Blue Star Helium Limited · ASX:BNL
Blue Star Helium — Big Star Energy — Investor Presentation (August 2019)
25 slides from Blue Star Helium's investor presentation, Aug 22, 2019
Slide 1: ASX Announcement: Corporate Presentation
ASX ANNOUNCEMENT For personal use only 22 August 2019 CORPORATE PRESENTATION Big Star Energy Ltd (“Big Star” or the “Company”) (ASX:BNL) is pleased to release its updated corporate presentation. As outlined in the presentation, the Company’s strategy is to provide its shareholders with exposure to m
Slide 2: ASX Announcement (continued): About Helium
2 MRIs and semiconductors and is critical for fibre optic cable manufacturing, hard disc manufacture and cooling, space exploration, rocketry, lifting and high-level science. There is no way of manufacturing helium artificially and most of the world’s reserves have been derived as a by-product of th
Slide 3: Corporate Presentation August 2019
For personal use only CORPORATE PRESENTATION AUGUST 2019
Slide 4: Disclaimer
DISCLAIMER For personal use only This presentation has been prepared by Big Star Energy Limited (ACN 009 230 835) (BNL). Each Prospective Resources Cautionary Statements: recipient of this presentation is deemed to have agreed to accept the qualifications, limitations and disclaimers set out below.
Slide 5: Corporate Strategy
CORPORATE STRATEGY For personal use only HELIUM NORTH MULTIPLE CONVENTIONAL AMERICA PROSPECTS OIL • High value industrial gas; • Proven, producing helium in • Continuously feed the • High-value conventional oil inelastic demand at 100x multiple locations project pipeline • Hedge against helium marke
Slide 6: Growth Initiatives / Plan
GROWTH INITIATIVES / PLAN For personal use only NEAR TERM MEDIUM TERM LONG TERM Secure prospective resources Convert prospective Scale up and monetise resources to reserves and Mature helium prospects into Convert initial drilling to production multi-well drilling program contingent resources and ea
Slide 7: Value Proposition
VALUE PROPOSITION For personal use only HELIUM FOCUS PROVEN TEAM OF EXCELLENT POTENTIAL HIGHLY EXPERIENCED FOR RETURNS ON SUBSURFACE PROFESSIONALS INVESTMENT • High value commodity with growing • Internally generated opportunities; • Low market capitalisation offers high demand early movers leverage
Slide 8: The Board
THE BOARD For personal use only ROSS JOANNE TRENT MICHAEL WARNER KENDRICK SPRY POLLAK EXECUTIVE CHAIRMAN MANAGING DIRECTOR EXECUTIVE DIRECTOR NON-EXECUTIVE DIRECTOR Lawyer with 15+ years in oil and Petroleum and reservoir Experienced geoscientist with Chartered accountant and gas particularly in the
Slide 9: Helium
For personal use only HELIUM 101
Slide 10: Why Helium? The Boom Nobody Noticed
WHY HELIUM? THE BOOM NOBODY NOTICED… For personal use only • Currently in “Helium Shortage 3.0” – third supply shortage in last 10 years • US Bureau of Land Management (BLM) auction prices have increased 5-fold since 2007. Final public auction held Aug-18 • Demand continuing to grow Final BLM Auctio
Slide 11: What Is Helium?
