Strike Energy Limited · ASX:STX
Strike Energy — 6th Annual Excellence in Oil & Gas Conference & Exhibition 2011
21 slides from Strike Energy's conference presentation, Mar 2, 2011
Slide 1: Company Presentation – ASX cover letter
Strike Energy Limited ABN 59 078 012 745 2 March 2011 For personal use only The Company Announcement Officer OUR STRENGTHS Australian Securities Exchange Ltd via electronic lodgement • High margin producer • Multiple large scale growth options • Experienced team COMPANY PRESENTATION • Long term trac
Slide 2: Deals and Discoveries – Excellence in Oil & Gas 2011
For personal use only Deals and Discoveries 6th Annual Excellence in Oil & Gas Conference & Exhibition 2011 Sydney, 28 February to 2 March 2011
Slide 3: Disclaimer
DISCLAIMER For personal use only This presentation does not constitute an offer, invitation or recommendation to subscribe for, or purchase any security and neither this presentation nor anything contained in it shall form the basis of any contract or commitment. Reliance should not be placed on the
Slide 4: The Company
THE COMPANY For personal use only A successful oil and gas explorer and producer with operations focused on the most productive basins in the USA and Australia PRESENTATION FOCUS: STRIKE ENERGY SET FOR AGGRESSIVE EXPLORATION IN 2011 Conventional oil and gas CARNARVON ONSHORE GULF COAST Coal Seam Gas
Slide 5: Who We Are and What We Do
WHO WE ARE AND WHAT WE DO For personal use only Perth based oil and gas explorer and producer MANAGED BY A STRONG BOARD AND AN with operations in the US and Australia EXPERIENCED MANAGMENT TEAM Chairman Tim Clifton Company incorporated 1997, ASX listed 2004 Managing Director Simon Ashton Non-Exe
Slide 6: Capital Structure
CAPITAL STRUCTURE For personal use only Strike Energy Limited (STX) As at 23 February 2011 Shares on Issue Shares on issue (ASX: STX) million 328.6 350 Options on issue million 16.8 300 Current share price A$ 0.205 250 Market capitalisation A$ million 67.4 Millions 200 Debt A$ million Nil Strike dri
Slide 7: Overview of 2011 Business Activity
OVERVIEW OF 2011 BUSINESS ACTIVITY For personal use only Now Gas and condensate production in the US Cash flow + significant cash balance Over next Exploration in highly prospective 3-6 months Oil and Gas province in US CARNARVON ONSHORE GULF COAST From Substantial exposure to Coal Seam mid-year Gas
Slide 8: Achievements in the Last Year
ACHIEVEMENTS IN THE LAST YEAR For personal use only US BUSINESS • Profitable gas/condensate production $14.4 million revenue and $6.8 m operating cash flow, FY2010 • Louise gas/condensate discovery Producing at 5 MMcfe/day • Significant new prospects generated • Sold two US gas/condensate fields
Slide 9: US Business - Overview
US BUSINESS - OVERVIEW For personal use only ONSHORE GULF COAST – TEXAS Production • Louise gas and condensate; high margin cash flow Deals • Sold two fields for US$21.7 million net cash • Houston-based management actively seeking expansion opportunities Exploration • Drilling Sadie-1; the first of
Slide 10: US Production
US PRODUCTION For personal use only LOUISE – EARLY FIELD LIFE PRODUCTION • Discovered Louise in February 2010 – producing by April. Payback 3 to 4 months • Producing gas and condensate from Louise (gross 5 MMcfde – STX: 30%) • High margin – around 70% • No production decline observed. High value fro
Slide 11: US Business Deals
US BUSINESS DEALS For personal use only SALE OF MID-LIFE PRODUCTION • Discovered Mesquite (2005) & Rayburn (2007) – gas and condensate. Built to 15.3 Bcfe 2P reserves (2010) Delivered over $78 million production revenue • Following sale on 17 January 2011 No debt Cash balance of $20.4 millio
Slide 12: US Exploration – Homeplace Prospect: Sadie-1 Well
US EXPLORATION For personal use only HOMEPLACE PROSPECT : SADIE-1 WELL STX: 40% – up from 30% 15 - 20 Bcf Prospect • Wilcox Formation – well established potential • Close to Louise production Current Position • Sadie 1, drilling ahead Major • Expected to reach 12,500 feet (3,881 metres) prolific tre
Slide 13: Australian Business
AUSTRALIAN BUSINESS For personal use only CARNARVON BASIN • Conventional oil and gas position COOPER BASIN CARNARVON • Coal Seam Gas (CSG) and conventional oil position SOUTHERN COOPER KINGSTON LIGNITE KINGSTON LIGNITE RESOURCE RESOURCE • Large scale coal gasification/ energy/ chemicals project EXPO
Slide 14: Carnarvon Basin
CARNARVON BASIN For personal use only OVERVIEW OIL AND GAS EXPLORATION • Large shallow water acreage position • Targeting oil and high value WA domestic gas markets • Baniyas oil and gas prospect • Rivoli Gas Field Contingent Resource 10-15 Bcf (P50-P10) • Low cost development opportunities SHALLO
Slide 15: Carnarvon Basin – Baniyas
CARNARVON BASIN For personal use only BANIYAS STX: 61.5% and Operator • Probably the best shallow water oil/gas prospect in the region • Prospective resource – complete structure Million Boe P10 45 P50 19 P90 8 • Fast development opportunity • Seeking farminee to drill by end 2011 MATERIAL OIL PROSP
Slide 16: Cooper Basin – Market Opportunity
COOPER BASIN For personal use only MARKET OPPORTUNITY • Large acreage position Southern Cooper: CSG and conventional targets • Vast CSG resource potential • Strategic location at East Coast gas distribution hub • Very large market opportunity – domestic and export • Open access pipeline – low infras
Slide 17: Cooper Basin – PEL
COOPER BASIN For personal use only PEL 96 – STX: 67% and Operator • Net coal target up to 75m thick • Prospective resource 3,700-9,300 PJ (3.7 to 9.3 Tcf) • Forge 1, drilling cut short for operational reasons; target only part tested • Gas confirmed in 21 metres of Permian Coal Seams drilled • The
Slide 18: Kingston Lignite Deposit
KINGSTON LIGNITE DEPOSIT For personal use only KINGSTON – STX: 100% and Operator • 578 Million tonnes JORC compliant lignite resource • Gasification trials completed, confirmed high quality “Syngas” • Extensively evaluated and studied resource, mining technique, water management, processing and prod
Slide 19: Opportunity Summary
OPPORTUNITY SUMMARY For personal use only A successful oil and gas explorer and producer with operations focused on the most productive basins in the USA and Australia Drilling planned for 6 Well exploration late 2011 programme started with Sadie -1 Conventional Drilling Seeking further drilling oil
Slide 20: JORC Compliance Statement – Kingston Lignite Resource
www.strikeenergy.com.au For personal use only JORC COMPLIANCE STATEMENT – KINGSTON LIGNITE RESOURCE The Kingston lignite coal resources presented in this report are located at Kingston South Australia and have been classified and reported in accordance with the JORC code. The JORC resource estimate
Slide 21: Deals and Discoveries – Excellence in Oil & Gas 2011
For personal use only Deals and Discoveries 6th Annual Excellence in Oil & Gas Conference & Exhibition 2011 SYDNEY, 1-2 MARCH 2011
Strike Energy — 6th Annual Excellence in Oil & Gas Conference & Exhibition 2011 on 6ix