Otto Energy Limited · ASX:OEL
Otto Energy — Investor Presentation (December 2009)
25 slides from Otto Energy's investor presentation, Dec 8, 2009
Slide 1: Otto at a Glance
For personal use only 8 December 2009 Manager of Company Announcements ASX Limited OTTO AT A GLANCE Level 6, 20 Bridge Street SYDNEY NSW 2000 • ASX‐listed oil and gas company with significant growth potential. • Production from Galoc Oil Field By E‐Lodgement provides cash flow. • Development of gas
Slide 2: Investor Presentation December 2009
For personal use only Investor Presentation December 2009 Paul Moore CEO
Slide 3: Disclaimer
For personal use only Disclaimer • This presentation does not constitute an offer to sell securities and is not a solicitation of an offer to buy securities. It is not to be distributed to third parties without the consent of Otto Energy Ltd (the “Company”). • This h presentation contains forward‐lo
Slide 4: Otto Goals
For personal use only Otto Goals To Build A Track Record Of Growth Delivery By: • Increasing reserves and production • Adding value around existing business • New development projects • Materiall (l (low risk) k) exploration l success To Deliver Shareholder Returns By: • Project execution with techn
Slide 5: Board of Directors and Senior Management
For personal use only Board of Directors and Senior Management RICK CRABB CHAIRMAN ((NON – EXECUTIVE)) RUFINO BOMASANG JAAP POLL IAN MACLIVER JOHN JETTER DIRECTOR DIRECTOR DIRECTOR DIRECTOR (NON ‐ EXECUTIVE) (NON ‐ EXECUTIVE) (NON ‐ EXECUTIVE) (NON – EXECUTIVE) PAUL MOORE CEO CRAIG MARTIN MATT ALLEN
Slide 6: Capital Structure and Shareholders
Capital Structure and Shareholders Capital Structure Major Shareholders For personal use only Million Molton Holdings 19.7% Fully paid ordinary shares 1,070.2 Santo Holdings 19.7% Unlisted i 1 li d Options 110.1 i Directors 5.7% % Performance shares2 2.5 Undiluted market capitalisation (at 7 cents p
Slide 7: Business Highlights: FY 2008/09
For personal use only Business Highlights: FY 2008/09 Details • First Oil ‐ October 2008 Philippines • Gross annualised volume 2.3 mmbbls G l Galoc • 3 mmbbls bbl gross produced d d tto 30 O October t b 2009 • Phase 2 development planning Philippines • Service Contract variations for SC50 & SC55 Exp
Slide 8: Reserves, Resources and Exploration Acreage
Reserves, Resources and Exploration Acreage Developing Reserves And Resources Prospect And Lead Inventory For personal use only Licence Working Area (km2) Prospects/ Interest Leads Philippines SC14C (Galoc) 18.78%1 163 3 SC50 (Calauit) 85% 1,280 8 MMboe SC51 80% 3,320 11 SC55 85% 9,000 16 SC69 70% 7
Slide 9: Project Risk v Value
Project Risk v Value For personal use only Philippines hl Valuations Assume Successful Exploration • Galoc ‐ oil production and reserves • SC55 deep deepwater ate exploration e p o at o • SC51 Argao stacked prospect • Calauit oil appraisal project Turkey • Lower risk and onshore • Gas exploration, a
Slide 10: Galoc Phase 1: Production Performance
Galoc Phase 1: Production Performance Interest For personal use only • 18.8% 18 8% economic interest via ia 31 31.4% 4% shareholding in Gross Daily Oil Production the operator, Galoc Production Company (GPC) Galoc Daily Oil Production 20,000 3,500,000 • Vitol is the other 68.6% shareholder in GPC pl
Slide 11: Galoc Phase 1: Facilities Upgrade Options
For personal use only Galoc Phase 1: Facilities Upgrade Options Option Comment Existing Facility Uptime is improving, but not meeting design criteria Mooring Upgrade Higher uptime than existing configuration FPSO Replacement Highest uptime potentially via permanently moored vessel Mooring Upgrade ?
