Pure Cycle Corporation · NASDAQ:PCYO
Pure Cycle — Investor Presentation (June 2014)
19 slides from Pure Cycle's investor presentation, June 2014
Slide 1: Pure Cycle Corporation
Pure Cycle Corporation a water and wastewater service company Investor Presentation June 2014
Slide 2: Forward-looking statements
Statements that are not historical facts contained in this Presentation are forward looking statements that involve risk and uncertainties that could cause actual results to differ from projected results. The words “anticipate,” “believe,” “estimate,” “expect,” “plan,” “intend” and similar expressio
Slide 3: Fiscal Year 2013 Revenues by Segment
Fiscal Year 2013 $1,790,000 Municipal Water & Wastewater Services 2013 Revenues = $218,700 Drilling and Hydraulic Fracturing Water 2013 Revenues = $325,700 Agricultural Leasing –2013 Leasing Revenues $1,241,900 Oil Bonus‐2014 Revenues $1,243,440
Slide 4: Municipal Water & Wastewater Services
Municipal Water & Wastewater Services 258 Water SFE’s 157 Wastewater SFE’s Total Revenues 2013 $218,700
Slide 5: Sky Ranch and Arapahoe County Fairgrounds
Sky Ranch Targeted “Export Water” service area Pure Cycle Facilities ECCV Facilities Leased (2032) SWMSA WISE Facilities (proposed) Arapahoe County Fairgrounds
Slide 6: Service Area Context Map
Pure @ycle Corporation Service Area Municipal Water & Wastewater Services Water Infrastructure Supply Efficiency (WISE) ‘south Metro Regional Water Gupply Context Mep
Slide 7: Colorado Housing Market 2014
During 2014, the housing market in Colorado increased over the 2013 figures: Housing Starts • Annualized Starts in Q1 2014 up 10% over Q1 2013 in the Denver market. • Inventory of finished homes is 1.3 month of supply for detached homes. • Builder sales contracts increased 7% from Q1 2014 over Q1
Slide 8: Ag Leasing Farm Revenues for FY 2013
Ag Leasing –Farm Revenues for FY 2013 generated $1,241,900
Slide 9: Pueblo and John Martin Reservoir Land
• We own 16,700 acres of land in the southeast portion of Colorado. • Divert through the Fort Lyon Canal 60,000 acre feet annual (own 24% of the Fort Lyon Canal shares) • Lease our land and water to 80 farmers, generating approximately $1,241,900 in 2013. Pueblo John Martin Reservoir Red boxes indic
Slide 10: Farm Crops and Lease Structure
• We own 16,700 acres of land in the southeast Colorado. • Farm crops vary year to year predominately wheat based crops. • Farm Leases are predominately Cash Lease 90%, Crop Share (80/20) 10%. Alfalfa Corn Sorghum Wheat Fallow Wheat 5% Alfalfa 45% Sorghum 10% Corn 16%
Slide 11: Drilling and Hydraulic Fracturing Water
Drilling and Hydraulic Fracturing Water 2013 Revenues: $325,700 2014 Q1 Revenues: $290,235
Slide 12: Core Wattenberg and Wattenberg South
Core Wattenberg Oil Wells 17 wells through 2013 O&G Lease area of interest 130,000 Net Acres Wattenberg South
Slide 13: Oil & Gas Permits
Pure Cycle Corporation Oil & Gas Permits Service Area in Southern Wattenberg Niobrara More than 200 square miles in Adams and Arapahoe Counties Approximately 25 Wells Drilled to date Service Area Lowry Range Sky Ranch Two Operating Rigs
Slide 14: O&G Leases
O&G Leases • Sky Ranch (640 ac.) entered into O&G Lease March 2011 for $2,000 per acre or $1,243,400 cash payment in 2011; Recognized $416,000 of this in income in 2013. Renewal of the Lease February 18, 2014 received $1,243,400 extension for 2 yrs. • Rangeview (42 ac.) entered into in. E&P extended
Slide 15: Oil & Gas Lease at Sky Ranch
Pure Cycle Corporation Oil & Gas Lease at Sky Ranch (Potential Well sites/wells 8 wells/ section 80 ac. spacing) osi*
Slide 16: Sky Ranch Reservoir Construction
Pure Cycle Corporation Sky Ranch (Watetand Reservoir Construction)
Slide 17: Expansion of Water Infrastructure
Pure Cycle Corporation Expansion of Water Infrastructure Water Supply & Storage Added Water Supply and Storage Facilities at Sky Ranch Added additional Water Supply at Oil Well Frack Setup Lowry Water Supply Oil Well Lowry Range Lowry Range Sky Ranch
Slide 18: Sky Ranch O&G Lease and Royalty
Entered into O&G Lease agreement and Surface Use Agreement on March 10, 2011. We received renewal payment of approximately $1.24 million to extend the Lease until March 2016, and will recognized income over two years. We will receive a 20% royalty on future gross production revenues. Two Sky
Slide 19: Contact Information
Phone : (303) 292-3456 Fax : (303) 292-3475 Email: info@purecyclewater.com Website: www.purecyclewater.com Address: 1490 Lafayette Street, Suite 203, Denver, CO 80218 Ticker : “PCYO” traded on the NASDAQ Capital Market This presentation should be read in conjunction with the Company’s la