Buru Energy Ltd · ASX:BRU
Buru Energy — Investor Presentation (October 2017)
29 slides from Buru Energy's investor presentation, Oct 30, 2017
Slide 1: Corporate Presentation
Corporate Presentation For personal use only 30 October 2017
Slide 2: Corporate Overview
Corporate Overview Capital Structure Share Register For personal use only Formed 2008 Ticker ASX:BRU Index S&P/ASX All Ords Shares on Issue ~432 million Share Price ~$0.26 Market Cap ~$112 million Cash on Hand ~$25.6 million (30 Sep 17) Board and Management 12 Month Price History Eric Streitberg Exe
Slide 3: Buru Structure and Activity
Buru Structure and Activity ✓ 100% ownership of core oil production and exploration permits and operatorship of all permits with low level of commitments For personal use only ✓ Unique basin wide portfolio of net ~22,100 sq kms / 5.4 million acres (4.6 million net acres) ✓ Long term local operator w
Slide 4: Ungani Oilfield – Overview
Ungani Oilfield – Overview ▪ Ungani Oilfield in early stages of production with 2 producing wells with recently installed ESP’s For personal use only ▪ Pathway to 3,000 bopd target through current appraisal and development program ▪ Independent review by GCA * confirms resources (estimate made after
Slide 5: Ungani Oilfield – Export System and Sales
Ungani Oilfield – Export System and Sales Process and Tanks ▪ Wyndham 80,000 bbl tank (Tank 10) modified For personal use only for crude service (last export system used 30,000 bbl Tank 9) ▪ Larger tank gives much improved shipping economics and flexibility Trucking ▪ Contractor selection (Fuel Tran
Slide 6: Ungani Overall Development Program Phases
Ungani Overall Development Program Phases For personal use only Current Project Phase Phase 3 Phase 4 Hold production Production Rate Increase production to 3,000 bopd in first half plateau at 3,000 bopd Phase 2 2018 Production Increase production Target 1,250 bopd to 1,500 bopd PROJECT PHASE Drill
Slide 7: Exploration Prospect Portfolio
Exploration Prospect Portfolio Extensive high prospectivity portfolio ▪ Proven oil play system over 150 kms in 100% acreage For personal use only ▪ Range of prospect sizes up to world class potential ▪ Range of play types from proven Ungani Dolomite and Reeves discovery (UFW) to new high potential c
Slide 8: Gas and Unconventional Oil Resources
Gas and Unconventional Oil Resources Gas Resources (conventional and unconventional) For personal use only ▪ Buru has 100% of the Laurel Formation tight wet gas resources in Central, Northern and Western provinces ▪ Western Gas Province includes the Yulleroo Gasfield that has appraisal drilling, fra
Slide 9: Forward Strategy
Forward Strategy ▪ 2017/18 Ungani Accelerated Development Program with For personal use only potential to increase production to 3,000 bopd and provide 50% uplift in resource base ▪ Successful Ungani resource upgrade supports the future development of Broome export facilities to significantly increa
Slide 10: The Details - Ungani Accelerated Development Program
The Details - Ungani Accelerated Development Program Objective: Increase oil production to 3,000 bopd and confirm volumes sufficient to commit to alternative export route For personal use only Activity Timing Expectation Install artificial lift system in existing Artificial lift completed. Pump test
Slide 11: Ungani Accelerated Development Program – Well locations
Ungani Accelerated Development Program – Well locations For personal use only 11
Slide 12: Ungani Accelerated Development Program – Ungani 4
Ungani Accelerated Development Program – Ungani 4 For personal use only ▪ Structurally updip (in time and depth) and 500m to the south of Ungani 1 ▪ Interpreted “attic” location will recover undrained oil as well as oil from main field closure ▪ 3D seismic mapping of field with depth conversion prov
Slide 13: Ungani Accelerated Development Program – Ungani 5
Ungani Accelerated Development Program – Ungani 5 Ungani 3 ▪ Initial Ungani 3 results in 2014 very anomalous with thinner shale seal For personal use only and apparent poor reservoir, but oil column similar to Ungani main field ▪ Well produces oil at low rates ▪ Detailed review of 3D seismic and wel
Slide 14: Drilling and Workover Program
Drilling and Workover Program Drilling Rig ▪ DDGT1 (Atlas 2) rig drilled previous wells for Buru/Mitsubishi JV and For personal use only warm stacked in June after completion of program for another operator ▪ The contract for the drilling rig is on a “dry hire” basis and includes the drilling camp ▪
Slide 15: Exploration Portfolio
