Pancontinental Energy Nl · ASX:PCL
Pancontinental Energy Nl — Pancontinental Oil & Gas NL — Investor Presentation (June 2012)
38 slides from Pancontinental Energy Nl's investor presentation, Jun 12, 2012
Slide 1: Highly leveraged into two of the most exciting oil and gas regions of the decade
For personal use only Highly leveraged into two of the most exciting oil and gas regions of the decade Investor Presentation - June 2012 www.pancon.com.au
Slide 2: Disclaimer
Disclaimer These materials are strictly confidential and are being supplied to you solely for your information and should not be reproduced in any form, For personal use only redistributed or passed on, directly or indirectly, to any other person or published, in whole or part, by any medium or for
Slide 3: Introduction
Introduction Pancontinental Oil and Gas NL (PCL) is an ASX listed O&G Exploration Company For personal use only Anomalous - best positioned of the few juniors left standing offshore East Africa following recent consolidation activity (Cove, Dominion etc) Dual focus - the only company, large or small
Slide 4: Corporate Overview
Corporate Overview Capital Structure Shareholder Split For personal use only Shares on Issue 1,122.69 m Board & Mgmt Others 15% Options on Issue1 5.25 m Market Cap. (at $0.175) $196 m 55% Cash (June 2012) $55 m 30% Debt Nil Institutional Enterprise Value $141 m 1. 2.25m options (exercise price $0.12
Slide 5: African Asset Overview
African Asset Overview For personal use only 5
Slide 6: East Africa – Main Offshore O&G Players
East Africa – Main Offshore O&G Players For personal use only Map refers to main oil & gas players offshore East Africa as at February 2012 (this is not a comprehensive list) 6
Slide 7: East Africa Hotspot - Offshore Kenya
East Africa Hotspot - Offshore Kenya Offshore Kenya: For personal use only Similar depositional environment to AFRICA Rovuma basin in Mozambique PCL consider offshore Kenya to be an oil play, rather than gas Evidence of petroleum system (flat spots, oil seeps), multiple play types Under explored – o
Slide 8: Kenya – Success in East Africa Driving Interest
Kenya – Success in East Africa Driving Interest PCL has been active in Kenya for over 10 years and has an early mover advantage For personal use only Industry analysts continue to report East Africa has the potential to become one of the world’s largest oil and gas exploration plays over the next de
Slide 9: Offshore Kenya – Interest in Key Blocks
Offshore Kenya – Interest in 4 Key Blocks PANCONTINENTAL HAS INTERESTS IN FOUR For personal use only KEY BLOCKS OFFSHORE KENYA PANCONTINENTAL OFFSHORE KENYA - PCL is exploring for oil, rather than gas Evidence of petroleum system (flat spots, oil seeps), multiple play types Under explored – only 5 w
Slide 10: Kenya L6 & L8 Oil Slicks
Kenya L6 & L8 Oil Slicks For personal use only L6 + L8 Total 8,200km2 Water depths 0 to 1,300m & onshore Prospects associated with L6 slicks in both areas SLICKS L8 10
Slide 11: Kenya L8 – Mbawa to be Drilled Q3 2012
Kenya L8 – Mbawa to be Drilled Q3 2012 Mbawa spud Q3 2012, the date For personal use only depends on when the Deepsea Metro 1 is finished with its current operations PCL has 15% interest1 “free- carried” through Mbawa drilling by Tullow up to a “cap” of US$9m (as may be reduced by other exploration
Slide 12: Kenya L8 – Mbawa to be Drilled Q3 2012
Kenya L8 – Mbawa to be Drilled Q3 2012 For personal use only Mbawa Prospect to be drilled Q3 2012 Drill ship Deepsea Metro 1 contracted after current Tanzania drilling Source: Company Presentation by Apache Corporation (March 2012) 12
Slide 13: Kenya L8 – Mbawa Prospect
