Strike Energy Limited · ASX:STX
Strike Energy — Taylor Collison East Coast Gas Conference 2017
16 slides from Strike Energy's conference presentation, Apr 5, 2017
Slide 1: East Coast Gas Presentation – ASX Announcement
ASX Announcement 5 April 2017 For personal use only The Company Announcement Officer ASX Ltd via electronic lodgement East Coast Gas Presentation – April 2017 Please find attached a presentation to be given today by Mr David Baker (Managing Director). Yours faithfully Matthew Montano Chief Financial
Slide 2: Taylor Collison Limited: East Coast Gas
STRIKE ENERGY LIMITED Taylor Collison Limited: East Coast Gas For personal use only April 2017
Slide 3: Introduction
Introduction For personal use only Strike Energy Limited (ASX : STX) is an Australian based, independent oil and gas exploration company. The company is focused on the development of a substantial gas resource in the Southern Cooper Basin to meet Eastern Australian gas market demand. Listing ASX (ti
Slide 4: Southern Cooper Basin Gas Project
For personal use only Southern Cooper Basin Gas Project
Slide 5: Location, location, location
Location, location, location ... and competitive economics ... For personal use only Coal seam gas fundamentals Positive Economies Location Low Supply Cost Regulatory Industry Support of Scale Environment Access to market Supply gap Alignment of security (150-250 PJ/a) Proximity to services Position
Slide 6: Scale and Location
Scale and Location Prospective 2C Resource + Contingent Resource Moomba For personal use only PEL 94 2,702 Bcf^ PEL 95 3,817 Bcf^ Marsden 1 PEL 96 4,492 Bcf* Total 11,011 Bcf PEL 94 PEL 95 PEL 96 Phase Davenport 1 STX 50% Mount Isa One Area 1,123 Bcf* 104 Bcf* STX 35% Le Chiffre 1 Gladstone Klebb pr
Slide 7: Low Gas Supply Cost: Key Parameters
Low Gas Supply Cost: Key Parameters The geological and reservoir characteristics in each gas field define the overall quantity and quality and ultimate recovery of the gas resource. Geology varies between gas basins with implications for exploration activity and production outcomes. The pilot stage
Slide 8: Primary risks to low supply cost: Permeability
SCBGP: Primary risks to low supply cost: Permeability Typically CSG reservoirs are commercialised where they are shallower than 1,000m due to the stress induced by the overburden and resulting closure of cleats and natural fractures. In the Queensland fields, typical CSG reservoirs are from 300m to
Slide 9: Primary risks to low supply cost: Thermal Maturity & Resource Concentration
SCBGP: Primary risks to low supply cost: Thermal Maturity & Resource Concentration Typically increases with burial history (maximum depth). Southern Patchawarra Cooper coals have a Vitrinite reflectance of 0.6%-0.8%, which is within the gas generation window for inertinite macerals. Inertinite is a
Slide 10: Reservoir Fundamentals
SCBGP: Reservoir Fundamentals The southern Cooper coals are thick, competent, consistent and continuous over tens of kilometres. The wells are cased and fracture stimulated so that de-watering is from the target seams only and not from interbedded sands, as can be the case in the open-hole For perso
Slide 11: Status of pilot appraisal
SCBGP: Status of pilot appraisal The remaining key objective for the Klebb pilot is to confirm the range of gas content of the Vu Coal at Klebb, which represents approximately 50% of the target Patchawarra coals. Flow testing has positively refined our understanding of the key play drivers. Further
Slide 12: High confidence in commercial outcome
SCBGP: High confidence in commercial outcome Strike’s 2013 discovery of thick coal seams in the primary Patchawarra target zone (net 65m) indicated the transformational potential of the SCBGP. Subsequent to this discovery the Company has progressively established the reservoir characteristics, inclu
Slide 13: Transformational potential of low supply cost outcome
SCBGP: Transformational potential of low supply cost outcome Gas flows from the Klebb pilot are expected to confirm the remaining reservoir parameters that determine commercial potential. The enormous scale of the prospective resource will drive SCBGP down the cost curve. For personal use only Resou
Slide 14: Initial customer base in place: Clear pathway to gas production
Initial customer base in place: Clear pathway to gas production • 1.5 million acres, ideally located southern Cooper coals For personal use only • 11 Tcf prospective resource • $90 million expended on exploration, appraisal and pilot production Funding sources Substantial industry support Mount Isa
Slide 15: Important Notice
Important Notice This presentation does not constitute an offer, invitation or recommendation to subscribe for, Contingent Resource Estimate or purchase any security and neither this presentation nor anything contained in it shall form For personal use only the basis of any contract or commitment. D
Slide 16: Important Notice: continued
Important Notice: continued Competent Persons Statement For personal use only The information in this presentation that relates to the PEL 96, PEL 95 and PEL 94 contingent resources estimate has been taken from the independent reports as prepared by DeGolyer and MacNaughton, a leading independent in
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