For personal use only Exploration Portfolio The following cautionary statement applies to all statements of prospective resources set out in this section and in the presentation generally. The referenced prospective resources are unrisked and calculated using probabilistic methods. Cautionary statem
Slide 16: Resource Setting
Resource Setting Oil ▪ High quality conventional reservoirs For personal use only ▪ Two principal petroleum systems ▪ Well defined prospects with systematic exploration program underway ▪ Prospects range from conventional sandstone reservoirs to large dolomite reservoir prospects Gas ▪ Basinwide tig
Slide 17: Prospect Summary – Rafael (EP428)
Prospect Summary – Rafael (EP428) Very large well defined Ungani Dolomite prospect ▪ Located 50km to the east of Ungani ▪ Well defined by modern good quality 2D seismic data (1km grid) For personal use only ▪ Many similarities to Ungani but much larger and deeper ▪ Laurel oil charge proven along the
Slide 18: Prospect Summary – Kilto (EP436)
Prospect Summary – Kilto (EP436) Well Defined Structural Ungani Dolomite prospect ▪ Located 50km west of Ungani, and 50km from Broome For personal use only ▪ Defined on Kurrajong 3D Seismic (also 2D seismic data) ▪ Close to oil source kitchen ▪ Large follow-up trend to the West Reservoir Along Trend
Slide 19: Prospect Summary – Yakka Munga (EP428)
Prospect Summary – Yakka Munga (EP428) ▪ Major regional structure 11km by 4km, up to 1000m of vertical relief ▪ Top at 2300m (only 200m deeper than Ungani) For personal use only ▪ Large ancillary closure (YM Crest) in overlying Reeves and Anderson section with similar potential ▪ Ungani Dolomite tar
Slide 20: Prospect Summary - Hotdog Prospect (L8)
Prospect Summary - Hotdog Prospect (L8) New play type in Basin - Hydrothermal Dolomite (HTD) ▪ Adjacent to Sundown, Boundary, and Lloyd oil fields For personal use only ▪ Well defined on Bunda 3D ▪ HTDs are associated with major hydrocarbon production in North America ▪ Enhanced secondary porosity i
Slide 21: Prospect Summary – Butler (EP129)
Prospect Summary – Butler (EP129) Laurel Conventional reservoir play ▪ Best seismic data quality on northern margin with distinct facies interpretation and depositional limit of sand to northeast defined by For personal use only shelf break ▪ Close to oil source kitchen (oil fields and shows in well
Slide 22: Oil Prospectivity – Broome Platform Goldwyer
Oil Prospectivity – Broome Platform Goldwyer Goldwyer prospectivity ▪ Broome Platform has extensive shale/reservoir pairs with For personal use only excellent oil source rocks ▪ Recent drilling by Finder Exploration at Theia 1 has defined a “sweet spot” in the Goldwyer Formation with many similariti
Slide 23: Laurel Formation Tight Wet Gas Accumulation – Overview
Laurel Formation Tight Wet Gas Accumulation – Overview Basin-wide tight gas accumulation in the Laurel Formation ▪ Occupies centre of Fitzroy Trough – main depocentre of For personal use only Canning Basin ▪ Mixed lithology – silts, shales, sands, limestones ▪ Strong over-pressure from uplift in the
Slide 24: Laurel Formation Tight Gas - Yulleroo
Laurel Formation Tight Gas - Yulleroo Major gas and liquids accumulation on the western side of basin close to Broome and customers For personal use only ▪ Four wells define the accumulation - all intersecting thick gas saturated sections with gas below closure mapped on 3D Yulleroo 2 clean-up flow
Slide 25: Corporate
For personal use only Corporate
Slide 26: Community and Government Engagement
Community and Government Engagement Philosophy and practice for both conventional and unconventional activity For personal use only ▪ Education programs based on facts ▪ Support of independent expert advice for communities ▪ Extensive baseline studies & mapping ▪ Continuous, comprehensive and transp
Slide 27: Funding and Forward Program
Funding and Forward Program ▪ Cash: ~A$25.6 mm (30 Sep 17) following rights issue and placement proceeds of ~A$13.8mm (before costs). Ungani For personal use only accelerated development program fully funded ▪ Debt: Remaining Alcoa debt of $7.5 mm with repayment profile aligned to forward oil produc
Slide 28: Disclaimer
Disclaimer This document has been prepared by Buru Energy Limited ABN 71 130 651 437 (“Buru Energy"). This presentation contains certain statements which may For personal use only constitute "forward-looking statements". It is believed that the expectations reflected in these statements are reasonab
Slide 29: For personal use only
For personal use only 29