Slide 1: Investor Presentation
Investor Presentation Company update August 2019 Central Petroleum Limited (ASX:CTP)
Slide 2: Company snapshot
Relative share price performance – 12 months Company snapshot 150.0 140.0 130.0 Brisbane head office 120.0 Oil and gas E&P in Northern Territory (NT) 110.0 * and Queensland (QLD) 100.0 $135M market cap 90.0 99 employees 80.0 7.6 PJE of sales 2H FY2019 70.0 Aug-18 Nov-18 Feb-19 May-19 Aug-19 $39M sal
Slide 3: Northern Territory and Queensland assets
Northern Territory and Queensland assets Operations and *Reserve/ Production developments resource volume1 Mereenie gas (50%) 89PJ 2P 24TJ/d Palm Valley 26PJ 2P 9TJ/d Dingo 38PJ 2P 2TJ/d Range (pre-FID) 135PJ 2C n/a Exploration / appraisal • Over 200,000km2 exploration portfolio in underexplored and
Slide 4: Results delivered - 12-month highlights
Results delivered - 12-month highlights Mereenie and WM 26 and PV13 NGP connection Sales volume up Palm Valley appraisal wells to east coast gas 290% with strong facility upgrades completed market cash flow Progressed short- Positive Project Range Reduced debt by term and indicators from 135PJ 2C* $
Slide 5: Strong Q4 Financial Performance
Strong Q4 Financial Performance March June Metric Unit Comment Qtr. Qtr. Includes the gas over-lift at Mereenie and Sales volume PJE 3.7 4.0 purchased gas sold Includes revenue for pre-sale deliveries and Adjusted sales revenue1 $M 18.8 20.6 sales of purchased gas Uses ‘adjusted sales’ to better ref
Slide 6: Gas marketing process
Gas marketing process Current Status Timing Uncontracted gas available from Working to structure transport January 2020 (post IPL GSA) arrangements for various delivery points to achieve optimal ex-field pricing Competitive gas marketing process with Macquarie under a Joint Marketing Gas sal
Slide 7: Refinancing process
Refinancing process Existing debt facility Existing Debt Facility 85.0 Existing facility term ends September 2020 Accelerated debt repayments $81.7M outstanding debt as at 30 June 2019 80.0 Steady debt Reducing to $72.7m by 31 December 2019 amortisation 75.0 $ million Refinancing process under
Slide 8: Near-term growth activities
Near-term growth activities Convert 2C to 2P Forward plan for Accelerate FID for (Mereenie, Dukas-1 exploration Project Range Palm Valley, well Project Range) Medium-term Near-term exploration exploration strategy opportunity (play-based analysis) CENTRAL PETROLEUM LIMITED (ASX:CTP) 8
Slide 9: Range Gas Project
Range Gas Project CENTRAL PETROLEUM LIMITED (ASX:CTP) 9
Slide 10: Innovation creates new shareholder value
Innovation creates new shareholder value Background to ATP2031 (2017) Open tender for heavily contested prime CSG acreage in Qld’s Surat basin surrounded by Shell, Arrow and APLNG Emphasis on increasing domestic gas supply Central had deep in-house knowledge of Qld’s CSG landscape Central ha
Slide 11: Upside outcome at Project Range
Upside outcome at Project Range NSAI certified maiden 2C resources of 270PJ* (135PJ* net to Central) Test results exceeded expectations: average net coal thickness of 30m permeability in line with, or better than, expectations in all tests good permeability in deeper Taroom coals which can
Slide 12: High quality 2C Resources
High quality 2C Resources Project Range The Walloons Fairway is the most developed CSG play in Australia, with thousands of wells drilled to date Project Range 2C is “Development Pending” – the highest sub-class of Contingent Resources. This is defined as “A discovered accumulation where project
Slide 13: Range Gas Project in context
Range Gas Project in context Project Range acreage is 77km2 with 270 PJ 2C Resource* surrounded by major CSG developments and infrastructure Other nearby recently reported CSG projects1: The Ironbark Project2 recently traded at $231M with last reported reserves of 129PJ 2P, 192 PJ 3P The Atlas P
Slide 14: Final Investment Decision (FID)
Range Gas Project moving towards FID Calendar year 2019 2020 2021 2022 2023 Expl. Pilot 2P 2C 1st gas Gas at plateau drilling online booked Final Investment Decision (FID) Field activities Land access, development plan, Construction and commissioning FEED, tendering, long-lead items Native Title / P
Slide 15: Central well positioned to deliver Project Range
