Block Energy PLC · LSE:BLOE
Block Energy — Investor Presentation (February 2023)
18 slides from Block Energy's investor presentation, February 2023
Slide 1: Realising Georgia’s Energy Potential
Realising Georgia’s Energy Potential February 2023 | Corporate Presentation 1
Slide 2: Disclaimer
Disclaimer This presentation (“Presentation”) is being supplied to you solely for your information. The Presentation has been prepared by, and is the sole responsibility of, Block Energy plc (the “Company”, “Block”, or “Block Energy plc”). The directors of the Company have taken all reasonable care
Slide 3: Executive Summary
Executive Summary BLOCK ENERGY ASSETS COMPANY OVERVIEW Independent oil & gas company with assets offering material production and cashflow-led growth opportunities. Russia N 35 legacy & new wells producing across 4 production sharing Georgia contracts. Western Route Pipeline (BTS) 2C gross resources
Slide 4: Timeline
Timeline 3D seismic integration & reinterpretation (XIB & XIF) complete Integration of JKT-1Z WR – Gas Production 4 fields, +30 wells, Re-entry & Sidetrack WR-B01 ST spud Pre Feed BTC pipeline Facility Installation 120 employees Field tie back complete WR-16aZ Appointment of Development WR-38Z dedic
Slide 5: Current Asset Focus
Current Asset Focus CURRENTLY PRODUCING FIELDS CURRENT ASSET FOCUS Currently producing from 35 wells across six fields within four licenses. Norio Satskhenisi The Company’s operational strategy comprises: Project I focused on West Rustavi/Krtsanisi development and Patardzeuli supported by independen
Slide 6: Project I: West Rustavi-Krtsanisi Oil Development
Project I: West Rustavi-Krtsanisi Oil Development KRT-45_ST KRT-39 N JKT-01Z Block XIB – Krtsanisi JKT-BB Block XIF – West Rustavi WR-34_BS Project l is focussed on the development of the Middle Eocene WR-34_ST reservoir of the West Rustavi-Krtsanisi field. Phase I WR- Development B01Za WR- Area B01
Slide 7: Unlocking the Reservoirs – Geoscience Led Approach
Unlocking the Reservoirs – Geoscience Led Approach Significant subsurface work undertaken in 2022 to support understanding of the complex fractured reservoirs associated with Project I development. Integration and full reinterpretation of XIF & XIB 3D seismic surveys complete. 3D seismic attributes
Slide 8: Full Field Development
Full Field Development 7 Eight development areas identified from the subsurface work. 5 8 4 1 Independent reserve report only applies to area 1. 3 2 Multiple wells per area planned to 6 Initial Development unlock contingent resources Area 1 volumes. JKT-01z wellhead West Rustavi / Krtsanisi Full Fie
Slide 9: Project II: Patardzeuli Oil Re-development
Project II: Patardzeuli Oil Re-development Project II is focussed on the re-development of the Middle Eocene reservoir of the Patardzeuli field from which production of 55,000 bopd suddenly ceased in the mid-1980’s. The large legacy well stock provides ample opportunity for drilling low-cost infill
Slide 10: Project III: Lower Eocene and Deeper Gas Monetization
Project III : Lower Eocene and Deeper Gas Monetization Project III addresses the monetisation of a large undeveloped Gas Well Productivity PAT-110 gas resource the Lower Eocene, Palaeocene and Upper SAM-003 LE: 5.2 MMscf/d Gas shows: blow-out N Cretaceous reservoirs of XIB and XIF. PAT-107 ME: Middl
Slide 11: Project IV: Exploration Potential
Project IV: Exploration Potential Exploration of the extensive potential in the Company’s portfolio, including in licence XIB and exploration licence IX. Farmout with Georgia Oil & Gas Limited (GOGL) in December 2022 to progress exploration opportunity at no cost to Block. Farmout details include: B
Slide 12: Operational Capability
Operational Capability Block has the operational capability to execute all three Projects. Block operates in Georgia through its 100% owned subsidiary, Block Operating Company (BOC). BOC is a fully-staffed operational company with subsurface, surface, engineering, financial, commercial and HSE staff
Slide 13: Commercialisation
Commercialisation Block has operated in Georgia since 2017. Business-friendly environment with a supportive government. Current effective tax rate of c. 25% on Block’s XIF & XIB licences. Oil sales currently to local buyers on Brent-linked contracts sold domestically contributing to local energy nee
Slide 14: Team
Team Fully staffed operating E&P company. Staff based in Georgia & UK. 82 operational & drilling 3 electrical engineers 6 mechanics 3 logistics & procurement 2 HSE 7 subsurface 7 finance 2 legal 2 government/community relations 1 HR 5 administration Laboratory, workshops, warehouses and engineering
Slide 15: Board & Senior Management
Board & Senior Management Paul Haywood – Chief Executive Officer Dr. Ken Seymour – Chief Operating Officer Paul is the founder of Block Energy and has more than 12 years experience in the Dr. Seymour has over 40 years of industry experience as a drilling engineer, drilling Georgian oil and gas secto
Slide 16: Block Energy ESG
Block Energy ESG Ethical, Safe Operations with no damage to People, Flora and Fauna while maximizing all stakeholder value. Environmental Social Governance Zero planned flaring/venting of gas. Stakeholder alignment. HSE is primary driver of all operational decisions. Commercialisation of associated
Slide 17: Georgia Operating Environment
Georgia Operating Environment Stable political regime with pro-business environment. Excellent relations with governmental authorities. Modern and effective regulatory governance. Levan Davitashvili, Minister of Economy and Sustainable Development of Georgia, Giorgi Favourable fiscal terms. Tatishvi
Slide 18: Summary
Summary ✓ Strong asset base consisting of existing production, near-term development, appraisal and exploration across five PSCs within central Georgia. ✓ Four-project approach focused on increasing cashflows, field redevelopments, a strategically significant gas appraisal campaign and exploration.