Europa Oil & Gas (holdings) Plc · LSE:EOG
Europa Oil & Gas (holdings) — Shareholder Meeting (November 2014)
30 slides from Europa Oil & Gas (holdings)'s shareholder meeting presentation, Nov 12, 2014
Slide 1: AGM Presentation Nov 2014
12 Nov AGM Presentation Nov 2014 AGM Presentation 2014 multi-stage asset revenue funded exploration portfolio backed generative programme Europa Europa Oil & Gas Oilplc&| www.europaoil.com (Holdings) Gas (Holdings) Plc: EOG | AIM | AIM: EOG | www.europaoil.com
Slide 2: Disclaimer
AGM Presentation Nov 2014 DISCLAIMER The information contained in these slides and this presentation is being supplied to you by Europa Oil & Gas plc on behalf of itself and its subsidiaries (together “the Company”) solely for your information and may not be reproduced or redistributed in whole or i
Slide 3: Overview
AGM Presentation Nov 2014 OVERVIEW AIM-quoted oil and gas explorer and producer with UK onshore producing fields and highly prospective blocks PROFILE in France, the Irish Atlantic Margin and UK onshore Profitable & cash generative at operating level – PROFITABLE revenues from existing UK production
Slide 4: Strategy and Focus
AGM Presentation Nov 2014 STRATEGY AND FOCUS “Objective is to become a top quartile AIM company by December 2017” The Irish Atlantic Margin £100m + East Midlands market cap Oilfields and Exploration Weald Basin New ventures via Exploration ground floor licence Aquitaine Basin application & farm- App
Slide 5: Portfolio Perspective
AGM Presentation Nov 2014 PORTFOLIO PERSPECTIVE Europa Oil & Gas (Holdings) plc | www.europaoil.com | AIM : EOG 5
Slide 6: Portfolio Risked NAV
AGM Presentation Nov 2014 PORTFOLIO Risked NAV Mean risked Portfolio NAV £273M Median (P50) Portfolio NAV £75M Based on CPR risked and diluted volumes Europa Oil & Gas (Holdings) plc | www.europaoil.com | AIM : EOG 6
Slide 7: Irish Atlantic Margin Exploration
AGM Presentation Nov 2014 IRISH ATLANTIC MARGIN EXPLORATION o FEL 2/13 and FEL 3/13 o Combined 1550 km2 in the underexplored South 200km Porcupine Basin, offshore Ireland o Large Lower Cretaceous clastic prospects in stratigraphic traps with amplitude support o Proven play at Burren (North Porcupine
Slide 8: Porcupine Basin: Exploration Hotspot
AGM Presentation Nov 2014 PORCUPINE BASIN: EXPLORATION HOTSPOT Connemara and Spanish Pt FEL 2/04, FEL 4/08, FEL 1/14 Jurassic oil discoveries Cairn Energy farm-in to Chrysaor and Sosina Burren Drill Spanish Point 2015, Lower Cretaceous oil discovery 3-D acquisition 500km2 2014 ~700 bopd LO 11/10 LO
Slide 9: Late Jurassic Source Rock Super Highway
AGM Presentation Nov 2014 LATE JURASSIC SOURCE ROCK SUPER HIGHWAY Dooish Burren, Connemara, Spanish Point ? Mizzen, Bay du Nord, Hibernia, White Rose, Harpoon. > 1 billion bo Terra Nova . >2 billion bo Europa Oil & Gas (Holdings) plc | www.europaoil.com | AIM : EOG 9
Slide 10: Geoseismic Section & Inspiration
AGM Presentation Nov 2014 GEOSEISMIC SECTION & INSPIRATION MULLEN PROSPECT Mid Aptian Unconformity and Cretaceous turbidite sandstones in correlative conformity stratigraphic traps 43/13-1 The Inspiration: West African Cretaceous Stratigraphic play Europa Oil & Gas (Holdings) plc | www.europaoil.com