Central well positioned to deliver Project Range Key requirements Proven Management attribute Long and close relationship with IPL dating back to QGC in 2005. This is vital for IPL relationship strategic alignment and Joint Venture negotiations. Project planning and delivery Successfully delivered t
Slide 16: Dukas-1
Dukas-1 CENTRAL PETROLEUM LIMITED (ASX:CTP) 16
Slide 17: Dukas-1 update – current status
Dukas-1 update – current status Dukas-1 Targeting sub-salt section of the Seismic Amplitude Phanerozoic clastics Amadeus Basin on a large regional high with multi-Tcf potential Extremely high pressure Evaporites Neoproterozoic carbonates encountered at 3,700m just above and clastics the primary
Slide 18: Dukas-1 update – looking forward
Dukas-1 update – looking forward Yet to intersect the primary target - expected within the next few hundred metres Further drilling requires a larger capacity rig and blow-out preventor (e.g. 15,000psi) Recent testing and drilling data needs to be analysed before the JV determines a forward pl
Slide 19: Exploration as a growth engine for Central
Exploration as a growth engine for Central CENTRAL PETROLEUM LIMITED (ASX:CTP) 19
Slide 20: 12-month exploration / appraisal activity
12-month exploration / appraisal activity Palm Valley-13: successfully drilled in-field horizontal well and completed tie-in, flowing sales gas West Mereenie-26: successfully drilled horizontal well targeting the Lower Stairway 2 sandstone Dukas-1: drilled to 3,700m above primary target target
Slide 21: 6-month exploration team activity
6-month exploration team activity Near-term exploration Medium to long-term exploration Assimilated leads into a standardised Initiated and progressed ‘Play-Based’ portfolio structure portfolio analysis – 5 complex working petroleum systems across 170,000km2 Introduced a rigorous analysis and
Slide 22: Amadeus Basin – Indicative prospects maturity
Amadeus Basin – Indicative prospects maturity Medium and long-term Net to Central Risked Recoverable Volume prospects (3-5 years) that require detailed additional analysis not previously completed. Play Based Exploration methodology focusses on each separate working hydrocarbon system, overlayed by
Slide 23: Investment opportunity
Investment opportunity CENTRAL PETROLEUM LIMITED (ASX:CTP) 23
Slide 24: Compelling Investment Opportunity in proven operations and significant exploration upside
Compelling Investment Opportunity in proven operations and significant exploration upside Connected to Fast growing oil the east coast & gas producer market Near-field Low cost gas reserve growth production potential Extensive under- Strong free explored cashflow portfolio in proven basins Strong ma
Slide 25: Period of Positive Momentum
Period of Positive Momentum Assembled a highly experienced management team Delivered the Gas Acceleration Project Revenues up 290% Strong free cashflow for the first time Positive technical indicators at Dukas-1 multi-Tcf target well Booked 135 PJs of high quality 2C Resource located in
Slide 26: Proven Management team
Proven Management team Key company priorities Proven Management attribute Low cost, fit-for-purpose operations Existing assets have proven low-cost operating capabilities. Successfully delivered the GAP - strong experience in delivering Project Range delivery major projects. Management prior experie
Slide 27: Experienced Management Team
Experienced Management Team Leon Devaney | Managing Director & Ross Evans | Chief Operations Robin Polson | Chief Commercial Dr Duncan Lockhart | General Damian Galvin | Chief Financial Chief Executive Officer | BSc MBA Officer | GAICD MBA BE(Hons 1) Officer | BCom GDipAppFinInv Manager Exploration
Slide 28: Notice and legal disclaimer
Notice and legal disclaimer To the maximum extent permitted by law: This presentation is not intended for prospective investors and does not purport to provide all of the information an interested party may require in order to investigate the affairs of Central Petroleum Ltd (“Company”). This presen
Slide 29: Contact and Further Information
Level 7, 369 Ann Street Brisbane QLD 4000 Australia +61 (0)7 3181 3800 Contact and Further Information Investor and media enquiries: info@centralpetroleum.com.au Helen McCrombie at Citadel- MAGNUS T: +61 (0)2 8234 0103 M: +61 (0)411 756 248 www.centralpetroleum.com.au CENTRAL PETROLEUM LIMITED (ASX: