Carnarvon Energy Limited · ASX:CVN
Carnarvon Energy — Shareholder Meeting (November 2018)
21 slides from Carnarvon Energy's shareholder meeting presentation, Nov 9, 2018
Slide 1: Annual General Meeting
For personal use only Annual General Meeting 9 November 2018
Slide 2: Disclaimer & Resource Information
DISCLAIMER & RESOURCE INFORMATION CVN The resource estimates outlined in this report have been prepared by the Company’s Chief Operating Officer, Mr Philip Huizenga, who is a full-time employee of the Company. Mr Huizenga has over 25 years’ experience in petroleum exploration and engineering. Mr Hui
Slide 3: Carnarvon's strategy produced a world class discovery
For personal use only Million barrels of oil equivalent (mmboe) 1000 1500 2000 2500 3000 3500 4000 0 500 Zohr (Egypt) Oil Discoveries Yakaar (Senegal) Tortue (Mauritania) Liza (Guyana) Gas Discoveries Teranga (Senegal) Ballymore (USA) Payara (Guyana) Zama (Mexico) Whale (USA) Zalophus (Angola) Hamme
Slide 4: Why Dorado is important
CVN WHY DORADO IS IMPORTANT For personal use only EARLY OIL Potential early oil production cash flows could fund larger full field development LONG LIFE Resource volumes could provide long life asset (362 mmboe gross 2C, with Roc)1 WELL LOCATED In shallow water, near gas infrastructure & support ser
Slide 5: Significant progress in resolving technical and commercial hurdles
SIGNIFICANT PROGRESS IN RESOLVING TECHNICAL AND COMMERCIAL HURDLES CVN Petroleum system prolific with hydrocarbons in all six wells drilled on 3D seismic data Reservoir quality improves as intervals shallow in the middle & outer edge of the basin For personal use only Similar phasing gas contains hi
Slide 6: Depiction of Dorado stacked sands
DEPICTION OF DORADO STACKED SANDS CVN Over 130 metres of net pay across four sands For personal use only Shale seal (grey zone) Crespin : oil Dorado-1 well bore WWW.CARNARVON.COM.AU | PAGE 6
Slide 7: Roc-2 well
For personal use only ROC-2 WELL CVN Highly successful flow test in late 2016 WWW.CARNARVON.COM.AU | PAGE 7
Slide 8: Dorado appraisal + nearby prospects the focus in 2019 & 2020
DORADO APPRAISAL + NEARBY PROSPECTS THE FOCUS IN 2019 & 2020 CVN Contingent resources (2C, discovered)1 Prospective resources (P50, undrilled)1 For personal use only Carnarvon 20% Carnarvon 20%-30% 700 Million barrels of oil equivalent (mmboe), Gross 600 500 400 300 200 100 - Dorado Roc Roc South Pa
Slide 9: ".... and the upside is staggering"
For personal use only “.... AND THE UPSIDE IS STAGGERING” CVN Phoenix South Phoenix Peng Bewdy & Bottler < 20km Roc Roc satellites Dorado Roc South Roc South East Apus 3D seismic image at Pavo top Caley interval WWW.CARNARVON.COM.AU | PAGE 9
Slide 10: The entire hydrocarbon sub-basin covered in four permits
CVN THE ENTIRE HYDROCARBON SUB-BASIN COVERED IN FOUR PERMITS For personal use only Roc Roc Sth Pavo Dorado Apus Dorado-1 well to Roc-1 well is ~ 20 kilometres WA-435-P & WA-437-P 20% Carnarvon WA-436-P & WA-438-P 30% Carnarvon WWW.CARNARVON.COM.AU | PAGE 10
Slide 11: Extensive shallow water portfolio
For personal use only EXTENSIVE SHALLOW WATER PORTFOLIO CVN Buffalo oil field redevelopment WA-523-P 100% Eagle Project AC/P63 100% Condor Project AC/P62 100% Labyrinth Project WA-521-P 100% Dorado & Roc WA-435-P & WA-437-P 20% WA-436-P & WA-438-P 30% Maracas Project WA-524-P 100% Outtrim Project WA
