Buru Energy Ltd · ASX:BRU
Buru Energy — Investor Presentation (March 2014)
19 slides from Buru Energy's investor presentation, Mar 11, 2014
Slide 1: Tight Gas from the Canning Basin: Pathway to Reality
For personal use only Tight Gas from the Canning Basin Pathway to Reality 11 March 2014
Slide 2: Overview
Overview Key Messages For personal use only What is Canning basin Centred gas? Our Program to deliver Technical Commercial Social Conclusions 1
Slide 3: Key Messages
Key Messages • The Canning has been identified with the largest For personal use only unconventional gas potential in Australia • >A$280 million spent over the last 5 years: – 11 wells with significant tight wet gas in Laurel – 3 recovered gas from DST & 1 from trial frac – Gas is high quality and l
Slide 4: Canning's geology has all the right ingredients
Canning’s geology has all the right ingredients The shear scale of the basin may have hid its potential For personal use only Valhalla NorthCanning 1 (2012) Fitzroy Trough Drilled in syncline Basin Yulleroo 4 (2013) 1170m Laurel 50Gas km Digital TD 3846m Derby Pressure 0.55 psi/ft Elevation
Slide 5: Laurel Gas: Pathway to Full Potential
Laurel Gas: Pathway to Full Potential Systematic , focused, aligning stakeholders & transparent For personal use only 2013 2014 2015 2016+ Feasibility Pre FEED FEED Development Capability Build • Gas Deliverability • Commercial Viability • FID Deliverability • EUR confirmation • Pilot Project Pl
Slide 6: 2014 Reservoir stimulation program
2014 Reservoir stimulation program ~ 2 hours to complete/frac followed by 3+ months flowback GL: 123m • 2014 4 well gas program Asgard 1 Stratigraphy RT: 128.9m For personal use only Conductor Depth 30m – 34-38 treatments – Yulleroo 3 – 5 stages 13&3/8” Casing – Yulleroo 4 – High Density Shoe 549m 5
Slide 7: WA's Domestic gas demand
WA’s Domestic gas demand Steady growth, with prices set by competition for LNG supply For personal use only • Increasing electricity demand W.A. domestic supply/demand balance PJ/annum – ideally suited to supply from the Laurel Wheatstone Domgas (possible) Gorgon Domgas Phase 2 (possible) Canning ga
Slide 8: Canning Gas offers potentially highly competitive and stable energy
Canning Gas offers potentially highly competitive and stable energy Cost component of delivery for CNG Cost component of delivery for LNG For personal use only Yulleroo to Broome Yulleroo to Pilbara Resource Project 35 35 30 30 Supply cost A$/GJ Supply cost A$/GJ 25 25 20 20 15 15 10 10 5 5 0 0 Disp
Slide 9: Dedicated project management
Dedicated project management Buru focused on world class application and proven expertise • Dedicated Team structure augmented by alliance with World class experts For personal use only • Halliburton – operations • MWH – water and environmental excellence • Monitored by independent review process Bu
Slide 10: TGS14 Environmental Plan Objectives
TGS14 Environmental Plan Objectives extensive regional flora, fauna and water baseline modelling • Flowing gas a sustainable rates For personal use only – measure decline curves and – composition analysis • Demonstrate Sustainability • Demonstrating flowback water can be : – recycled to minimise the
Slide 11: Bilby Monitoring Program
Bilby Monitoring Program For personal use only
Slide 12: Independent oversight
Independent oversight ensures commitment to best practice & transparency Water and Chemical Management Geological & Well integrity For personal use only Review Process Management Review Process
Slide 13: Buru: Committed to Transparency
Buru : Committed to Transparency ensuring the Traditional owners have independent expert advice Enables TO groups to independently assess risk on environment and social impact to confirm that For personal use only TGS14 program is Low Risk and incorporates best available techniques, management & mon
Slide 14: Environmental Science Cadets
For personal use only Environmental Science Cadets 11 Traditional Owner community members applied for Environmental Trainee cadetships to acquire formal qualifications and integrate their cultural knowledge with environmental monitoring and oversight.
Slide 15: TGS14 Assessment Schedule
TGS14 Assessment Schedule • OEPA determined that TGS14 does not require assessment For personal use only under Environmental Protection Act • 81 appeals lodged against this decision • Buru Energy preparing response to submissions and will lodge on 4 March, 2014 • Indicative timeframe for decision fr
Slide 16: The way forward
The way forward Unlocking value is achieved by aligning key stakeholders Strong and enduring Traditional Owner relationships For personal use only • Proactive Community engagement and transparent activities • Skills development, job creation and contracting • Sustainable business creation • Equitabl
Slide 17: Conclusions
Conclusions • Testing and evaluating the Canning gas is the single most important long term For personal use only energy impact project in WA in 2014. • The project has the potential to provide: – Potential long term energy security for the State, – Massive sustainable social & community benefits fo
Slide 18: Buru's vision: WA's own powerhouse
Buru’s vision WA’s own powerhouse PHASE 1 Oil Export: 4Q 2013-2025+ For personal use only Oil export facility, >1-2+mmbo/yr export Broome Wyndham Port Hedland PHASE 4 : LNG sales 2020+ New or gas sales to existing LNG plants along Dampier NW Shelf PHASE 2 Powering the North & Midwest: •Target 30 – 2
Slide 19: Important Notice and Disclaimer
Important Notice and Disclaimer Disclaimer For personal use only This document has been prepared by Buru Energy Limited ABN 71 130 651 437 (“Buru"). This presentation contains certain statements which may constitute "forward-looking statements". It is believed that the expectations reflected in thes