Slide 11: Fast Track Exploration
AGM Presentation Nov 2014 FAST TRACK EXPLORATION o Early conversion to 15 year Frontier Exploration Licences (FEL) on 5 July 2013 o Phase 1, July 2013 – July 2016: 740 km2 seismic obligation o Phase 2, July 2016 –July 2020: commitment well o 3-D seismic acquisition completed in Oct 2013 o Phase 1 ob
Slide 12: 3-D Impact: De-risk Prospects
AGM Presentation Nov 2014 3-D IMPACT: DE-RISK PROSPECTS Europa considers risks to be c. 1 in 10 3-D seismic has the potential to reduce to 1 in 5 Reduction if flat events, conformance & AVO anomalies identified NPV10 US$18 bbl De-risk with 3D Minimum economic field size 100MMbo Current position ± 20
Slide 13: Onshore France: Gas Exploration and Appraisal
AGM Presentation Nov 2014 ONSHORE FRANCE: GAS EXPLORATION AND APPRAISAL o Located in very close proximity to giant gas fields and gas infrastructure o Fractured carbonate reservoir, hot and sour, similar to nearby Lacq (9tcf) and Meillon (2tcf) fields Berenx shallow gross mean resources of Berenx Sa
Slide 14: Bearn des Gaves: The Prize
AGM Presentation Nov 2014 BEARN DES GAVES: THE PRIZE Shallow ~ US$1 billion of drillable potential gas resource identified S N Salt Berenx 1 20% gas shows in Neocomian Aptian Unc. GWC Top Neocomian Top Kimmeridgian. Berenx Shallow 107 bcf mean un-risked Triassic Salt Deep resource NPV10 US$205 milli
Slide 15: France: Targeting a Well Within 18 Months
AGM Presentation Nov 2014 FRANCE: TARGETING A WELL WITHIN 18 MONTHS o Béarn des Gaves Permit renewed until March 2017 with an expenditure commitment of approximately €2.5million o Strategy to drill a well on the shallow gas play first with anticipated total depth of approximately 2,500m / well cost
Slide 16: Onshore UK Production: East Midlands
AGM Presentation Nov 2014 ONSHORE UK PRODUCTION: EAST MIDLANDS o Three producing fields: Crosby West Whisby Warren Firsby o Mean net risked reserves 0.44 million barrels o FY14 target production of 165 boepd hit o Initiatives on-going to reduce opex and augment production o Revenues cover corporate
Slide 17: Onshore UK Exploration: East Midlands Petroleum Province
AGM Presentation Nov 2014 ONSHORE UK EXPLORATION: EAST MIDLANDS PETROLEUM PROVINCE Broughton EOG has 33% interest with estimated mean gross un-risked resources of 1.85mmbo. Flowed oil when drilled by BP in 1984. Kiln Lane-1 Wressle EOG has 50% working interest with gross un- EOG has 33% working inte
Slide 18: Wressle-1
AGM Presentation Nov 2014 WRESSLE-1 o Spudded 19 July 2014 and drilled to a total depth of 2,240 metres (1,814m TVDSS) on 23 August 2014 o Well suspended and awaiting start-up of production testing operations in Q4 2014 o Preliminary petro-physical evaluation of MWD (measurement whilst drilling) log
Slide 19: Kiln Lane / PEDL-181: Prospect Summary
AGM Presentation Nov 2014 KILN LANE / PEDL-181: PROSPECT SUMMARY Kiln Lane Top Westphalian A Time High Area 5.179 km2 Yellow Kiln Lane Reservoir P90 P50 P10 Structure Map 2) 0.798 1.784 5.179 Area (km Net Thickness (m) 4 12 20 Geom Factor 0.9 0.95 1 NRV (MMCUM) 2.9 20.3 103.6 Porosity % 0.11 0.13 0.
