Buru Energy Ltd · ASX:BRU
Buru Energy — Investor Presentation (August 2017)
18 slides from Buru Energy's investor presentation, Aug 14, 2017
Slide 1: Entitlement Issue: Accelerating the development of the Ungani Oilfield
For personal use only Entitlement Issue: Accelerating the development of the Ungani Oilfield 14 August 2017
Slide 2: Executive Summary
Executive Summary ▪ Buru is an ASX listed oil and gas exploration and production company solely focused on the Canning Superbasin in Western Australia For personal use only ▪ Operator and generally 100% holder of strategic acreage position of gross ~22,100 sq kms / 5.4 million acres (4.6 million net
Slide 3: Corporate Snap Shot
Corporate Snap Shot Capital Structure (Pre-Rights Issue) Share Register (pre-rights) For personal use only Formed 2008 Ticker ASX:BRU Index S&P/ASX All Ords Shares on Issue ~340 million Share Price ~$0.17 Market Cap ~$58 million Cash on Hand ~$13.1 million (31 July 17) Board and Management 12 Month
Slide 4: Buru transformed
Buru transformed The old Buru: For personal use only X Largely unrecognised by the market X Not producing X Focused on long term gas project X Near term debt The four steps to a new Buru: ✓ Asset transaction with Mitsubishi that gives control and 100% of Ungani Oilfield and western Canning explorati
Slide 5: Buru – Driving the development of the Canning Basin
Buru – Driving the development of the Canning Basin ✓ 100% ownership of oil production and exploration permits provides flexibility following acreage swap transaction with Mitsubishi For personal use only ✓ Immediate low risk development opportunity at Ungani Oilfield to significantly increase resou
Slide 6: Ungani Oilfield – Cornerstone Asset
Ungani Oilfield – Cornerstone Asset ▪ Ungani Oilfield in early stages of production with 2 producing wells on natural flow towards initial 1,250 bopd target with pathway to 3,000 bopd target For personal use only ▪ Independent review by GCA * confirms resources (estimate made after ~600,000 barrels
Slide 7: Ungani Overall Development Program Phases
Ungani Overall Development Program Phases For personal use only Current Project Phase Phase 3 Phase 4 Hold production Production Rate Increase production to 3,000 bopd in first half plateau at 3,000 bopd Phase 2 2018 Production Increase production Target 1,250 bopd to 1,500 bopd PROJECT PHASE Drill
Slide 8: Ungani Accelerated Development Program – Ungani location
Ungani Accelerated Development Program – Ungani 4 location For personal use only 8
Slide 9: Ungani Accelerated Development Program – Ungani
Ungani Accelerated Development Program – Ungani 4 For personal use only ▪ Structurally updip (in time and depth) and 500m to the south of Ungani 1 ▪ Interpreted “attic” location will recover undrained oil as well as oil from main field closure ▪ 3D seismic mapping of field with depth conversion prov
Slide 10: Ungani Accelerated Development Program – Ungani sidetrack
Ungani Accelerated Development Program – Ungani 3 sidetrack Ungani 3 ▪ Initial Ungani 3 results in 2014 very anomalous with thinner shale seal For personal use only and apparent poor reservoir, but oil column similar to Ungani main field ▪ Well produces oil at low rates ▪ Detailed review of 3D seism
Slide 11: Exploration Prospect Portfolio
Exploration Prospect Portfolio Extensive high prospectivity portfolio For personal use only ▪ Proven oil play system over 150 kms in 100% acreage ▪ Range of prospect sizes up to world class potential ▪ Range of play types from proven Ungani Dolomite and Reeves discovery in UFW to new high potential
Slide 12: Selected Ungani Dolomite Prospects
Selected Ungani Dolomite Prospects Well defined Ungani Dolomite prospects Kilto For personal use only ▪ 50km west of Ungani, and 50km from Broome ▪ Defined on Kurrajong 3D Seismic (also 2D seismic data) ▪ Close to oil source kitchen ▪ Large follow-up trend to the west Rafael ▪ 50km to the east of Un
Slide 13: Gas and Unconventional Oil Resources
Gas and Unconventional Oil Resources Gas Resources (conventional and unconventional) For personal use only ▪ Buru has 100% of the Laurel Formation tight wet gas resources in Central, Northern and Western provinces ▪ Western Gas Province includes the Yulleroo Gasfield that has appraisal drilling, fra
Slide 14: Equity Raising Details
Equity Raising Details ▪ 1 for 5 non-renounceable entitlement offer to raise approximately $10.2 million before costs For personal use only ▪ New shares to be issued at $0.15 per share, a ~22% discount to the 15-day VWAP on ASX of ~$0.19 ▪ Confirmation of support from Buru’s two major corporate shar
Slide 15: Equity Raising Details
Equity Raising Details ▪ USE OF FUNDS For personal use only Use of Funds – based on full subscription A$ % Phase 3 Ungani development expenditure • Ungani 4 drilling and completion costs 6,500,000 63.7% • Ungani 3 Sidetrack drilling and completion costs 3,000,000 29.4% Total Phase 3 Estimate 9,500,0
Slide 16: Forward Strategy - Buru unleashed
Forward Strategy - Buru unleashed ▪ 2017/18 Ungani Accelerated Development Program with For personal use only potential to increase production to 3,000 bopd and provide 50% uplift in resource base ▪ Successful Ungani resource upgrade supports the future development of Broome export facilities to sig
Slide 17: Disclaimer
Disclaimer This document has been prepared by Buru Energy Limited ABN 71 130 651 437 (“Buru Energy"). This presentation contains certain statements which may For personal use only constitute "forward-looking statements". It is believed that the expectations reflected in these statements are reasonab
Slide 18: For personal use only
For personal use only 18