Carnarvon Energy Limited · ASX:CVN
Carnarvon Energy — Carnarvon Petroleum — 16th Asia Oil Week Conference 2011
33 slides from Carnarvon Energy's conference presentation, Sep 29, 2011
Slide 1: Corporate Presentation
Corporate Presentation 29 September 2011 For personal use only ASX ANNOUNCEMENT Carnarvon Petroleum Limited (“Carnarvon”) (ASX:CVN) is pleased to provide shareholders with the attached Corporate Presentation given by Mr Philip Huizenga, Carnarvon Chief Operating Officer, at the 16th Asia Week Confer
Slide 2: 16th Asia Oil Week Conference
For personal use only 16th Asia Oil Week Conference 28 30 September 2011, Orchard Hotel Singapore
Slide 3: Disclaimer
For personal use only Disclaimer The information in this document, that relates to oil exploration results and reserves, is based on information compiled by the Company’s General Manager (Operations), Mr Philip Huizenga, who is a full$time employee of the Company. Mr Huizenga consents to the inclusi
Slide 4: Australasia and Asia Asset Base
For personal use only Australasia and Asia Asset Base 3
Slide 5: Carnarvon Footprint in Asia
Carnarvon Footprint in Asia For personal use only 50% 42.5% 7.5% Active in FY 2010/11 L20/50 L44/43, L33/43 and SW1A 60% Drilled 25 wells; 40% Acquired 1,250 km of 2D L52/50 and L53/50 seismic; 50% 50% Acquired 1,160 km2 of 51% 25% 3D seismic; Rangkas PSC 24% Produced 731,544 bbls 50% of oil 50% Pho
Slide 6: Corporate snap shot
Corporate snap shot For personal use only Market Capitalisation $110m Cash (no debt) (30 June 2011) $15m Profit before exploration write offs (YE 30/6/11) $13m Enterprise value / 2P reserves US$4.50/bbl 2P Reserves (31 Dec 2010) 20mmbbls Proved reserves 4.7mmbbls 2P sandstone reserves 4.4mmbbls Shar
Slide 7: Thailand
te CARNARVON PETROLEUM LTD Thailand
Slide 8: Thailand Overview
Thailand Overview For personal use only Block L33/43 (40% & Non Operator) Block L20/50 (50% & Operator ) Exploration, appraisal and production Mid phase exploration Reserves: 3.8 MM bbl 2P (Oil)1 Area: 3,962 km2 Area: 929 km2 (Note 50% to be relinquished 21 Jan 2012) Block L44/43 and SW1A (40% & Non
Slide 9: Key region for Carnarvon
Key region for Carnarvon For personal use only 2001 – CVN farms in to SW1A producing field Wichian Buri Sandstones Operations Geology Core Competency 2003 – CVN (with SW1A JV) applies for Onshore L33 and L44 exploration permits Thailand Commercial Relationships 2005 $ new sandstone discoveries 2006
Slide 10: L33/43, L44/43 & SW1A Concessions
L33/43, L44/43 & SW1A Concessions For personal use only L33/43, L44/43 & SW1A 40% 9
Slide 11: 2006 to 2010 strong reserves growth
2006 to 2010 strong reserves growth For personal use only 2006 2P reserves of 3 mmbbls Since 2006 some 100 new wells drilled Over 10 additional oil fields discovered 2010 – 2P reserves of 20 mmbbls 5 mmbbls proved (1P); 52 mmbbls proved, probable & possible (3P) Sandstone Volcanic 10
Slide 12: 2011 – production
2011 – production For personal use only 2011 primarily centered on the WBEXT discoveries WBEXT wells generated flow rates of up to 5,000 bopd. The WBEXT wells suffered early water incursion Further WBEXT focused drilling couldn’t replicate the results from the earlier wells Production variability co
Slide 13: Future
Future For personal use only Sandstone Reservoirs – production history since 1995 Sandstone reservoirs produced ~400,000 bbls to end of 2010 2P reserves as at end 2010 in the order of 4 million bbls Currently undertaking studies for optimal development Awaiting EIA approval for new well sites to dev
Slide 14: L20/50 Concession
L20/50 Concession For personal use only L20/50 50% 13
Slide 15: Exploring for on trend oil
Exploring for on trend oil For personal use only On trend with 200 million barrel Sirikit Oil Field (produced over 150 mmbbls & still producing ~20,000bopd) Nong Bua$1 drilled by Shell with oil shows Sirikit & potential oil column in sandstone Oil Field Initial analysis suggested a simple pumping op
Slide 16: Seismic acquisition and interpretation
Seismic acquisition and interpretation For personal use only Acquisition Interpretation 2009 2010 20$30 leads identified from 2009 seismic at three stratigraphic levels; Nine locations highlighted for surface scouting; Three locations completed drill site construction 15
Slide 17: Encouraging results
