Central Petroleum Limited · ASX:CTP
Central Petroleum — Investor Presentation (September 2017)
11 slides from Central Petroleum's investor presentation, Sep 26, 2017
Slide 1: Poor Fella My Country but still The Lucky Country
For personal use only Poor Fella My Country but still The Lucky Country. CTP: Developing Northern Australia. PESA
Slide 2: The story so far
The story so far For personal use only • ACCC Enquiry confirms • gas shortage • predicts ex‐field marginal costs to rise to $5.70/GJ for CSG *page 40‐slide 3 • ACCC suggest a reference price of • $7.77/GJ for Southern Markets • $5.87/GJ for Queensland • “Unexpected” demand (slides 4‐7) for gas follo
Slide 3: Projected average marginal cost of CSG production
For personal use only Chart 1.7 shows the historical and projected average marginal cost of production of CSG in the east coast gas market in real terms. These cost estimates include drilling, well completion, gas processing, water treatment and compression. Chart 1.7 shows average marginal costs ha
Slide 4: ACCC Gas Market Inquiry – 2016
ACCC Gas Market Inquiry – 2016 Slide For personal use only The ACCC released its Inquiry into the east coast gas market in April 2016: • Comprehensive and “fully informed” assessment of the east coast gas market • 12 month study with unprecedented access to confidential market information • Key find
Slide 5: ACCC East Coast Gas Market – 2016
ACCC Inquiry into the East Coast Gas Market – 2016 Slide For personal use only New Capital Investment Required Now Chart 1.1 Source: ACCC Inquiry into the East Coast Gas Market Report ‐ Sufficient gas is available for existing domestic and LNG contracts through 2018 ‐ Undeveloped supply needs to be
Slide 6: ACCC East Coast Gas Market – 2016
ACCC Inquiry into the East Coast Gas Market – 2016 Slide For personal use only The ACCC forecasts already include significant destruction in industrial energy customers and a significant pull back in gas generation. A gas supply shortfall will cut beyond what has already been factored in. CTP: Devel
Slide 7: 2022 - Hindsight
2022 ‐ HINDSIGHT For personal use only The Real Crunch to Australia will be in 2022 when • LNG spot market equals or exceeds long term pricing • Liddel closes. The volatility in gas price must be accompanied by supply chain flexibility to allow independent “futures” market. Electricity companies wil
Slide 8: Pipeline reforms
Pipeline reforms For personal use only • First Tranche with GMRG in August 2017 put asset valuation technique as capital costs less capital recovered (see NGR 569(4 below)) (4) For the purposes of subrule (3)(a); (a) The value of any assets used in the provision of the pipeline service must be deter
Slide 9: CTP's position
CTP’s position For personal use only • Fully funded four hole appraisal programme over three fields in first half of 2018. • Brown Field Development with 70TJ/day existing plant with NGP having 60TJ/day capacity available in late 2018. • If drilling confirms prognosis and pipeline reforms synergisti
Slide 10: Milestones – CTP is perfectly positioned
Milestones – CTP is perfectly positioned For personal use only 2017 Q3 • Fund raising for drilling Completed • Joint Marketing Agreement with Macquarie Agreed Q4 • Interim approval from ACCC • JV approval for Mereenie Campaign • Regulatory approval • TEG 2018 Q1 • Drilling at Mereenie • Commissionin
Slide 11: Notice and Legal Disclaimer
Notice and Legal Disclaimer For personal use only To the maximum extent permitted by law: 1. This presentation is not intended for prospective investors and does not purport to provide all of the information an interested party may require in order to investigate the affairs of Central Petroleum Ltd
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