Kenya L8 – Mbawa Prospect 800m WATER DEPTH For personal use only POSSIBLE TERTIARY “FLAT SPOTS” Interpreted gas column overlying possible approx 150m oil column between “Flat Spots” TERTIARY / CRETACEOUS “FLAT SPOT”- TOP OF MAIN TARGET POSSIBLE LOWER “FLAT SPOT” – BASE OF MAIN TARGET TILTED JURASSIC
Slide 14: Kenya L8 – Mbawa's Multiple Targets
Kenya L8 – Mbawa’s Multiple Targets For personal use only Well is expected to take 45 to 60 days to complete Planned total depth of 3,250m subsea in water depth of 860m 14
Slide 15: Kenya L8 – Mbawa South
Kenya L8 – Mbawa South PCL could see extra drilling at Mbawa For personal use only South or another Prospect in the near term L8 has multiple play types and numerous follow-up opportunities after Mbawa The Mbawa South 3D seismic survey was carried out in preparation over several Prospects early 2012
Slide 16: Kenya L10A & L10B
Kenya L10A & L10B Two new blocks awarded 17 May 2011 For personal use only Effective Date 17 August 2011 10,000 km2 Water depth 200m to 1,800m Interpreted oil “kitchen” troughs Pancontinental 15%, Operator BG Group, partners Cove & Premier “Fast Track” exploration programme 16
Slide 17: Kenya L10A & L10B – Leads
Kenya L10A & L10B – Leads For personal use only Variety of “Leads” Diverse “play” types, some similar to Mbawa Prospect 3D & 2D completed January 2012 Expected drilling targets identified Q4 2012 2 wells 2013 - 2014 17
Slide 18: Kenya L6 - Kifaru Prospect 3D
Kenya L6 - Kifaru Prospect 3D Main Kifaru Prospect adjacent to For personal use only Kudu interpreted hydrocarbon kitchen / trough Kifaru 3D survey June 2012 Kifaru Prospect potential approx 1 Billion Bbls L6 - adjacent and geologically continuous to L8 (Mbawa) Chui 3,100 km2 Water depth 0 to 300m K
Slide 19: Expected Activity Timeline – Kenya
Expected Activity Timeline – Kenya PCL is well positioned offshore Kenya with direct exposure to up to potentially 4 wells by the end of 2013 For personal use only In addition, PCL could have indirect exposure to potentially 2+ offshore Kenya wells by the end of 2013 Nanaa 3D Mbawa Mbawa KENYA L8 2n
Slide 20: Offshore Namibia EL 0037 – Blocks
Offshore Namibia EL 0037 – 3 Blocks For personal use only Namibia EL 0037 covers blocks 2012B, 2112A and 2113B Pancontinental 85% & Operator 1 Petroleum Agreement & Exploration Licence signed 28 2 3 June 2011 17,295 km2 offshore PCL considering early farmout 4 and accelerated programme 1 June 2012:
Slide 21: Namibia – Interest is Heating Up
Namibia – Interest is Heating Up PCL has been active in Namibia for over 5 years and has an early mover advantage For personal use only Recent farm-in deals and acquisitions have been secured at considerable premiums with major oil and gas companies (BP plc, HRT Participacoes, Chariot) Recent resour
Slide 22: Namibia EL 0037 – Oily Sweet Spot
Namibia EL 0037 – Oily Sweet Spot PCL Acreage: EL 0037 offshore Namibia Fully Oil-Mature Source Rocks in “Inner Graben” Namibia EL 0037 covers 17,295 For personal use only km2 offshore Predicted Present-Day Maturity for Early Aptian Oil “sweet spot” interpreted in Source Rock “Inner Graben” in EL 00
Slide 23: Namibia EL 0037 – Numerous Leads
Namibia EL 0037 – Numerous Leads Numerous very large Leads identified For personal use only Highly varied Play types Good historic 2D Centrally positioned in predicted oil-mature fairway “Inner Graben” High level of regional activity BASIN FRAMEWORK -TRANSITION ZONE BASIN FLOOR OIL MATURE FAIRWAY --
Slide 24: Namibia EL 0037 – Example Lead D5
Namibia EL 0037 – Example Lead D5 EL 0037 – Similar Play styles to oil For personal use only producing areas elsewhere in W Africa D5 Dalia Field Angola Transition Zone ?Detached Basin- Floor Fan Sequence Weak Flat Event D 24
