Key Petroleum Limited · ASX:KEY
Key Petroleum — Good Oil Conference 2009
18 slides from Key Petroleum's conference presentation, Sep 2, 2009
Slide 1: Good Oil Conference, Fremantle, 1-2 September 2009
For personal use only Good Oil Conference, Fremantle, 1-2 September 2009 PRESENTATION DISCLAIMER The information in this presentation is an overview and does not contain all information necessary for investment decisions . In making investment decisions, investors should rely on their own examinatio
Slide 2: Exploring for growth
/ene.ano ) \ Hage eum Exploring for growth
Slide 3: Company objectives
For personal use only Increase shareholder value through the discovery and development of commercial oil & gas deposits Undertake systematic and cost effective exploration of its oil & gas concessions using modern techniques Fund exploration in joint venture with other companies and in its own
Slide 4: Key highlights and near-term activity
For personal use only Becoming oil producer & Operator, onshore U.K. Capital raised for U.K. field development Preparing to drill first U.K. well, Q1 2010 Field appraisal, Kiliwani North, Tanzania Italian acreage awards pending More carried Suriname drilling – 5 wells, Q3 2009 4
Slide 5: Board and management
• 32 yrs + oil & gas expertise For personal use only Ted Ellyard • Chairman / CEO of ASX / AIM companies Chairman • Creator of shareholder wealth, Hardman, Minemakers & others Ken Russell • 35 yrs + international oil industry experience Managing Director /CEO • E&P assignments with multi-national co
Slide 6: Capital structure and main assets
Shares on Issue 119 Million For personal use only Trading Range 11 to 21c Options Unlisted 5,000,000 @ 50c, 750,000 @ 20c - 2010 Market Cap Approx $14.3 Million (1/09/09) Debt Nil Cash on Hand AUD$6.0 Million after capital raising – plus production income MAIN ASSETS Onshore Southern England • Brock
Slide 7: Why southern UK onshore
For personal use only Top tier international fiscal regime – 50% Govt take, less tax losses Oily region, neglected for 20 years Under-developed fields and immediate cashflow – build a business Increasing interest and business activity in Southern UK Favourable A$:£ exchange rate trends L
Slide 8: Brockham and Lidsey fields acquisition
For personal use only Purchased for £ 2.0 million Tax credits >£1.5 million & new facilities 85 BOPD with upside Established, simple operations in good order Capital raised for 2010 development work 8
Slide 9: Weald Basin context
For personal use only Brockham Oilfield BP - Wytch Farm Largest onshore UK oil field Lidsey Oilfield Weald Basin - General Area Produced to date over 400 MM Number of oil and gas fields bbls. Peaked at over 100,000 bbls including the Lidsey and oil /day Brockham Oil fields 9
Slide 10: Location of Brockham and Lidsey
For personal use only City of London Brockham Lidsey 10
Slide 11: Brockham field
Brockham For personal use only Facilities / Surface Lease Br -2z Horizontal Well Path Deep pool potential updip of Br-1 11
Slide 12: Lidsey field
Lidsey Facilities / Surface Lease For personal use only Lidsey Lidse-2z Horizontal y -2z Well Path 12
Slide 13: Greater Oolite reservoir and expected delivery
Greater Oolite is the main Weald Basin oil reservoir For personal use only High porosity / low permeability Productivity commonly enhanced by penetrating natural fractures, accessing more reservoir (horizontal drilling) and stimulation What will it deliver? We have a number of models; Base case – 12
Slide 14: East Africa activity continues
East Africa activity continues – For personal use only Offshore Tanzania – Deepwater action : Petrobras, Shell, Statoil & Ophir Onshore Tanzania – Ongoing drilling by Maurel & Prom and Tullow Northern Mozambique – Anadarko 6 wells over 2009-10 14
Slide 15: West Songo Songo and Nyuni PSA
WEST SONGO NYUNI PSA For personal use only .. SONGO 20% Key 50% Key & Operator Appraisal seismic shot 1 Tcf undiscovered gas over Kiliwani North gas disc (40 MMscfd) Tanzania gas market niche over next 4 years Kiliwani North commercialisation Sheltered, shallow water, discussions conti
Slide 16: Key in Italy: Borsano licence
KEY IN ITALY BORSANO LICENCE (100%) Firmly established in-country For personal use only Close to industrial City of Milan Developing links with Govt & industry • ProspectiveBorsano for both oil and gas LAMPEDUSA, WEST SARDINIA & ELBA SOUTH Application areas (100%) Elba South Under-explored s
Slide 17: The play: Pelagian Shelf
THE PLAY For personal use only Pelagian Shelf (7BBOE discovered off Tunisia & Libya - Oilsearch 2008) Oil prone Cretaceous source rock Italian Govt “take” <40% Lampedusa unexplored since 1980’s oil price crash Key has mapped original seismic data Leads with unrisked mean STOIP up to 250M
Slide 18: Upcoming activity summary
Onshore Southern England For personal use only Field development program. Drilling Q1 2010 Tanzania Kiliwani North gas commercialisation process ongoing Italy Granting of up to 4 offshore licences imminent And New asset acquisitions www.keypetroleum.com 18