Slide 1: Coal Seam Gas Exploration On The Border Of China
For personal use only ELIXIR ENERGY (ASX:EXR) Coal Seam Gas Exploration On The Border Of China September 2019
Slide 2: Important Notice & Disclaimer
Important Notice & Disclaimer For personal use only This document has been prepared by Elixir Energy Limited (ABN 51 108 230 995) (“Elixir”) in connection with providing an overview of its business to interested analysts/investors. This presentation is being provided for the sole purpose of providin
Slide 3: Company Overview
Company Overview For personal use only Exploring for Coal Seam Gas (CSG*) in the South of Mongolia • Focused on the 100% owned Nomgon CAPITAL STRUCTURE Current (million) IX Coal Bed Methane (CBM*) Production Ordinary Shares (ASX:EXR) 487.2 Sharing Contract (PSC) project in the Unlisted Options (ex 3
Slide 4: Board of Directors
Board of Directors For personal use only Highly experienced CSG team Richard Cottee Neil Young Stephen Kelemen Bayanjargal Non-Executive Chairman Managing Director Non-Executive Director Byambasaikhan Strategic Adviser • Former Managing Director • Former Business • Extensive technical and • Chairman
Slide 5: Nomgon IX CBM PSC
Nomgon IX CBM PSC For personal use only PSC gives long term and robust tenure over massive licence area • CBM PSC signed in September Exploration term 10 – 15 years 2018 with a 10 year+ exploration Production term 30 years + term Royalty 5 – 10 % • 100% ownership and no back-in Up to 40%. rights Gov
Slide 6: Export Scale Acreage Package
Export Scale Acreage Package For personal use only Extensive licence area supports highly favourable risk/reward profile Nomgon IX Gladstone GLNG Acreage Fairview 410km Roma 100km 100km West East Pipeline |6|
Slide 7: Regulatory Approvals Completed
Regulatory Approvals Completed For personal use only Significant work completed, exploration underway PSC executed APPROVALS SEQUENTIALLY Exploration Plan approved Baseline EIA approved SECURED Archaeological Study completed Paleontological Study completed Exploration licence awarded Detailed EIA &
Slide 8: 2019 Exploration Program
2019 Exploration Program For personal use only Timeline on track, history of delivery 2D Seismic 2019 Drilling Campaign Acquisition* (2 +1 wells) Q1 2019 Q2 2019 Q3 2019 Q4 2019 Various approvals Seismic Processing Gas Desorption secured & Seismic and Interpretation and Testing Planning complete 201
Slide 9: Seismic Acquisition Underway
Seismic Acquisition Underway For personal use only Targeted 2D seismic acquisition • Commenced seismic acquisition in August 2019 • Mongolian contractor Micro Seismic LLC has substantial experience in the region • Acquiring 100 - 130 km of 2D seismic over key CBM leads • Acquisition ~30 days, proces
Slide 10: Drilling Imminent
Drilling Imminent For personal use only Two core holes scheduled, option for a third • First well (Ugtaal-1) due to spud around the end of September/start of October • Mongolian contractor Erdenedrilling LLC currently sourcing long lead items • Program of 2+1 core-holes with: • Full HQ coring, desor
Slide 11: Next Door to China's Gas Market
Next Door to China’s Gas Market For personal use only China has a rapidly growing appetite for gas • The Chinese Government plans to increase gas demand by 300% over the next 15 years • China imports gas from every direction and seeks to continually diversify its sources of supply • The Nomgon IX CB
Slide 12: Multiple Market Opportunities
Multiple Market Opportunities For personal use only Export pipeline only one option for Nomgon PSC Gas Other market channels include: • Existing large-scale electricity transmission running through the PSC has large spare capacity • The massive Rio Tinto operated Oyu Tolgoi mine (inside the PSC) nee
Slide 13: Investment Highlights
Investment Highlights For personal use only Elixir has a highly favourable risk-reward profile • First CBM PSC in Mongolia, signed in 2018 with 10 year+ exploration term • High Quality Board & Management with history of success in CSG • Massive PSC with large prospective resources (Appendix 1) • Cap
Slide 14: Contact Us
For personal use only Contact Us INVESTORS & MEDIA Neil Young Managing Director neil.young@elixirenergy.net.au Phone +61 8 6001 6938 www.elixirenergy.net.au | 14 |
Slide 15: Appendix 1: Independent Prospective Resource Report
Appendix 1: Independent Prospective Resource Report For personal use only • First independent prospective resource report completed by ERC Equipoise Pte Ltd (ERCE) using 2018 SPE PRMS standards1 • Giant resource identified with Geological Risk likely to be significantly reduced following 2019 explor
Slide 16: Appendix 2: The Bowen and South Gobi Basins Compared
Appendix 2: The Bowen and South Gobi Basins Compared For personal use only PROPERTIES BOWEN BASIN SOUTH GOBI COMMENTS (QUEENSLAND) (MONGOLIA) Seam thickness Maximum single seam >55m found in multiple ü World class seam thickness and thickness 30m locations hence very high GIP per acre Gas content 7-
Slide 17: Appendix 3: Road to Contingent Resource Booking
Appendix 3: Road to Contingent Resource Booking For personal use only ACTIVITY OUTCOME RESOURCE CATEGORISATION UPON SUCCESS Geological Modelling 40 TCF unrisked) Recoverable Prospective Resource (Lead)1 COMPLETED (Best Case)* COS: 19% * Additional Data from Mineral More evidence of coal - COS could