Slide 25: Namibia EL 0037 – Source Rock
Namibia EL 0037 – Source Rock For personal use only Excellent Regional Oil – Prone Source Rocks 25
Slide 26: Expected Activity Timeline – Namibia
Expected Activity Timeline – Namibia For personal use only PCL is well positioned offshore Namibia to secure a farm-in partner for drilling PCL could have indirect exposure to potentially 6+ offshore Namibia wells over the next 12 – 18 months NAMIBIA Consider Farmout Options 3D Seismic Under Farmout
Slide 27: Well Funded for Foreseeable Drilling Activity
Well Funded for Foreseeable Drilling Activity For personal use only PCL is well funded for all foreseeable drilling activity with approximately $55 million in cash Interest Activity Est. Cost to PCL (A$) Est. Timing Est. Total Cost to PCL1 (A$) Mbawa Well 1 $9m Q3 2012 Kenya L8 Additional 3D Seismic
Slide 28: Pancontinental Investment Highlights
Pancontinental Investment Highlights Pancontinental – For personal use only has significant East African (Kenyan) and Namibian acreage holdings is outstanding amongst the few junior oil explorers left standing in East Africa is the ONLY junior exploring two of the most exciting oil plays of the deca
Slide 29: Pancontinental Oil & Gas NL
For personal use only Pancontinental Oil & Gas NL Ground Floor 288 Stirling Street Tel: +61 (8) 9227 3220 Perth, WA 6000 Fax: +61 (8) 9227 3211 Australia www.pancon.com.au 29
Slide 30: Appendices
For personal use only Appendices 30
Slide 31: Board & Management
Board & Management Mr Henry David Kennedy, Chairman Mr Kennedy has had a long association with Australian and New Zealand resource companies. As a technical director he has been instrumental in the formation and/or development of a For personal use only number of successful listed companies. These i
Slide 32: Asset Summary
Asset Summary Block Area (km2) PCL Interest (%) Operator (%) Partners (%) For personal use only Kenya L6 3,100 40.0% FAR Limited(60%) FAR Limited (60%) Kenya L8 5,115 15.0% Apache (50%) Apache (50%) Origin Energy (20%), Tullow (15%) Kenya L10A 4,962 15.0% BG (40%) BG (40%) Cove (25%), Premier (20%)
Slide 33: Cove Energy Setting the Path in East Africa
Cove Energy Setting the Path in East Africa For personal use only Cove Energy has had tremendous success in East Africa, offshore Mozambique The Cove story demonstrates the significant amount of leverage junior companies can offer to high reward oil & gas plays PCL is highly leveraged into East Afri
Slide 34: Kenya L10A & L10B – Leads
Kenya L10A & L10B – Leads For personal use only Upper Jurassic Reef Tertiary / Upper Cretaceous anticline Miocene reef Cretaceous Miocene reef Mega-channel Cretaceous Mega-channel 34
Slide 35: Kenya L10A & L10B – Leads
Kenya L10A & L10B – Leads For personal use only Olkaria Lead Tertiary / Upper Cretaceous anticline Upper Jurassic reef 35
Slide 36: Namibia EL 0037 – Numerous Leads
Namibia EL 0037 – Numerous Leads Transition C-M1 Transition For personal use only Zone A-B 5 Turonian Zone Lower Transition Basal Transition Channel Syn-Rift Flexure Slope Zone Zone Channel Channel Turbidite Channel O M A C B Dalia Field Angola E2 D5 Santonian Channel incised Transition Zone into Tu
Slide 37: Australia – EP & EP
Australia – EP 424 & EP 110 For personal use only PCL – 38% interest Known oil province Baniyas Prospect on trend to producing oil fields Water depth of 10m 37
Slide 38: Australia – EP / R1 & L15
Australia – EP 104 / R1 & L15 For personal use only Looking for oil on- trend to Blina etc PCL West Kora L15 oil redevelopment PCL 12% 38
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