Slide 12: Buffalo oil field - redevelopment
BUFFALO OIL FIELD - REDEVELOPMENT CVN WELL HEAD PLATFORM FPSO For personal use only SEA BED A low risk / high margin opportunity FLOWLINE & UMBILICAL SEA BED West East Conventional shallow water development Capital cost of ~US$150m Operating costs of ~US$80 – 100m p.a. assuming a 4-5 year production
Slide 13: Buffalo oil field – progress update
CVN BUFFALO OIL FIELD – PROGRESS UPDATE New maritime boundary line For personal use only PSC negotiations are well advanced Planning & approvals on track to drill in 2019 Investigating partnering to assist with financing Australian Timor Leste permit PSC 100% CVN 100% CVN Contingent resources1 1C 2C
Slide 14: What we aim to achieve in 2019
For personal use only WHAT WE AIM TO ACHIEVE IN 2019 CVN 1 DORADO-2 WELL Assess the extent of the resources within the Dorado structure 1 DORADO-3 WELL Further assess reservoir & hydrocarbons for development planning 1 DEVELOPMENT Planning around early oil production to be advanced to achieve 2020 F
Slide 15: Changes in oil prices create opportunity
CHANGES IN OIL PRICES CREATE OPPORTUNITY CVN McKinsey & Company, Energy Insights, “Leading in Turbulent Times”, P. Graham, N. Sharma and C. Therkelsen (2016) For personal use only WWW.CARNARVON.COM.AU | PAGE 15
Slide 16: What we like about the business
For personal use only WHAT WE LIKE ABOUT THE BUSINESS CVN OIL EXPOSURE Nicely weighted oil price exposure with ~60% of resources in clean light oil CAPITAL RECYCLING Three developments staged enable cash flows from one project to fund the next LOW COST We hold low cost assets expected to be robust t
Slide 17: Value in discovered resources
For personal use only VALUE IN DISCOVERED RESOURCES CVN Carnarvon has over 100 million barrels in discovered Contingent Resources1 120 100 39 80 mmboe 60 31 mmbbls 40 20 34 mmbbls - Oil Dorado Oil Buffalo Gas & condensate Dorado & Roc Million barrels of oil (mmbbl) & oil equivalent (mmboe) on a 2C b
Slide 18: Oil & gas volume summary (contingent resources)
OIL & GAS VOLUME SUMMARY (CONTINGENT RESOURCES) CVN Gross Contingent Resources (100% basis) For personal use only Light Oil Natural Gas Condensate Barrels of Oil Equivalent MMbbl BCF MMbbl MMboe 1C 2C 3C 1C 2C 3C 1C 2C 3C 1C 2C 3C Dorado 82 171 320 229 552 1,197 6 16 36 128 283 566 Roc - - - 205 332
Slide 19: Oil & gas volume summary (prospective resources)
OIL & GAS VOLUME SUMMARY (PROSPECTIVE RESOURCES) CVN Gross Prospective Resources (100% basis) For personal use only Light Oil Natural Gas Barrels of Oil Equivalent Pg MMbbl BCF MMboe % P90 P50 Mean P10 P90 P50 Mean P10 P90 P50 Mean P10 Roc South 9 45 56 118 15 76 100 217 12 59 74 156 63% Pavo 11 63
Slide 20: Disclaimer & Resource Information
DISCLAIMER & RESOURCE INFORMATION CVN The resource estimates outlined in this report have been prepared by the Company’s Chief Operating Officer, Mr Philip Huizenga, who is a full-time employee of the Company. Mr Huizenga has over 25 years’ experience in petroleum exploration and engineering. Mr Hui
Slide 21: Investor inquiries
For personal use only INVESTOR INQUIRIES: Thomson Naude Company Secretary Phone: (08) 9321 2665 Email: investor.relations@cvn.com.au MEDIA INQUIRIES: Luke Derbyshire Managing Director, Spoke Corporate Phone: 0413 809 404 THINK DIFFERENT Email: Luke@spokecorporate.com ACT DIFFERENT
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