Hartshead Resources Nl · ASX:HHR
Hartshead Resources Nl — Investor Presentation (July 2019)
24 slides from Hartshead Resources Nl's investor presentation, Jul 4, 2019
Slide 1: Unlocking European Onshore Oil & Gas Resources
Unlocking European Onshore Oil & Gas Resources 4 July 2019
Slide 2: Disclaimer
DISCLAIMER Forward Looking Statements This document has been prepared by Pura Vida Energy NL (PVD). This document contains certain statements which may constitute "forward-looking statements". It is believed that the expectations reflected in these statements are reasonable but they may be affected
Slide 3: Executive Summary
EXECUTIVE SUMMARY ▪ Earn-in for a 35% interest in the Nowa Sol and Gora onshore Polish oil & gas projects secured via combined spend of A$6.15million1 [£3.38m] ▪ Projects located in Poland's proven and producing Permian basin ▪ Introduction of lower risk, lower cost, near-term European assets ▪ Two
Slide 4: Management Team Additions
MANAGEMENT TEAM ADDITIONS ▪ Dr Andrew Matharu – Executive Director designate o 24 years experience across the oil & gas industry and equity capital markets. o Commenced career as a Petroleum Engineer with Chevron and Kerr McGee in the UK North Sea o Experience gained in capital markets, corporate ad
Slide 5: European Onshore Focus and Projects
EUROPEAN ONSHORE FOCUS AND PROJECTS NOWA SOL ■ PVD: 35% North Sea ■ Jany-C1 well ■ Area: 1,165 km2 ■ Oil Target: 36MMbbls 2C contingent resources* ■ Resource Potential: 400MMbbls† GORA ■ PVD: 35% ■ Siciny-1 well ■ Area: 693 km2 ■ Gas Target: 1.6 Tcf 2C contingent resources* ■ Resource Potential: 9 T
Slide 6: Projects Overview
PROJECTS OVERVIEW ▪ 35% interest in the Nowa Sol and Gora projects in the prolific Polish Permian Basin† ▪ Both licences have recent discoveries and multi-Tcf/bbls potential ▪ Surrounded by Poland’s largest gas fields with over 100 discoveries in the area. ▪ The assets were acquired from AIM listed
Slide 7: Adjacent Fields
ADJACENT FIELDS Over 7 TCF of gas discovered in the Rotliegend in Poland ■ Ongoing exploration and 227BCF PAPROC production since early 60’s ■ Over 100 discoveries in the area 850BCF ZUCHLOW ■ Existing and easily accessible gas pipeline network KARGOWA 2000MBOE KIJE 900MBO CZERWIENSK 700MBO LELECHOW
Slide 8: Gora: Siciny-2 Targeting Gas Resources
GORA: SICINY-2 TARGETING GAS RESOURCES ▪ CPR estimate a 2C contingent resource Carboniferous Unconventional Gas Play associated with Siciny-2 of 1.6 Tcf* of gas ▪ CPR 2C contingent resource 1.6 Tcf* o 2C resource area covers 41.6 km2 ▪ Much larger potential if the play is proven up block- o Total Go
Slide 9: Gora: Siciny-2 Targeting Gas Resources
GORA: SICINY-2 TARGETING GAS RESOURCES Gora License Area 3D seismic coverage 693 km2 Siciny-2 Well 3D seismic coverage NSAI 2C Polygon area 41.6 km2 Map showing depth to Top Carboniferous from Well Data 9
Slide 10: Nowa Sol: Jany-C1 Targeting Oil Resources
NOWA SOL: JANY-C1 TARGETING OIL RESOURCES ■ Jany-C1 drilled in 2013 by copper company Main Dolomite Unconventional Oil Play ■ Entire section was logged in addition to ▪ Target: Mid-case STOIIP 238 MMbbls* oil in tight recovering 45m of whole core Dolomite reservoir with 2C contingent resources of ■
Slide 11: Nowa Sol: Jany-C1 Targeting Oil Resources
NOWA SOL: JANY-C1 TARGETING OIL RESOURCES Nowa Sol License Area 1,165 km2 Jany-C1 Well 3D seismic coverage NSAI 2C Polygon area 48.6 km2 Map showing depth to Top Main Dolomite from Well Data 11
Slide 12: Gora: Conventional Prospectivity
GORA: CONVENTIONAL PROSPECTIVITY* ▪ CPR estimate Rawicz North prospective resource of Rotliegendes Conventional Gas Play 110 Bcf ▪ CPR Prospective Resource 210 Bcf (best estimate) o Structure defined by 3D and 2D seismic ▪ Largest prospect 110 Bcf with 24% CoS o Reservoir, seal and charge proven in
Slide 13: Work Program
