Orca Energy Group Inc. Class B · TSXV:ORC.A
Orca Energy Group Inc. Class B — Investor Presentation (August 2022)
30 slides from Orca Energy Group Inc. Class B's investor presentation, August 2022
Slide 1: Orca Energy Group Inc. Investor Presentation August 2022
ORCA ENERGY GROUP INC. SUPPORTING TANZANIA’S GROWTH SINCE 2001 Investor Presentation August 2022
Slide 2: Disclaimer
Orca Energy Group Inc. DISCLAIMER The information in this presentation (the "Presentation") is provided as of August 2022 for internal purposes only, is not complete, is based (in part) on information prepared for internal evaluation purposes only and does not contain all material information about
Slide 3: A Snapshot of Orca
Orca Energy Group Inc. A SNAPSHOT OF ORCA PROUD TO SUPPORT TANZANIA AND THE COUNTRY’S GROWTH OBJECTIVES Operating in Tanzania • Operator of the Songo Songo gas field offshore Tanzania • Songo Songo has supplied >500 billion cubic feet (“BCF”) of gas to Tanzania • Actively investing in the field and
Slide 4: 2021 and YTD 2022 Highlights
Orca Energy Group Inc. 2021 AND YTD 2022 HIGHLIGHTS ORCA AIMS TO ACHIEVE OPERATIONAL EXCELLENCE, DELIVERING VALUE THROUGH GROWTH OPPORTUNITIES AND STAKEHOLDER RETURNS Financial Operational Conventional natural gas production of 2021 revenue of $86.0 million 61.1 million standard cubic feet per day I
Slide 5: 2022 Outlook
Orca Energy Group Inc. 2022 OUTLOOK FINANCIAL OPERATIONAL Increased average production forecast of 80 – 86 MMcfd in 2022 (‘Additional Gas’) 2022 planned capital program ~ US$50 million is being funded from existing capital and Previous 2022 production forecast of 70-76 MMcfd forecast cashflows Maint
Slide 6: Fueling Economic Growth
Orca Energy Group Inc. FUELING ECONOMIC GROWTH RESPONSIBLE FOR SUPPLYING NATURAL GAS TO 45% OF THE TOTAL POWER GENERATION DURING 2021 Power Sector Industrial Sector Compressed Natural Gas • Installed power generation capacity of • 50 km low pressure distribution system • Transported to industries an
Slide 7: Key Financial Performance Indicators
Orca Energy Group Inc. KEY FINANCIAL PERFORMANCE INDICATORS FOCUSED ON MAINTAINING A STRONG FINANCIAL POSITION, DELIVERING SUSTAINABLE SHAREHOLDER RETURNS Maintaining a strong liquidity position Gross daily sales volume average Net production revenue Cash and cash equivalents remains a priority for
Slide 8: Sustainable Shareholder Returns
Orca Energy Group Inc. SUSTAINABLE SHAREHOLDER RETURNS SHAREHOLDER RETURNS CONTINUE TO BE BALANCED WITH THE NEED TO INVEST IN THE FIELD TO INCREASE PRODUCTION CAPACITY Since 2018 Orca has distributed shareholder returns totaling US$112.4 Cumulative Dividends Cumulative Share Buy-backs million Quarte
Slide 9: Returns to Tanzanian Stakeholders
Orca Energy Group Inc. RETURNS TO TANZANIAN STAKEHOLDERS ($000’S) ORCA IS PROUD OF THE ROLE IT HAS PLAYED, GENERATING POSITIVE FINANCIAL AND EMPLOYMENT OPPORTUNITIES IN-COUNTRY The Company has generated significant 70,000 350,000 tax receipts for The Government of Tanzania since 2001 60,000 300,000
Slide 10: Sustainable Returns to Stakeholders
Orca Energy Group Inc. SUSTAINABLE RETURNS TO STAKEHOLDERS STAKEHOLDER CONSIDERATION PLAYS A FUNDAMENTAL ROLE IN HOW WE HAVE DEVELOPED OUR BUSINESS MODEL Capital discipline to generate sustainable cash flow Transition from Returns to costly imported shareholders by fuel (oil and quarterly diesel) to
Slide 11: Natural Gas Development and Delivery
Orca Energy Group Inc. NATURAL GAS DEVELOPMENT AND DELIVERY ORCA IS ACTIVELY INVESTING TO FURTHER DEVELOP THE FIELD AND DELIVER ADDITIONAL GAS VOLUMES TO MEET TANZANIA’S DEMAND PROFILE SONGO SONGO FIELD DEVELOPMENT LICENCE REVISION FURTHER GROWTH POTENTIAL • Proactive development to meet • Contingen
Slide 12: Gas Production Growth
Orca Energy Group Inc. GAS PRODUCTION GROWTH POTENTIAL FOR A SIGNIFICANT INCREASE IN ORCA’S PRODUCTION PROFILE IN THE NEAR TO MEDIUM TERM Songo Songo Field Production (Additional Gas Only) • Additional Gas production in 2019 surged to 63 MMcfd due to increased power MMcfd generation. 160 • In 2020,
Slide 13: Songo Songo Natural Gas Reserves and Resources
Orca Energy Group Inc. NATURAL GAS DEVELOPMENT AND DELIVERY SONGO SONGO NATURAL GAS RESERVES AND RESOURCES CONVENTIONAL NATURAL GAS RESERVES CONVENTIONAL NATURAL GAS RESOURCES (UNRISKED) 1P 2P As at March 31, Low Best High 2021 As at December 31, 2021 (BCF) 160 188 Contingent (BCF) 250 297 346 NPV15
Slide 14: Advancing Our ESG Initiatives
