Africa Energy Corp. · TSXV:AFE
Africa Energy — Investor Presentation (January 2019)
19 slides from Africa Energy's investor presentation, January 2019
Slide 1: Near-Term High-Impact Creating Value Through Oil Exploration in Africa
AFRICA ENERGY CORP Near-Term High-Impact Creating Value Through Oil Exploration in Africa January 2019 The Odfjell Deepsea Stavanger is currently drilling the Brulpadda Prospect on Block 11B/12B in South Africa.
Slide 2: Corporate Profile
Corporate Profile Asset Footprint • Independent oil exploration company • Focused on under-explored regions in Africa • Backed by Lundin Group • Proven technical team from Energy Africa / Tullow Oil • Near-term high-impact exploration assets • Reviewing additional acquisition opportunities Share Own
Slide 3: Building an African Champion
Building an African Champion New Venture Focus Areas • Focused on frontier regions in Africa • Prefer offshore, non-operated minority interests MSGB Basin • Targeting stable countries with good commercial terms Cretaceous Rifts Net State Take & Participation by Country 0% 10% 20% 30% 40% 50% 60% 70%
Slide 4: Lundin Group of Companies
Lundin Group of Companies 12 companies Combined market cap $19 billion Core shareholder with global footprint Group market cap information shown in CAD as of December 31, 2018. Slide 4 Africa Energy | January 2019
Slide 5: Lundin Group in Africa
Lundin Group in Africa Lundin investment in Africa exceeds $5 billion Slide 5 Africa Energy | January 2019
Slide 6: Non-Executive Directors
Non-Executive Directors Ashley Heppenstall, Chairman • Advisor to the Lundin family and Director of several Lundin Group companies • Previously President and CEO of Lundin Petroleum AB Keith Hill, Director John Bentley, Director • President and CEO of Africa Oil Corp. • Chairman of Faroe Petroleum p
Slide 7: Senior Management
Senior Management Garrett Soden, President, CEO and Director • Senior Executive and Board Member with the Lundin Group for over a decade • Director of several listed natural resource companies • BSc from London School of Economics and MBA from Columbia Business School Jan Maier, Vice President Explo
Slide 8: Solid Track Record
Solid Track Record Four Basin Opening Discoveries in Africa NGAMIA FIELD JUBILEE & TEN FIELDS 2012 2007 - 2010 300 MMbbl (area believed to hold 750 MMbbl) 1 Bbbl (area believed to hold 1.6 Bbbl) Technical Team of Geologists and Geophysicists • Working together across Africa for ~25 years Ghana • Str
Slide 9: Asset Overview – Drill-Ready Prospects
Asset Overview – Drill-Ready Prospects Block 11B/12B, offshore South Africa • 4.9% effective interest • Operated by Total SA • Huge resource potential, high chance of success • Currently drilling the Brulpadda Prospect Block 2B, offshore South Africa • 90% participating interest • Operated by Africa
Slide 10: South Africa Overview
South Africa Overview Attractive Location / Fiscal Terms Active Players Fiscal Terms State Take < 30% Royalty: 0.5-5% Income Tax: 28% Tax benefit from cost uplift After Tax Profit Tax Deductible Costs: Including cost uplift, 200% of exploration and appraisal, 150% of capex and 100% of opex State and
Slide 11: South Africa Block 11B/12B
South Africa Block 11B/12B Huge Resource Potential with High Chance of Success • Five Cretaceous-age fans identified on 2D seismic • Petroleum system proven by nearby oil fields • Significant follow-on potential in success case Asset Summary AEC effective interest 4.9% Total (operator with 45%), Par
Slide 12: South Africa Block 11B/12B – Five Giant Oil Prospects
South Africa Block 11B/12B Five Giant Oil Prospects with Seismic Flat Spots Block 11B/12B Prospect Map 1,432m Paddavissie Fairway 3,420m Brulpadda-1AX ~3,850m well location A A’ 5 Paddavissie Prospects Deep Prospects Leads • Direct Hydrocarbon Indicators (DHI) on seismic data: Amplitude Variations w
Slide 13: South Africa Block 2B
South Africa Block 2B Proven Oil Basin • A-J1 oil discovery in 1988 flowed high-quality oil to surface (36° API) • Near-term low-risk exploration well planned updip from discovery • Analogous to Lokichar Basin (Kenya) and Albertine Graben (Uganda) Asset Summary AEC participating interest 90% (operat
Slide 14: South Africa Block 2B – A-J Graben Axial Delta Play
South Africa Block 2B A-J Graben Axial Delta Play Distance (m) Time (ms) • Proposed drilling location will test both Namaqualand and Gazania Prospects • Gazania Prospect up-dip of proven oil discovery (A-J1) • Porosity improvement inferred by seismic inversion work Slide 14 Africa Energy | January 2
Slide 15: Namibia Overview
Namibia Overview Attractive Location / Fiscal Terms History of Oil Industry Namibia is under-explored. Kudu Gas Field discovered in 1974 Mature oil source proven by HRT wells in 2013 attracted return of major oil companies Namibia has two major ports to service the oil industry Recent Country Entran
Slide 16: Namibia PEL 37
Namibia PEL 37 Significant Resource Potential • Four Cretaceous-age fans identified on 3D seismic • Mature source rock proven by nearby HRT wells • Further prospectivity defined to the south with 2D seismic Asset Summary Osprey Prospect AEC effective interest 10% (1) Tullow (operator with 35%), ONGC
Slide 17: Summary – Platform for Growth
Summary – Platform for Growth Near-Term, High-Impact Exploration • Block 11B/12B - Multi-billion-barrel potential • Block 2B - Oil basin with existing discovery • PEL 37 - Proven play with additional prospectivity Team of Oil Finders with Successful Track Record • Experienced board and senior manage
Slide 18: Cautionary Statements
Cautionary Statements This presentation has been prepared and issued by and is the sole responsibility of Africa Energy Corp. (the "Company") and its subsidiaries. It comprises the written materials for a presentation to investors and/or industry professionals concerning the Company's business activ
Slide 19: Thank You
Thank You CONTACT DETAILS Investor Relations - Canada Investor Relations - Sweden Sophia Shane Robert Eriksson Email: info@africaenergycorp.com Email: reriksson@rive6.ch Tel: +1 (604) 689-7842 Tel: +46 701 11 26 15 Creating Value through Oil Exploration in Africa www.africaenergycorp.com