WORK PROGRAM ■ Well Status: Suspended Ca2 Nowa Sol: cased with 7” liner Jany-C1 ■ Plan foward: Proppant frack, Budget: A$2.25 test, and put on production [£1.23] ■ Goal: Success in Jany-C1 will prove the viability of a Bakken style unconventional resource play in the Main Dolomite and provide early
Slide 14: Fiscal Terms & Commercialisation
FISCAL TERMS & COMMERCIALISATION Robust Gas Demand Indicative Development Scenarios ▪ Poland is heavily dependent upon oil and gas ▪ Successful frack and flow tests will advance imports – particularly from Russia horizontal development programs for the two tight ▪ Seasonal domestic gas prices in exc
Slide 15: Estimated Use of Funds
ESTIMATED USE OF FUNDS ▪ Proposed capital raise of A$3.7 million (before costs) $(AUD) from a combination of: SOURCE OF FUNDS o Placement of 55,555,556 Shares to sophisticated investors at issue price of A$0.018 to raise A$1.0m $6,700,000 Cash as at 1st April, 2019 o An Entitlements issue to offer a
Slide 16: Proforma Capital Structure
PROFORMA CAPITAL STRUCTURE Proforma Capital Structure Ratio Pricing Shares on Issue Cash Market Cap Shares currently on issue $0.018 248,010,868 $6,700,000 $4,464,196 Placement $0.018 55,555,556 $1,000,000 Rights Entitlement Issue 0.500 $0.018 151,783,212 $2,732,098 Advisory Fee 25,000,000 Facilitat
Slide 17: Indicative Transaction Timetable
INDICATIVE TRANSACTION TIMETABLE Announcement and Presentation Released on ASX Thursday, 4 July 2019 Announce completion of Placement* Thursday, 4 July 2019 Post NOM To Holders Friday, 19 July 2019 Lodge Entitlements Issue Prospectus with ASIC Friday, 2 August 2019 Ex Date for Entitlements Issue Mon
Slide 18: Appendix I – Board and Management Team
APPENDIX I – BOARD AND MANAGEMENT TEAM Bevan Tarratt – Non-Executive Chairman ▪ Chairman of ASX-Listed Protean Energy, Non Executive Chairman of ASX-listed Fenix Resources and Non Executive Director of ASX-Listed Jacka Resources ▪ Extensive experience in primary and secondary capital raising and cor
Slide 19: Appendix II-A – Gora Competent Persons Review
APPENDIX II-A – GORA COMPETENT PERSONS REVIEW (LEWIS PETROLEUM CONSULTING LIMITED) ▪ Siciny-2 o Both mud log and petrophysics indicate substantial gas pay within the Carboniferous o Petrophysics indicates there may be >20m of conventional pay in lowermost tight reservoir o Mini-frac results o No att
Slide 20: Appendix II-B – Nowa Sol Competent Persons Review
APPENDIX II-B – NOWA SOL COMPETENT PERSONS REVIEW (LEWIS PETROLEUM CONSULTING LIMITED) ▪ Jany-C1 o Both mud log and petrophysics indicate oil pay within the main Dolomite o FMI log interpretation indicates substantial natural fracturing o DST results o No flow to surface on test o HCs detected in mu
Slide 21: Appendix III - Poland Gas Market and Pricing
APPENDIX III - POLAND GAS MARKET AND PRICING ▪ Poland’s energy diet is heavily dependent on oil and gas imports with gas demand growing strongly ▪ Security of supply and desire to reduce dependency on Russian gas imports is high on the political agenda ▪ Gas pipeline infrastructure is extensive and
Slide 22: Appendix IV: Poland Gas Infrastructure
APPENDIX IV: POLAND GAS INFRASTRUCTURE Map source: Gaz System S.A. 22
Slide 23: Appendix V: Licence History
APPENDIX V: LICENCE HISTORY Over a thousand wells Lelechow and Czaslaw SLE enters into a MOU Former SLE drilled by the Polish state oil wells drilled on Nowa with Transatlantic managers form proving the potential of Sol, finding oil in the Petroleum Inc for the Gemini and acquire the Polish Permian
Slide 24: Appendix VI: Gora: Siciny-2 Well
APPENDIX VI: GORA: SICINY-2 WELL A A’ ▪ Siciny-2 is on the flank of a very large anticline structure. Entire structure is not imaged by 3D. ▪ Rotliegendes fields are located at the top of the structure. Top Rotliegend ▪ The area is covered with 3D seismic, however, Top Carboniferous imaging of indiv
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