Orca Energy Group Inc. ADVANCING OUR ESG INITIATIVES ORCA IS IMPLEMENTING AN ESG STRATEGY IN ORDER TO BUILD ON THE WORK COMPLETED BY THE COMPANY IN TANZANIA As a natural gas operator, we are by nature a greenhouse gas emitter, and we recognize that as the business continues to operate and develop, o
Slide 15: Advancing Our ESG Initiatives
Orca Energy Group Inc. ADVANCING OUR ESG INITIATIVES SIGNIFICANT INVESTMENT IN TANZANIAN COMMUNITIES OVER THE YEARS, WITH A CONTINUED FOCUS ON OUR LOCAL AREA Orca is committed to supporting and sharing value within the local communities where the Company operates. Orca has made a positive contributi
Slide 16: CSR Focus Area
Orca Energy Group Inc. CSR FOCUS AREA We work hard to ensure that the benefits of our operations are not only for our customers and employees, but also to surrounding communities. The Government of Tanzania recognizes that education is the cornerstone of achieving the country’s development goals, an
Slide 17: Investment Summary
Orca Energy Group Inc. INVESTMENT SUMMARY • A proven asset with a long track record of safe and reliable operations • Tanzanian economy is growing and as such Orca is seeing significant demand for domestic energy sources • An active work program in place to further develop the field, that is fully f
Slide 18: Contact
Orca Energy Group Inc. info@orcaenergygroup.com www.orcaenergygroup.com 18
Slide 19: Appendix
Orca Energy Group Inc. APPENDIX 19
Slide 20: Directors
Orca Energy Group Inc. Directors David Ross Jay Lyons Lisa Mitchell Dr. Frannie Leautier Linda Beal Non-Executive Chair Executive Director and Executive Director and Chief Non-Executive Director Non-Executive Director Chief Executive Officer Financial Officer Chair of ESG Committee Chair of Audit Co
Slide 21: Management
Orca Energy Group Inc. Management Jay Lyons Lisa Mitchell Andrew Hanna (MBE) Lloyd Herrick Executive Director and Chief Executive Executive Director and Chief Financial Managing Director, Tanzania Advisor to the Board and Management Officer Officer • 34 years in the public sector leading • Four deca
Slide 22: Operations
Orca Energy Group Inc. OPERATIONS APPROXIMATELY 130 MMCFD OF GAS CONTRACTED Maximum Daily CONTRACTS Quantity DESTINATION MMcfd Ubungo 2 129 MW TPDC/NNGI 30 GSA Kinyerezi 1 150 MW Additional Gas Kinyerezi 2 Industries 11 240 MW 180 MW gas Ringmain TPCPLC AG 8 (Industries and CNG) Additional Gas TPDC/
Slide 23: Glossary
Orca Energy Group Inc. Glossary TPDC Tanzania Petroleum Development Corporation GSA Gas Sales Agreement TPCC Tanzania Portland Cement Company AG Additional Gas PG Protected Gas NNGI National Natural Gas Infrastructure TANESCO Tanzania Electric Supply Company PGSA Portfolio Gas Sales Agreement ARGA A
Slide 24: Advisories
Orca Energy Group Inc. ADVISORIES 24
Slide 25: Advisories
Orca Energy Group Inc. Advisories Certain information regarding Orca set forth in this presentation contains forward-looking statements that involve substantial known and unknown risks and uncertainties. The use of any of the words "plan", "expect", “prospective”, "project", "intend", "believe", "sh
Slide 26: Advisories
Orca Energy Group Inc. Advisories Such forward-looking statements are based on certain assumptions made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors the Company believes are appropriate in
Slide 27: Advisories
Orca Energy Group Inc. Advisories There are numerous uncertainties inherent in estimating quantities of proved and probable reserves, quantities of contingent resources and prospective resources and future net revenues to be derived therefrom, including many factors beyond the Company's control. The
Slide 28: Advisories: Unrisked Resources
Orca Energy Group Inc. Advisories 1 See definitions for “contingent resources”, prospective resources, “Low Estimate, “High Estimate”, “Best Estimate”, “risked”, “unrisked Resources - Unrisked(1)(2) Chance of Chance of WI(9) Low Best High Discovery Development Structure Classification (%) MMcf MMcf
Slide 29: Advisories: Definitions
Orca Energy Group Inc. Advisories In this presentation, the following terms have the following meanings: • "contingent resources" are those quantities of petroleum estimated, as of the given date, to be potentially recoverable from known accumulations using established technology or technology under
Slide 30: Advisories: Non-GAAP Financial Measures and Ratios
Orca Energy Group Inc. Advisories Non-GAAP Financial Measures and Ratios In this presentation, the Company has disclosed the following non-GAAP financial measure [, non-GAAP ratios and supplementary financial measures]: capital expenditures. These non-GAAP financial measures [and ratios] disclosed i
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