Slide 20: Onshore UK Exploration: Holmwood Prospect, Weald Basin
AGM Presentation Nov 2014 ONSHORE UK EXPLORATION: THE HOLMWOOD PROSPECT, THE WEALD BASIN o Jurassic sandstone reservoirs in the Weald Basin, Surrey PEDL 143 WEALD BASIN o Europa 40% working interest (Egdon Resources 38.4%, Altwood Petroleum 1.6%, Warwick Energy 20%) o CPR mean gross unrisked prospec
Slide 21: 2014 – 2015: Highly Active
AGM Presentation Nov 2014 2014 – 2015: HIGHLY ACTIVE Q4 2014 production testing at Wressle PEDL 180 to determine commerciality UK Q4 2014 commence operations for exploration well at Kiln Lane PEDL 181 UK France Complete farm-out process and permitting activity for shallow gas well in 2015 on Bearn d
Slide 22: Work Programme
AGM Presentation Nov 2014 WORK PROGRAMME 2013 2014 2015 2016 Licence Prospect Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 PEDL 180 Wressle PEDL 182 Broughton PEDL 143 Holmwood PEDL 181 Kiln Lane PEDL 181 Well 2 Bearn des Gaves Berenx shallow Tarbes well 1 FEL 2/13 Mullen FEL 3/13 Kiernan firm we
Slide 23: Contact
AGM Presentation Nov 2014 CONTACT Europa Oil & Gas (Holdings) Plc Porter Street, London, W1U 6DD UK Telephone +44 20 7224 3770 mail@europaoil.com www.europaoil.com Frank Buhagiar/Lottie Brocklehurst St Brides Media & Finance Ltd Telephone +44 20 7236 1177 Europa Oil & Gas (Holdings) plc | www.europa
Slide 24: Appendices
AGM Presentation Nov 2014 APPENDICES Europa Oil & Gas (Holdings) plc | www.europaoil.com | AIM : EOG 24
Slide 25: 5 Year History
AGM Presentation Nov 2014 5 YEAR HISTORY £,000 Year to 31 July Year to 31 July Year to 31 July Year to 31 July Year to 31 July ‘14 ‘13 ’12 ‘11 ‘10 Production, boepd 165 182 200 169 180 Revenue 3,878 4,503 5,080 3,766 3,091 Cost of Sales (2,301) (2,954) (2,692) (2,216) (1,836) Exploration Write offs
Slide 26: Board of Directors
AGM Presentation Nov 2014 BOARD OF DIRECTORS Hugh Mackay Hugh is a geologist and joined Europa in 2011. He has a wealth of experience in the oil and gas sector, including eight years at BP in a variety CEO of roles in the UK, the Oman and Egypt, then at Enterprise Oil in leadership roles, culminatin
Slide 27: Europa Portfolio: Volumes & Risk
AGM Presentation Nov 2014 EUROPA PORTFOLIO: VOLUMES & RISK Risk (Chance Net Risked Resource Gross Unrisked Resources Net Unrisked Resources ASSET Fluid Equity of Discovery / Resources Category mmbbl/Bcf mmbbl/Bcf Commerciality) mmbbl/Bcf P90 P50 P10 Mean P90 P50 P10 Mean Mean UK West Firsby Reserve
Slide 28: Europa Portfolio: Risked Value
AGM Presentation Nov 2014 EUROPA PORTFOLIO: RISKED VALUE Net Risked Mean Mean EMV EMV Resource Europa Risked ASSET Fluid Resources unrisked risked Capex net (risked (risked Category $/boe NAV mmbbl/Bcf value value NAV) NAV) Mean $mm $mm $mm $mm £mm p/share UK West Firsby Reserve Oil 0.23 13.40 3.14
Slide 29: Multi-Stage Portfolio of Assets
AGM Presentation Nov 2014 MULTI-STAGE PORTFOLIO OF ASSETS Working Europa Assets Oct 2014 Country Stage 2P/2C 3P/3C * Interest 1P/1C West Firsby UK 100% Production Crosby Warren UK 100% Production UK Production Whisby UK 65% Production Holmwood, PEDL 143 Licence UK 40% Prospect Wressle, PEDL 180 Lice
Slide 30: Oil & Gas Fiscal Regimes
AGM Presentation Nov 2014 OIL & GAS FISCAL REGIMES UK France Ireland Effective rate 62% Effective rate 34.4% Effective rate 25% Exploration & capex Royalty 5% (for >10.6 Up to 15% PRRT if 100% deductible in first bcf/year) cumulative field year profit/capex > 4.5 Onshore Allowance gives Exploration
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