WHAT IS HELIUM? For personal use only FINITE IRREPLACEABLE RESOURCE • Generated by the radioactive decay of uranium and thorium • Accumulates in commercial quantities only in reservoirs overlain by competent seal and otherwise escapes to atmosphere • Helium does not accumulate at greater than 5ppm i
Slide 12: Value Chain Differences: Helium v Natural Gas
VALUE CHAIN DIFFERENCES : HELIUM V NATURAL GAS For personal use only NATURAL GAS HELIUM • Created by thermogenic maturation of organic matter EXPLORATION & DEVELOPMENT • Subsurface skills and technology used to quantify potential and • Generated by the radioactive decay of uranium and thorium chance
Slide 13: Characteristics of a Helium Development
CHARACTERISTICS OF A HELIUM DEVELOPMENT For personal use only PROCESSING DEVELOPMENT IDEAL ASSET SMALLER ONSHORE SCALE TO FILL HELIUM CHARACTERISTICS HELIUM FIELDS ONE PSA PLANT MARKETING • 5-10% helium • Modular pressure swing • 5-10 vertical development • Sell at plant gate concentration in raw ga
Slide 14: Helium Portfolio
For personal use only HELIUM PORTFOLIO
Slide 15: Big Star's Helium Portfolio
BIG STAR’S HELIUM PORTFOLIO For personal use only • Screening studies have identified areas with proven helium produced to surface and remaining Helium Overburden prospectivity accumulation Low perm. seal • Initial focus area selected for advancement based on: • Proven area with helium production 5-
Slide 16: Enterprise Prospect Selection
ENTERPRISE PROSPECT SELECTION For personal use only Prospects & Leads Gross Acres • Initial lease acquired at Big Star’s first helium prospect “Enterprise” • Big Star has 100% working interest and is the operator • Approximately 5,000 gross acres ENTERPRISE PROSPECT Big Star Portfolio targeted for l
Slide 17: Low Cost Work Programme
LOW COST WORK PROGRAMME For personal use only Initial leases secured from targeted 5000 gross acres at Enterprise prospect LEASING • Continue leasing Enterprise $50K / prospect • Lease several additional prospects Reprocess existing gravity and aero-magnetics data to refine prospects GEOPHYSICS • In
Slide 18: Percy Creek Oil Exploration
For personal use only PERCY CREEK OIL EXPLORATION
Slide 19: Big Star's Oil Prospect: Percy Creek
BIG STAR’S OIL PROSPECT PERCY CREEK For personal use only BNL has rights to acquire up to 100% working interest in the leases • 2019 Program – US$360k to be ready for drill (seismic, permitting, etc) secures 20% WI and overriding royalty • Exclusive option to drill well by end-2020 to test all 4 res
Slide 20: Big Star's Oil Prospect: Percy Creek
BIG STAR’S OIL PROSPECT PERCY CREEK For personal use only Farmin and drilling option for 100% working interest Best Case Geological Distance to Multiple Reservoir Prospective • 5,228 gross acres with additional 29,900 gross acres chance of producing covered by AMI Targets Resources1 success analogue
Slide 21: In Closing…
For personal use only IN CLOSING…
Slide 22: Growth Initiatives / Plan
GROWTH INITIATIVES / PLAN For personal use only NEAR TERM MEDIUM TERM LONG TERM Secure prospective resources Convert prospective Scale up and monetise resources to reserves and Mature helium prospects into Convert initial drilling to production multi-well drilling program contingent resources and ea
Slide 23: Value Proposition
VALUE PROPOSITION For personal use only HELIUM FOCUS PROVEN TEAM OF EXCELLENT POTENTIAL HIGHLY EXPERIENCED FOR RETURNS ON SUBSURFACE PROFESSIONALS INVESTMENT • High value commodity with growing • Internally generated opportunities; • Low market capitalisation offers high demand early movers leverage
Slide 24: Corporate Structure
CORPORATE STRUCTURE For personal use only TICKER: BNL.ASX INDUSTRY: Oil and Gas CASH POSITION: • $0.45m cash at bank (30 June 2019) • $0.33m tranche 2 cash received July CAPITAL STRUCTURE AS AT 20 AUGUST 2019: • Shares on issue : 470m Shareholder/s Ownership Fully Diluted • Unlisted Options : 91.875
Slide 25: Contacts
For personal use only CONTACTS Big Star Energy Limited (BNL.ASX) Unit 6, 245 Churchill Avenue, Subiaco, WA 6008 ACN 009 230 835 www.bigstarenergy.com.au info@bigstarenergy.com.au
Big Star Energy — Investor Presentation (August 2019) on 6ix