Encouraging results For personal use only Two wells drilled by CVN in 2011 Trap...? Wells drilled in the basin to date have likely not been drilled on viable structures, due to De$risked key elements to prove complex geology and sparse 2D data a working petroleum system coverage exists Reservoir: In
Slide 18: Focus on valid traps
Focus on valid traps Complex faulting on basin margin: For personal use only good potential for structural closures W E Chalawan Migration from depocentre Complex faulting and multiple fault terraces on eastern flank of basin Good potential for trapping along likely hydrocarbon migration pathways Fo
Slide 19: L52/50 & L53/50 Concessions
L52/50 & L53/50 Concessions For personal use only L52/50 & L53/50 50% 18
Slide 20: Early stage exploration
Early stage exploration For personal use only Under$explored basin with few valid well tests Close proximity to prolific offshore basins in the Gulf of Thailand Surface geological and structural mapping completed in 2010 Currently acquiring new 2D seismic to infill sparse 1988 vintage data CVN 50% &
Slide 21: Initial work encouraging
Initial work encouraging For personal use only Review of old wells show fair to excellent potential source rocks Outcrops confirm multiple reservoir potential (sandstone and limestone) 20
Slide 22: Ongoing work
Ongoing work For personal use only Initial structural maps (based on old 2D scanned data) shows multiple leads Currently acquiring new 2D seismic to infill sparse 1988 vintage data – concentrating on areas over known leads Drilling of two wells planned for 2012 Khian Sa$1 21
Slide 23: Next years in Thailand
Next 1 2 years in Thailand For personal use only Exploration – 1 2 wells Appraisal – 1 2 wells Acquire 3D seismic Exploit resources Exploration – 1 2 wells Develop reserves Exploration – 3 6 wells Appraisal – 3 6 wells Development Exploit resources Develop reserves Acquire 2D seismic Exploration – 1
Slide 24: Australia
For personal use only Australia 23
Slide 25: Phoenix – significant value potential
Phoenix – significant value potential For personal use only Material interests + large acreage + discovered gas Interests of 50% & 100% 28,300km2 acreage holding plenty of running room Gas discovered by BP in 1980 Focus on WA$435$P & WA$437$P contains the discovered gas contains new 3D seismic data
Slide 26: Gas discovered Phoenix well
Gas discovered Phoenix 1 well For personal use only The Phoenix$1 well reduces key geological risks on multi Tcf accumulations, such as the Phoenix South prospect. Extracts from BP’s Phoenix 1 well Geological Completion Report (July 1980) and Well Evaluation Report (Nov 1980): “Thicker sandstones be
Slide 27: New data 3D and 2D seismic
New data 3D and 2D seismic For personal use only Building valuable knowledge Phoenix$1 $ gas discovery Phoenix$2 – tight gas Kerauderan$1 – quality sands New 3D – 1,100km2 New regional 2D – 407km Prospect sizes are significant and range from 0.5 to 3.0 Tcf of recoverable gas. Drilling to focus on pr
Slide 28: First images from the 3D seismic data set
First images from the 3D seismic data set For personal use only 27
Slide 29: Development – standard configuration
Development – standard configuration For personal use only Planning for: Gas & condensate, based on Phoenix well results & regional field assessments. LNG or domgas configuration options. Options to utilise existing domestic gas pipeline near Port Hedland. A Granherne Concept Study supports a conven
Slide 30: Clear plan – achievable timeline
Clear plan – achievable timeline For personal use only Very clear strategy Minimising key risk elements Material prospects & leads Strong interest in the asset Material equity interests Multiple routes to crystalise value In a growing market for gas & LNG The time line above is indicative only 29
Slide 31: Conclusion
For personal use only Conclusion 30
Slide 32: Management's priorities
Management’s priorities For personal use only Steadily improve the base production from sandstone reservoirs (L44/43 & L33/43 Concessions, Thailand). Continue drilling high flowing volcanic reservoirs (L44/43 & L33/43 Concessions, Thailand). Farm out Phoenix asset to accelerate the drilling of poten
Slide 33: For personal use only
For personal use only Ground Floor 1322 Hay Street West Perth WA 6005 Telephone: +61 (8) 9321 2665 Fax: +61 (8) 9321 8867 www.carnarvon.com.au
Carnarvon Petroleum — 16th Asia Oil Week Conference 2011 on 6ix