Otto Energy Limited · ASX:OEL
Otto Energy — Noosa Mining Conference 2019
19 slides from Otto Energy's conference presentation, Jul 18, 2019
Slide 1: Noosa Mining Conference Presentation
Noosa Mining Conference Presentation 18 July 2019 ASX: OEL 1
Slide 2: Disclaimer
Disclaimer This presentation is provided for information purposes only and is not a disclosure document as defined under the Corporations Act 2001 (Cth) This presentation does not constitute an offer, invitation, solicitation or recommendation with respect to the purchase, sale or issue of any secur
Slide 3: Otto Energy – Investment Exposure to the Gulf of Mexico
Otto Energy – Investment Exposure to the Gulf of Mexico ASX-listed, US focused, conventional oil and gas production and exploration business Investment Snapshot Operating Partner Hilcorp Energy • Current production of ~2250 boepd is expected to Byron Energy Talos Energy generate net free cashflow of
Slide 4: Significant Achievements and High Impact Activity during 2019
Significant Achievements and High Impact Activity during 2019 Otto has a multi well drilling program underway in the Gulf of Mexico region of the US with two wells currently testing targets and three additional wells expected to commence during remainder 2019 SM71 • Continued strong production and c
Slide 5: Otto Energy Gulf of Mexico Area Key Projects
Otto Energy Gulf of Mexico Area Key Projects Strong free cashflow base to fund growth ~US$2.4m in net operating cashflow each month Metric SM 71 Lightning Gulf Coast Green Canyon 21 VR 232 Type JV JV JV JV JV 37.5% WI 16.67% WI 100% WI Ownership Structure 50% WI 37.5% WI (50% of Cost1) (22.22% of Co
Slide 6: Production - South Marsh Island 71 and Lightning Projects
Production - South Marsh Island 71 and Lightning Projects Strong free cashflow base to fund growth ~US$2.4m in net operating cashflow each month South Marsh Island 71 (Otto 50% / Byron Energy (operator) 50%) Why the Gulf of Mexico? Location Shallow Water offshore Louisiana • Premium pricing to WTI P
Slide 7: Appraisal – Green Canyon 21 “Bulleit”, offshore Gulf of Mexico
Appraisal – Green Canyon 21 “Bulleit”, offshore Gulf of Mexico Appraisal well currently drilling deeper – 119 feet of TVT net pay logged in DTR-10 sands • Quality Partners and experienced operator in Talos Energy • Successfully found hydrocarbons in shallow sand target (DTR-10 sands) ~16 km tie-back
Slide 8: Exploration – Mustang Prospect, onshore Texas Gulf Coast
Exploration – Mustang Prospect, onshore Texas Gulf Coast Exploration well spud in May 2019 – results expected in early Q3 2019 • Currently drilled ahead to primary target with experienced operator Hilcorp Energy testing a 3 well complex including Mustang, Corsair and Hellcat prospects which Otto wil
Slide 9: Pipeline of Opportunities
Pipeline of Opportunities Otto has assembled an exciting pipeline of upcoming activities as a result of its partnership strategy 2019 2020 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q2 2020 Q3 2020 Q4 2020 SM 71 Low-cost production Lightning Low-cost production 2nd Lightning Development Well VR232 Ongoing stud
Slide 10: Free Cash Flow Reserves Actively Drilling
Otto Energy Limited (ASX:OEL) Strong base of free cash flow to fund continued growth through the drill bit Free Cash Flow • Low cost oil producer - expected to generate net free cashflow of ~US$2.4m per month from existing production of ~2250 boepd • Certified 1P and 2P Reserves; update expected Jul
Slide 11: Appendix
4 a RARE) Appendix
Slide 12: Corporate Snapshot
Corporate Snapshot (ASX:OEL) CAPITAL STRUCTURE FUNDING POSITION SHAREHOLDERS Fully paid ordinary shares 2.460b Cash (6 May 2019) US$16.8m Perennial Value Management 12.8% Performance Rights 46.8m Debt Nil Molton Holdings 12.4% Market capitalisation1 A$120m AMP 5.01% Directors & Management 2.9% ASX:O
Slide 13: Board of Directors
Board of Directors John Jetter Ian Macliver Ian Boserio Kevin Small Non-Executive Chairman Non-Executive Director Non-Executive Director Non-Executive Director & LLB, BEc INSEAD BComm, FCA, SF Fin, FAICD BSc (Hons) Senior Exploration Consultant Former MD/CEO J.P. Morgan Managing Director Grange Exec
Slide 14: Management Team
Management Team Matthew Allen David Rich Philip Trajanovich Will Armstrong Managing Director & CEO Chief Financial Officer & Company Secretary Senior Commercial Manager Vice President, Exploration and New Business BBus, FCA, FFin, GAICD BCom. FCA, GAICD, Grad.Dip.CSP AGIA B.Com (First Class Honours)
Slide 15: Reserves & Prospective Resources
Reserves & Prospective Resources RESERVES AND PROSPECTIVE RESOURCES RESERVES AND PROSPECTIVE RESOURCES OTTO ENERGY WORKING INTEREST (WI) % OTTO ENERGY NET REVENUE INTEREST (NRI) % Reserves - 30 June 2018 Oil (Mbbls) Gas (MMscf) Mboe (6:1) Reserves - 30 June 2018 Oil (Mbbls) Gas (MMscf) Mboe (6:1) SM
Slide 16: Glossary
Glossary Abbreviation Expanded Term Definition GoM Gulf of Mexico Million barrels of oil equivalent/ MMboe / mboe thousand Million standard cubic feet per day MMscfpd (gas) bopd Barrels of oil per day TD Total Depth The depth of the bottom of the well MD Measured Depth The total length of the wellbo
Slide 17: Competent Persons and Cautionary Statements
Competent Persons and Cautionary Statements Competent Persons Statement The information in this report that relates to oil and gas resources in relation to the Gulf Coast Package (Lightning, Mustang, Beluga, Oil Lake, Tarpon and Mallard) in the Gulf of Mexico was compiled by technical employees of H
Slide 18: Competent Persons and Cautionary Statements
Competent Persons and Cautionary Statements Prospective Resources Prospective resource estimates in this report for SM 71 are prepared as at 30 June 2018. Refer to the ASX release of 6 August 2018. The Gulf Coast Package and Alaska Central Blocks prospective resource estimates in this report are eff
Slide 19: Address Contact Info Telephone
Address 32 Delhi Street West Perth WA 6005 Australia 1200 Smith Street Suite 1080 Houston TX 77002 United States of America Contact Info Email: info@ottoenergy.com Web: www.ottoenergy.com Telephone + 61 8 6467 8800 +1 713 893 8894 19