88 Energy Limited · ASX:88E
88 Energy — Investor Presentation (April 2016)
19 slides from 88 Energy's investor presentation, Apr 11, 2016
Slide 1: Project Icewine North Slope of Alaska Investor Update April 2016
PROJECT ICEWINE NORTH SLOPE OF ALASKA For personal use only INVESTOR UPDATE APRIL 2016 PHASE I COMPLETE => PHASE II COMMENCED: ICEWINE#2H APPRAISAL WELL
Slide 2: Project Icewine: World Class Location, World Class Prize
Project Icewine: World Class Location, World Class Prize For personal use only Alaskan Armstrong/Repsol Explorers: 1.4b barrels (2C) CY2015#4 Kuparuk River Prudhoe Bay 3.5b barrels#3 15b barrels#3 Alpine 0.7b barrels#3 BP Caelus ConocoPhillips ENI Repsol 70 & 148 Great Bear ** PROPOSED ExxonMobil IC
Slide 3: Company Snapshot
Company Snapshot Corporate For personal use only 88 Energy Limited Current Board and Management Burgundy Xploration (ASX, AIM: 88E) JV Partner Shares on Issue 3,177m Michael Evans Non-Exec Chairman Paul M. Basinski, Founder & CEO Options on Issue 548m David Wall Managing Director Michael R. McFarlan
Slide 4: Project Icewine Highlights
Project Icewine Highlights For personal use only PREMIER ACREAGE POSITION IN STRATEGIC TIER 1 LOCATION • 272,422 gross acres (174,000 acres subject to formal award ~mid 2016) • First acres leased by Burgundy Xploration in 2012, expanded to ~98,182 acres in 2015 in Joint Venture with 88 Energy • Acre
Slide 5: Project Icewine Timeline
Project Icewine Timeline For personal use only Project Generation to Fully Funded Successful Evaluation Driving Drilling in only 12 Months Partnering / Funding for Next Phase Acquired rights Funding / Multiple fund raisings G&G work and to additional partnering for for A$26m initial leasing Contract
Slide 6: What Makes a Top Tier Liquids-Rich Resource Play?
What Makes a Top Tier Liquids-Rich Resource Play? For personal use only FLOW RATE IS KEY DRIVER–AHEAD OF OIL PRICE AND COST WHAT CHARACTERISTICS DETERMINE FLOW RATE? HOW DOES ICEWINE MEASURE UP TODAY? VISCOSITY PRESSURE Measure of how easily hydrocarbon Reservoir energy that improves well can travel
Slide 7: HRZ Liquids Rich Play: Phase I Formation Evaluation - Complete
HRZ Liquids Rich Play: PHASE I Formation Evaluation - COMPLETE • For personal use only Whole core evaluation pivotal to understanding ICEWINE #1: POST DRILL HRZ EVALUATION HRZ shale oil play 2015 2016 • Methodology requires multi-disciplinary Q4 1Q 2Q analysis and data integration including: o Geoch
Slide 8: Icewine#1 Evaluation - By the Numbers
Icewine#1 Evaluation - By the Numbers For personal use only Metric (Unit) Result Comment / Comparison Thermal Maturity Volatile Oil High rate, recovery, & performance GRI Matrix Permeability >10X Eagle Ford Very good for volatile oil resource plays Gross / Net Pay 197’ / 186’ Tier 1 net to gross rat
Slide 9: Project Icewine HRZ Prospective Resource: Independent Assessment
Project Icewine HRZ Prospective Resource Independent Assessment For personal use only D&M Project Icewine Prospective Recoverable Resource from HRZ – Liquids Only* P90 P50 P10 Mean Pg# Gross Wet Gas /Condensate Window (mmbbl) 210 623 1,524 787 60% Gross Volatile Oil Window (mmbbl) 45 150 401 198 60%
Slide 10: Project Icewine HRZ Prospective Resource: Internal Assessment
Project Icewine HRZ Prospective Resource Internal Assessment For personal use only 2.6 Billion Barrels Gross Mean Prospective Recoverable Resource from HRZ - Liquids Only P90 P50 P10 Mean Pc# Gross Liquids Resource (mmbbl) 1,594 2,471 3,830 2,602 50% Net Attributable to 88 Energy (mmbbl) 1,234 1,913
Slide 11: Phase II - Icewine#2H Appraisal Well
Phase II - Icewine#2H Appraisal Well Horizontal Multi Stage Frac For personal use only Icewine#2H Overview • Objective to prove production potential of HRZ reservoir • Permitting and planning commenced February 2016 • Scheduled for completion by year end • Design scheduled for completion 2Q2016 • Fo
Slide 12: Icewine#1 Drilling Summary
Icewine#1 Drilling Summary For personal use only • Well spudded on October 22nd 2015 (<7 days behind schedule) • P&A completed January 2nd 2016 • 73-days on well; planned 60 • Camp operations spanned 110-days • Total Well Depth = 11,600’ MD • The shale coring program attempted 215-feet & recovered 9
Slide 13: Project Icewine 2D Seismic
Project Icewine 2D Seismic For personal use only • 750km 2D seismic acquisition commenced March 2016 • Co-funded via Bank of America Credit Facility (secured against 75% State of Alaska rebate) • 25% complete as at 7th April 2016 • Designed to: • De-risk drilling of horizontal section at Icewine#2H
Slide 14: Summary and Next Steps
Summary and Next Steps For personal use only Summary: • Phase 1 Complete • Indicating Icewine #1 cored a new resource play in the HRZ shale • Large resource potential 985mmbbl to > 2.6 billion barrels • Phase 2 Has Commenced • Flow test HRZ shale via horizontal well with multi stage frac => Icewine
Slide 15: Board and Key Management
Board and Key Management For personal use only Mr David Wall – Managing Director Mr Michael Evans – Non-Executive Chairman 4 years experience in strategy and planning at Woodside Extensive executive and Board level experience Petroleum. with publicly listed companies in the natural 6 years experienc
Slide 16: Contacts
Contacts For personal use only Managing Director: Brokers: David Wall Australia dwall@88energy.com Hartleys Ltd As Corporate Advisor: Mr Dale Bryan + 61 8 9268 2829 Registered Office: Level 1, 83 Havelock St, West Perth United Kingdom WA 6005 Cenkos Securities Plc As Nominated Adviser and Broker: Mr
Slide 17: D&M Independent Assessment - Tables
D&M Independent Assessment - Tables For personal use only Cautionary Statement: The estimated quantities of petroleum that may be potentially recovered by the application of a future development project relate to undiscovered accumulations. These estimates have both an associated risk of discovery a
Slide 18: Disclaimer
Disclaimer For personal use only The information contained in these slides has been prepared by 88 Energy Limited (the “Company”). The information contained in these slides, the presentation made to you verbally and any other information provided to you (in writing or otherwise) in connection with t
Slide 19: Disclaimer (cont.)
Disclaimer (cont.) For personal use only Any failure to comply with this restriction may constitute a violation of securities laws. No action has been or will be taken by the Company that would permit a public offer of its securities in any jurisdiction in which action for that purpose is required.