Amplitude Energy Limited · ASX:AEL
Amplitude Energy — Cooper Energy — Australian Domestic Gas Outlook Conference 2019
18 slides from Amplitude Energy's conference presentation, Mar 6, 2019
Slide 1: Presentation to Australian Domestic Gas Outlook Conference
Energy Presentation to Australian Domestic for south-east Australia Gas Outlook Conference For personal use only 6 March 2019 David Maxwell Managing Director Cooper Energy Sole-3 flow-back 5 July 2018
Slide 2: Important Notice – Disclaimer
Important Notice – Disclaimer This presentation (“Presentation”) is issued by Cooper Energy Limited ABN 93 096 170 295 (“Cooper Energy” or “COE”). For personal use only Summary information: This Presentation contains summary information about Cooper Energy and its activities as at the date of this P
Slide 3: Sole gas field development to complete in next 3 months
In the next 3 months, Cooper Energy plans to complete south-east For personal use only Australia’s first offshore gas development in 6 years at the Sole gas field. Contracts for early gas supply are currently being negotiated. Subsea 7 vessel “Seven Oceans” laying pipeline to Sole gas field
Slide 4: Sole: a new gas supply coming onstream in July
Sole: a new gas supply coming onstream in July $605 million project to bring a new source of gas supply to south-east Australia For personal use only Sole gas field Orbost Gas Plant • $355 million offshore development • $250 million upgrade to Orbost Gas Plant by APA • 2491 PJ of 2P reserves • Retur
Slide 5: Sole gas production: contracted and uncontracted
Sole gas production: contracted and uncontracted Project financing relied on long term commitments by customers for 75% of reserves …… ……. at 2016 prices For personal use only Sole gas production contracted & uncontracted PJ pa 4 4 4 4 4 4 4 7 11 18 20 20 20 20 20 20 20 The majority of first year pr
Slide 6: The 'story of Sole' and south-east Australia gas supply outlook
The ‘story of Sole’ is instructive to the For personal use only structure of the south-east Australia gas supply outlook. Sole-4 well-head deployment
Slide 7: Sole: discovered in 1973, commencing production years later
Sole: discovered in 1973, commencing production 46 years later Sole history is illustrative of the change in the south-east Australian gas market For personal use only 1973 Sole-1 discovery by Shell Sole won financing support and 2002 Sole-2 (OMV) flows 20.6 MMcf/d new contracts in 2016 as a 2015 Fi
Slide 8: Cooper Energy's commitment to east coast gas
Cooper Energy’s commitment to east coast gas Gas opportunity identified and strategy committed 7 years ago For personal use only Cooper Energy 2012 Presentation to Good Oil Opportunity outlined and strategy presented Conference Sept 2012 In 2012 oil producer Cooper Energy saw gas supply opportunitie
Slide 9: Identifying where to play the gas to south-east Australia opportunity
Identifying where to play the “gas to south-east Australia” opportunity Strategy formulation began with basin by basin analysis of business fundamentals For personal use only Cooper Energy investment criteria: Analysis indicated the Otway ? Suitable return for risk and Gippsland Bains are the ? Supe
Slide 10: A portfolio style gas business focussed on south-east Australia
7 years on: a portfolio style gas business focussed on south-east Australia Twin-hub strategy – optimising supply source to a bundle of contracts For personal use only • Mixture of utility and industrial customers • Low operating cost production utilising remotely operated subsea tieback Minerva Gas
Slide 11: South-east Australia gas supply costs in 2020
South-east Australia1 gas supply costs in 2020* In the absence of new discoveries & development, prices > $9/GJ required for sufficient supply For personal use only Delivered Melbourne city gate cost for gas from eastern Australia available for delivery to domestic market in 2020* AUD / GJ Typical p
Slide 12: Lessons from Sole
Lessons from Sole 1. Price: attracted new investment & supply … and new supply For personal use only increases price competition • Without higher prices, Sole would still be undeveloped. • Without local new discoveries and development, the cost of gas for south-east Australia will be higher • Using
Slide 13: Cooper Energy gas supply profile
Cooper Energy gas supply profile 2P reserves and 2C (Manta) offers gas production exceeding 50 PJ pa before exploration success For personal use only 60 Manta 50 Manta Sole (subject to appraisal well and FID) 40 Casino Henry 30 20 10 - FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY28 FY29 FY30 Assu
Slide 14: Drilling and development plans
Drilling and development plans Gas exploration and development planned to bring more gas to market For personal use only Drilling Minerva Gas Plant • FY19: 2 exploration wells in Offshore Otway • Acquisition agreed and expected to complete 2019 • FY20: Dombey-1 onshore Otway • Connect to Casino Henr
Slide 15: Wrap-up
Wrap-up 1. Focussing on fundamentals got Sole developed and a gas business for Cooper Energy… For personal use only …..a 7 year effort started with identifying a market need and fundamentals analysis enabled Cooper Energy to establish a gas business from scratch and be poised to increase gas product
Slide 16: For personal use only
For personal use only Skandi Acergy laying control umbilical offshore Orbost Gas Plant
Slide 17: Appendices
For personal use only Appendices
Slide 18: Notes on Calculation of Reserves and Contingent Resources
Notes on calculation of Reserves and Resources Notes on Calculation of Reserves and Contingent Resources Cooper Energy has completed its own estimation of reserves and resources in accordance with the definitions and guidelines in the Society of Petroleum Engineers (SPE) 2007 Petroleum Resources Man
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