Slide 12: Galoc Phase 2: Development Options
For personal use only Galoc Phase 2: Development Options Target Galoc Development Schematic • To increase 2P reserves by ~ 5mmbbls (gross) and access Galoc contingent resources • Likely 2 new wells ~4,000 bopd each Galoc 3ST1 Galoc‐3ST1 Galoc 4 Galoc‐4 Galoc 2 Galoc‐2 Galoc North Exploration Prospec
Slide 13: Turkey Gas Development
Turkey Gas Development Interest Edirne Permit For personal use only • 35% working interest • Operator Transatlantic Technical • 8 successes from 8 wells to underpin development • Last 12 months drilled 3 successful exploration wells and flow tested 4 • 3D seismic acquisition in progress • Identify n
Slide 14: Turkey Gas Development: Phase 1 & Phase 2
For personal use only Turkey Gas Development: Phase 1 & Phase 2 Phase 1 Phase 2 • Plant construction commenced October 2009 • Phase 2 appraisal/ exploration to commence after seismic acquisition and Phase 1 production • Plateau rate 10‐14mmscf/d commences • No capital investment in gas plant • Goal
Slide 15: Philippines: Exploration & Static Resources Update
Philippines: Exploration & Static Resources Update Major Upside Potential Across Multiple Licences For personal use only Permit Prospects & Opportunities Otto Working Philippines Permits Interest SC55 Marantao Prospect, Hawkeye 85% and other leads SC51 Argao 1 Exploration well 80% SC69 Multiple lead
Slide 16: Philippines Exploration: SC55
Philippines Exploration: SC55 Interest SC55 Prospects And Leads For personal use only • 85% working interest Exploration Program SW Palawan • Highly productive geologic trend • Numerous promising closures SC 55 • Recorded and interpreted 1,500 km regional 2D in previous exploration phase • Text‐book
Slide 17: Philippines Exploration: SC51 and SC69
Philippines Exploration: SC51 and SC69 SC51 & 69 Prospects and Leads SC69 For personal use only • 70% working interest SC69 ‐ Reef Complex • Proven petroleum system • Large reef structures SC51 • 3,000 km 2D seismic reprocessed • 2D seismic acquisition in H1 2010 • Numerous leads < 800m water SC69 •
Slide 18: SC51 South: The Argao Prospect
For personal use only SC51 South: The Argao Prospect....targeting 100 MMbbls DHI’s Suggest Gas cap Potential Oil Leg 8 levels that could EACH contain 40 - 300 MMbbls in Gas place C Cap E‐W SECTION OVER ARGAO
Slide 19: Philippines Static Resource: SC50 – Calauit and Calauit South
For personal use only Philippines Static Resource: SC50 – Calauit and Calauit South Interest Calauit Discoveries, Discoveries Prospects And Leads • 85% working interest • Calauit discovery in 85m water depth Dynamic Appraisal Opportunity • Oil fields discovered in 1991 • Flowed ~7,000 bopd gross • 2
Slide 20: Year Ahead
For personal use only Year Ahead Production in 2010 Forward Activities • Galoc 0.4 mmbbls (net) • Turkey 1.3 Bcf (0.23 mmboe) (net) Development • Galoc l production d upgrade d • Commit to Galoc Phase 2 Exploration + static resources • Turkey Phase 2 exploration • Philippines farm downs • Philippine
Slide 21: Summary and Outlook
For personal use only Summary and Outlook • Expect improved year ahead, ahead debt free • Galoc Phase 1 upgrade to improve uptime • Galoc Phase 2 commitment to access contingent resources and extend field life • Turkey production startup • Cashflow from both Galoc and Edirne to fund business growth
Slide 22: Philippines - Additional Exploration Details
For personal use only Philippines ‐ Additional Exploration Details 12/7/2009 21
Slide 23: Hawkeye Lead and NW Borneo Trend
Hawkeye Lead and NW Borneo Trend Possible GOC ~2800 mSS ~25 km2 For personal use only Lowest Closing g Contour Possible OWC ~2880 mSS ~38 km2 Upside P ibl OWC ~3000 Possible 3000 mSS SS ~59 km2 Hawkeye Hawkeye Hawkeye (Otto) SC56 (Exxon‐Mobil) 20‐600 MMbbls 20‐600 MMbbl Dabakan‐1 2009 ?Oil Discovery
Slide 24: Argao Prospect – in active petroleum system
For personal use only Argao Prospect – in active petroleum system Vilaba Gas Discovery SC51 North Maya Field Libertad Field Analogue – Tembungo Field 1971 Esso Discovery Argao 40‐350 MMbbls Potential Resource POS 20% Toledo Field Malolos Argao Lumpan/Clemtom Field Malabuyoc/South Cebu SC51 South 80
Slide 25: SC69 Numerous Plays in active petroleum system
SC69 Numerous Plays in active petroleum system Top Carbonate (Barili) Depth Structure Map For personal use only Vilaba Gas Discovery SC69 Maya Field Lampos Lib t d Fi Libertad Field ld Lampos Toledo Field Malolos Lumpan/Clemtom Field Malabuyoc/South Cebu