Otto Energy Limited · ASX:OEL
Otto Energy — Shareholder Meeting (November 2021)
16 slides from Otto Energy's shareholder meeting presentation, Nov 17, 2021
Slide 1: AGM FY2021/22 Update
AGM FY2021/22 UPDATE Delivering value ASX: OEL
Slide 2: Disclaimer and important notices
Disclaimer and important notices Forward Looking Statements This presentation contains "forward-looking statements" that are subject to risk factors that are associated with oil and gas businesses. It is believed that the targets reflected in these statements are reasonable but they may be affected
Slide 3: Our focus
Our Experienced and proven management focus Gulf of Mexico onshore/offshore conventional oil and gas player Disciplined strategic and fiscal strategy: – An excellent base business (3 quality fields) – Invest to optimize existing fields – progress resources to production investment to accelerat
Slide 4: Corporate snapshot
Corporate snapshot (ASX: OEL) CAPITAL STRUCTURE LIQUIDITY POSITION SHARE REGISTER COMPOSITION Shares on issue 4,795 M Cash (30 Sept 2021) * US$13.7 M Corporate/strategic 49% Share price (15 Nov 2021) A$ 0.014 PANR stock (15 Nov 2021) ** US$3.9 M Retail 47% Options and share rights 96 M Debt - drawn
Slide 5: FY 2021 highlights
LIQUIDITY FY 2021 $30.1m $29.1m highlights Net revenue 31% Adjusted EBITDAX 74% CASH FLOW $18.9m $15.2m Net operating cash flow 80% Net operating cash flow 2200% (pre-exploration) (post exploration) EARNINGS 3,032 $39.7m Production (boe/d) 17% Total WI revenue 38% at 56% liquids 5
Slide 6: FY21 operational and financial highlights
FY21 operational and O P E R AT I N G S U M M A R Y financial highlights 17% Increase in production to 97% Operational reliability – 97% 62% / 28% Reduction in field and non-field costs 3,032 boe/d at 56% liquids uptime at SM 71/Lightning FINANCI AL SUMMARY 19% Gearing ratio 39% Adjusted ROACE $17.9
Slide 7: FY 21 operating summary
FY 21 operating summary Controlling costs, improving cash flow A key strategic initiative has been to reduce the Company’s cost base and ensure an efficient yet effective cost profile, relative to Otto peers The Company has reduced its G&A costs per boe by 28% in the past year to 30 June 2021 by
Slide 8: FY 21 financial summary
FY 21 financial summary Strengthening the balance sheet and managing risk Otto’s objective has been to maintain a simple capital structure, providing the Company with valuable optionality for discretionary capital Effective net debt of US$0. When coupled with the improved energy price environmen
Slide 9: FY 21 liquidity summary
FY 21 liquidity summary US$(‘000), except ratios 30 June 2021 30 June 2020 30 June 2019 Key metrics – assets Cash 11,100 16,551 7,383 Accounts receivable 3,883 2,111 3,311 Marketable securities 8,129 - - Total current assets 23,550 26,942 11,932 Balance sheet – liabilities Accounts payable 1,675 1,9
Slide 10: Strategic drivers
Strategic drivers Pillar 1 Pillar 2 Pillar 3 Excellence in base asset Maximising organic growth Future value Initiatives delivery opportunities Otto manages a disciplined The Company has established a The Company seeks to create assessment process and utilises portfolio non-operating interests in mu
Slide 11: Optimising captured resources
Optimising captured resources Creating value through leveraging organic options 1P Reserves: 4,122 MBoe 2P Reserves: 6,477 MBoe 3P Reserves: 8,448 MBoe Six wells (five are PDP Adds one additional well Adds one additional well and one, Green #3, is a (Green #4) plus 2,308 Boe (Green #5) plus 2,
Slide 12: Pipeline of opportunities
Pipeline of opportunities Otto has an exciting pipeline of pending and potential activities 2021 2022 Q3 Q4 Q1 Q2 Q3 Q4 SM 71 Low-cost production Lightning Low-cost production Pillar 1 GC 21 Low-cost production US Gulf CG 21 DTR-10 Recomplete Coast Lightning Green 3, green 4 possible Pillar 2 SM 71
Slide 13: Conventional oil and gas focused – inorganic growth
Conventional oil and gas focused – inorganic growth Evaluating lower risk, higher potential, multi-well exploitation Onshore / offshore optimized portfolios being marketed Privately held through mid-sized public entities aggressively seeking partnerships to leverage risks Availability of oppor
Slide 14: Otto performance objectives
Otto performance objectives Maximise our base business while creating future value INORGANIC GROWTH BASE AND ORGANIC GROWTH OPTIONS OPPORTUNITIES PERFORMANCE OBJECTIVES Facilitated by underlying base business Base business + organic options (3-year group targets) Key targeting criteria Base business
Slide 15: Otto Energy: delivering value
Otto Energy: delivering value 1 The GoM 4 External assessment A mature, opportunity-rich environment Creating growth access through rigorous inorganic opportunities evaluation 2 Our base A diverse, liquids-rich, high-margin 5 Shareholder returns portfolio Against a highly disciplined approach to cap
Slide 16: This presentation has been approved for release by the Board of Otto Energy Limited
This presentation has been approved for release by the Board of Otto Energy Limited Address Ground Floor, 70 Hindmarsh Square South Australia SA 5000 Australia Two Allen Centre 1200 Smith Street Suite 1080 Houston TX 77002 United States of America Contact Info Email: info@ottoenergy.com Web: www.ott