Buru Energy Ltd · ASX:BRU
Buru Energy — Investor Presentation (October 2014)
17 slides from Buru Energy's investor presentation, Oct 16, 2014
Slide 1: Corporate Update: Delivering Western Australia's Energy Future
Corporate Update For personal use only Delivering Western Australia’s Energy Future www.buruenergy.com
Slide 2: Important Notice and Disclaimer
Important Notice and Disclaimer Disclaimer For personal use only This document has been prepared by Buru Energy Limited ABN 71 130 651 437 (“Buru Energy"). This presentation contains certain statements which may constitute "forward-looking statements". It is believed that the expectations reflected
Slide 3: Corporate and share price performance
Corporate and share price performance Corporate Overview For personal use only Formed 2008 Ticker ASX:BRU Index S&P/ASX300 Shares on issue 336 million Share price 0.76 cps 14 Oct 6 month share price Market Cap ~$255 million Cash on hand ~$60 million (post Capital Raise - pre SPP) ~53,188 sq km Net A
Slide 4: Capital raising
Capital raising Summary • Cornerstone Investor Placement $20 million For personal use only • Eligible Shareholder Placement $8 million • Share Purchase Plan Capped at $12 million, not underwritten • Maximum Total Funds Raised $40 million • Fully funded 2014/2015 work programs • Cornerstone Investor
Slide 5: Buru investment drivers
Buru investment drivers Extensive basin wide acreage spread in the most underexplored onshore Australian basin For personal use only Significant oil and gas potential in conventional reservoirs with current oil production from Ungani field Multi TCF tight gas resource with high liquids content
Slide 6: Business structure
Business structure CONVENTIONAL GAS AND OIL For personal use only • Ungani Oil Field play opening discovery • Regional follow-up potential • Low cost development with short term cash flow generation • Oil provides benefits to all stakeholders in short time frames • Good potential for conventional ga
Slide 7: Outstanding whole of basin acreage position
Outstanding whole of basin acreage position MAJOR LONG TERM POSITION WITH TENURE CERTAINTY • Regional acreage position For personal use only • Continuous basin wide coverage gross 93,007 sq kms (22.9 million acres), 640km by 250km (~450 miles by ~150 miles) • Generally 50% equity and operatorship •
Slide 8: Buru controls the highest potential acreage
Buru controls the highest potential acreage THREE MAJOR PETROLEUM SYSTEMS • Ungani oil trend For personal use only • High quality conventional reservoirs • Prolific oil source rocks • Well defined prospects • Laurel Formation • Potential giant gas accumulation • Basin centred tight wet gas accumulat
Slide 9: Ungani EPT overview
Ungani EPT overview Transport to Storage & export Shipping to Ungani Field Wyndham Tank from Wyndham refinery Farm For personal use only EPT production Oil Trucking Port Facility Crude shipping U2 well producing strongly with 900km to existing tank farm Wyndham Port using existing Wyndham to regiona
Slide 10: Laurel Gas
Laurel Gas CONTROLLED BY BURU/MITSUBISHI JV • Upside For personal use only • Regional scale gas accumulation • Basic centred tight wet gas (BCGS) • High deliverability conventional reservoirs present • Resource • +100 TCF in the BCGS and +1Bn bbls oil (gross) - with 47 TCF gas net to Buru (independe
Slide 11: Trial reservoir stimulation proves tight gas potential
Trial reservoir stimulation proves tight gas potential THE YULLEROO 2 STIMULATION AND TEST VALIDATES THE TIGHT GAS POTENTIAL OF THE BASIN For personal use only • Yulleroo wells have defined a 700 to 800 meters tight gas column with thin conventional sandstone reservoirs over a large area • Sufficien
Slide 12: Laurel Gas value creation - systematic process
Laurel Gas value creation - systematic process For personal use only Current Project Phase Phase 4 Development 2016 VALUE Phase 2/3 Phase 1 PRE-FEED/ FEED Exp and Feasibility 2014-2015 Appraisal 2013-2014 <2013 PROJECT PHASE JV Internal Farm-out/sell down Farm-out/sell down Mitsubishi resources inte
Slide 13: Exploration and appraisal program
Exploration and appraisal program For personal use only APPRAISAL AND TEST EXPLORATION DRILLING SEISMIC ACQUISITION • Ungani 1 - workover • Commodore 1 • 2D surveys (988 kms) • Ungani North - test • Olympic 1 • 3D survey (240 sq kms) • Ungani 3 - workover and test • Lennard Shelf - 2 wells • Paradis
Slide 14: High value conventional oil exploration
High value conventional oil exploration For personal use only UNGANI OIL DISCOVERY IS A ‘PLAY OPENER’ OTHER CONVENTIONAL OIL PLAYS • Conventional vuggy dolomite reservoir • Paradise area - test of Paradise oil discovery planned, • Ungani Nth proved extensive petroleum system many additional prospect
Slide 15: Funding secured for 2014/2015 planned programs
Funding secured for 2014/2015 planned programs CURRENT SITUATION • Ungani development For personal use only • Relatively low cost - main cost is wells • Export facility - off balance sheet funding • Strongly cash flow positive when in production rather than EPT mode • Mitsubishi Funding agreement re
Slide 16: Buru Energy's vision
Buru Energy’s vision PHASE 1: Oil Export: 2013-2025+ Oil export facility, >1-2+mmbo/yr export For personal use only Broome Wyndham Port Hedland PHASE 4: LNG sales 2020+ New or gas sales to existing LNG Dampier plants along NW Shelf PHASE 2: Powering the North & Midwest: •Target 30 – 200MW power •<30
Slide 17: Energising Western Australia
Energising Western Australia For personal use only 17