and an establi she d gas pipeline infrastructure network CITARUM: “DE - RISKED” ~ 1 MILLION ACRE PROPERTY PRODUCING O&G FIELDS IN NORTHWEST JAVA BASIN ▪ Citarum’s locatio
Slide 19: Citarum: A Proven Hydrocarbon Opportunity
CITARUM: A PROVEN HYDROCARBON OPPORTUNITY From 2009 - 2016, Citarum was operated by Pan Orient Energy Corp (TSXV:POE) who invested over $40MM POE drilled 4 wells and successfully discovered natural gas and gas flow from each of the 4 wells Pasundan - 1 : Gas depth between 6,000 - 9,000ft. Cataka - 1
Slide 20: Citarum: Targeted Exploration in Place
CITARUM: TARGETED EXPLORATION IN PLACE At least 7 proven sources rock, “kitchens”, are located north (and possibly more in the south) of the block . WEST JAVA OIL & GAS TRANSMISSION NETWORK MAP Citarum 3 areas division map: I. Jonggol ; II. Purwakarta - subang ; and iii. majalengka 3 YEARS EXPLORATI
Slide 21: Other Assets
OTHER ASSETS 21
Slide 22: Potential Additional New Block - Rangkas Area
POTENTIAL ADDITIONAL NEW BLOCK – RANGKAS AREA An onshore area of 3,970 km2 (or 981,008 acres) adjacent to Citarum block with a proven petroleum system LOCATION AREA • Proved hydrocarbon generating province by the numerous oil/gas seeps within the Rangkas block • Occurrence of Eocene - Oligocene - Mi
Slide 23: Growth Strategy
Growth Strategy 23
Slide 24: Growth Strategy
Strategic Investment Allocation in Existing Blocks Focus on validating the reserves of our blocks , and significantly increasing production in Kruh B lock in the short term Continuing to develop high impact exploration activities to add reserves, combined with a plan of development in order to incre
Slide 25: Financial Overview
Financial Overview 25
Slide 26: Summary Income Statement
Summary Income Statement Condensed Consolidated Income Statement Year Ended 12/31 ( in 000s $USD) 2018 2017 Revenue $ 5,856 $ 3,704 Lease operating expenses 2,540 2,811 Depreciation, depletion and amortization 1,157 1,187 General and administrative expenses 2,016 1,258 Exchange gain (loss) 42 (1) Ot
Slide 27: Adjusted EBITDA
Adjusted EBITDA 1 Adjusted EBITDA and Adjusted EBITDA less Capital Expenditures reconciliation to net cash provided by (used in) operating activities: Year Ended 12/31 2018 2017 Net cash provided by (used in) operating activities $ 1,920,219 $ (182,737) Add (Subtract): Cash interest payments 19,614
Slide 28: Summary Condensed Balance Sheet
Summary Condensed Balance Sheet Condensed Consolidated Balance Sheet As of December 31 ( in 000s $USD) 2018 2017 Current assets $ 4,000 $ 4,552 Total assets 9,877 8,670 Current liabilities 2,673 3,808 Total debt 3,106 3,852 Total liabilities 4,803 28,057 Total stockholder's equity (deficit) $ 5,074
Slide 29: Investment Highlights
INVESTMENT HIGHLIGHTS Experienced Management with Established Global Network ▪ Highly qualified management and technical team with decades of business experience and field expertise ▪ Global experience with many of the world’s oil majors ▪ Access to unique opportunities through strong relationships
Slide 30: Indonesia Energy
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