Gulfslope Energy, Inc. · OTC:GSPE
Gulfslope Energy — Investor Presentation (September 2014)
21 slides from Gulfslope Energy's investor presentation, Sep 22, 2014
Slide 1: Exploring the Gulf of Mexico
Exploring the Gulf of Mexico September 22nd 2014 www.GulfSlope.com Ticker: GSPE
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain forward-looking statements about the business, financial condition and prospects of the Company. Forward- looking statements can be identified by the use of forward-looking terminology such as “believes,” “projects,” “expects,” “may,” “goal,”
Slide 3: Snapshot
Snapshot Company Profile Trading Profile Name GulfSlope Energy Ticker GSPE Established 2013 Market Cap Range $150-$200 MM Focus Area Offshore Gulf of Mexico Avg. Daily Trading Volume 500,000 Target Shelf Miocene Insider Ownership 40% Seismic 2.2 MM Acres (440 Blocks) Lease Blocks 21 Shelf Portfolio
Slide 4: Company Highlights
Company Highlights Significant Oil • 2 billion boe of prospective resources • Industry leading returns due to lower finding and Exposure development costs and faster time to first production • Renewed interest in play by industry Leading Position • Recent lease sale establishes GSPE leading position
Slide 5: Strategy
Strategy • Commence Drilling in 2015 - High impact exploration - Focus on high return oil projects in shallower water - Diversify risk through partnering: in progress • Grow and Optimize Exploration Portfolio - 21 Blocks with 17 prospects totaling 2 billion boe of potential resources - Generate addi
Slide 6: Initial Drilling Program
Initial Drilling Program GulfSlope has high-graded 5 prospects for initial drilling operations • On track to commence drilling in 2015 Unrisked Resource Potential Prospect D&M Report (Mmboe) • Currently in partner discussions on all 5 Low Case Mean High Case prospects Graviton 123 247 403 • All can
Slide 7: Mean Prospect Size
3rd Party Resource Report 2 Billion barrels of prospective resources 300 DeGolyer and MacNaughton reviewed GulfSlope’s 17 individual prospects: • In-line with previous internal 200 company estimates Mean Prospect Size • Consistent with deepwater Million Barrels Existing Field Miocene evaluations Siz
Slide 8: Our Opportunity: Shelf Miocene
Our Opportunity: Shelf Miocene 1990s Today • Large existing fields: 30 - 248 MMboe • Many large prospects still remaining • All fields produced oil or condensate • Middle and Lower Miocene largely untested • Average three years from discovery to 1st • Exploration wells cost $40-65 MM using a product
Slide 9: Exploring a Proven Petroleum System
Exploring a Proven Petroleum System 420+ MMboe discovered in the 1990s in the Shelf Miocene sub-salt play 50% Exploration discovery rate by industry leader in the 1990s: 5 of 10 wells successful Conger 248 MMBoe Discovered - 1998 Production - 2000 Hickory 47 MMBoe Discovered - 1998 Production - 2000
Slide 10: Shelf Miocene Geology
Shelf Miocene Geology GulfSlope is focused on a proven area of the Miocene where significant fields have been discovered Ultra-Deep Deepwater Miocene & Gas Shelf Miocene Lower Tertiary North Mahogany North Mahogany North North South MahoganyMahogany North Mahogany North South South South Mahogany Ma
Slide 11: Shelf Miocene Thickness
Shelf Miocene Thickness The Miocene is known for thick pay in the deepwater and on the shelf UM UM UM Shelf Miocene Producing Fields MM MM UM MM LM LM LM Deepwater Miocene Producing Fields LM UM Upper Miocene MM Middle Miocene LM Lower Miocene GSPE Lease Blocks Conger data based on Wood Mackenzie da
Slide 12: Technology has Reduced Entry Costs
Technology has Reduced Entry Costs Large E&P companies no longer have singular access to the most advanced seismic processing technologies Technology Evolution Computing Imaging • Seismic Processing Cost Capability – Advanced algorithms maximize accuracy – Processing is now faster and cheaper Scalab
Slide 13: Seismic Processing Improvements
Seismic Processing Improvements Why this opportunity still exists today Legacy: WEM Processing Modern: RTM Reprocessed Additional salt body appears Unclear interpretation of geology below salt Previous generations of seismic interpretation Recent advances in seismic processing provide were insuffici
Slide 14: Team In Place to Maximize Execution
Team In Place to Maximize Execution Comprised of seasoned industry professionals with unparalleled management and technical expertise John Seitz Ron Bain, PhD John Malanga Brady Rodgers Chairman and CEO President and COO VP, Chief Financial Officer VP, Development & Engineering • 25 years with Anada
Slide 15: Why We Like the Shelf: Proven Economics
Why We Like the Shelf: Proven Economics What do previous Shelf Miocene fields look like at today’s costs and commodity prices? 60 Conger Production Conger Field Hickory Field 45 Gas EUR 243 MMboe 47 MMboe Boed/d 30 Oil Commodity 61% Oil 28% Condensate 15 NPV10 $4.2 B $701 MM Internal Rate of Return
Slide 16: Why We Like the Shelf: Lower Costs
Why We Like the Shelf: Lower Costs GulfSlope’s unit costs on the shelf are lower at all stages of exploration and development All figures per unit: $/boe Deepwater Costs 60% 15 Current Developments 4% 19% GulfSlope Shelf Cost Projections Leasing Exploration Development Drilling Deepwater costs and r
Slide 17: Timeline
Timeline GSPE continues to execute its strategy and has a well-defined plan going forward Milestones Achieved Future Plans 4Q’14- Acquire 2.2 MM acres of 3D seismic data Finalize Drilling Partnerships 1Q’15 4Q’14- Re-process 1 million acres of seismic Announce Drilling Plans 1H’15 Build team of vete
Slide 18: The GulfSlope Opportunity
The GulfSlope Opportunity • Pure Gulf of Mexico oil exploration exposure • On track to drill in 2015 • Portfolio of 17 high impact drilling prospects • 2 Billion boe* of resources identified • Targeting overlooked Shelf Miocene play with proven technology • Proven leadership with track record of fin
Slide 19: Thank you
Thank you Exploring the Gulf of Mexico Special thanks to IPAA www.GulfSlope.com Contact Investor Relations: Ticker: GSPE Brady Rodgers 281.918.4110 brady.rodgers@gulfslope.com 19
Slide 20: Appendix
Appendix Gule Slope 20 [i Energy| man
Slide 21: Evolution of the Shelf Miocene Play
Evolution of the Shelf Miocene Play The play was 1st produced 1990’s but older technology left behind a lot of potential Oil below salt Shift to Deepwater discovered by GulfSlope Captures Leading accident! • Seismic advances lead to massive discoveries Position in deepwater GoM, followed by globally
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