Blue Energy Limited · ASX:BLU
Blue Energy — Energy Mines and Money Australia Conference 2019
18 slides from Blue Energy's conference presentation, Jun 13, 2019
Slide 1: Energy Mines and Money Australia Conference
For personal use only Energy Mines and Money Australia Conference Brisbane 12th June 2019 1
Slide 2: Legals: Disclaimer and Competent Person Statement
Legals For personal use only Disclaimer This presentation may contain forward looking statements that are subject to risk factors associated with the gas and energy industry. It is believed that the expectations reflected in the statements contained within are reasonable, but they may be affected by
Slide 3: Blue's Acreage Portfolio
B l u e ’s A c r e a g e P o r t f o l i o For personal use only Blue has Gas Reserves/Resources close to markets plus emerging play upside 1
Slide 4: Connecting the Bowen to east coast market brings more gas supply
Connecting the Bowen to east coast market brings more gas supply to market - quickly For personal use only Where will this volume come from? Un-developed Gas Reserves 15,000 PJ of and gas Prospective Resources) (Contingent resource Linking the producing Bowen Basin to the southern market will allevi
Slide 5: Why Gas is Important
For personal use only Why Gas is Important Un-developed Gas Reserves Data source: Shell 2019 Global data 3
Slide 6: The Importance of Gas in Australia
The Importance of Gas in Australia 950,000 East Coast jobs rely on Gas For personal use only 6.5 million Australian homes use gas for heating/cooking ~13,000 MW gas fired electricity generation - instant back up for solar/wind Agriculture : Fertiliser Industrial use : Glass making Brick making Waste
Slide 7: East Coast Domestic Gas Supply problem
East Coast Domestic Gas Supply problem …. More gas needed short/medium/long term For personal use only Undeveloped and/or undiscovered volumes Un-developed Reserves Competes with LNG export volumes ? AEMO 2018 Large volumes are required to be developed and discovered just to meet domestic demand Dri
Slide 8: Rush to renewable energy
Rush to renewable energy Gas fired generation stabilises grid Only Gas can provide instant back up For personal use only Un-developed Gas Reserves AEMO2019 AEMO 2019 Shift in NEM power generation source… from Q1 2018 to Q1 2019 Black Coal and Hydro displaced by rooftop and grid solar 6
Slide 9: When the sun goes down, there's no wind and coal generators go off line
…and when the sun goes down, t here’s no w ind and coal generators go off line…. For personal use only NEM Grid Wholesale Electricity Price - $/MWhr $14,000/Mwh ~ $2,000/Gj Un-developed Gas Reserves Source: Red Dolphin/PocketNEM Gas generators are buying gas for $ 6-10/Gj then getting uplift to $30-
Slide 10: Massive uplift on gas price with peaking gas fired generation
Massive uplift on gas price with peaking gas fired generation For personal use only $/Gj $/MWhr 8
Slide 11: Australian Electricity - World's cheapest to most expensive in 15 years
Aust ral i an El ect ri ci t y - Worl d’s cheapest t o most expensive in just 15 years!! For personal use only Start of NEM and privatisation of govt assets We have undone 50 years of efficient, reliable, low cost power generation attempting to reduce global atmospheric CO2 and average temperature….
Slide 12: Blue has Gas
Blue has Gas For personal use only Blue has Gas Reserves and Resources close to markets plus exploration upside 10
Slide 13: The Bowen Basin and ATP
T h e B o w e n B a s i n a n d AT P 8 1 4 Keys to long term East Coast gas security Nation building pipeline needed For personal use only • Large discovered resource: 10,000 - 15,000 PJ - development ready • Arrow (Shell/Petrochina) has 80% : Blue Energy has 20% of the resource • The Bowen Basin is
Slide 14: Blue's Bowen Gas Resource
B l u e ’s B o w e n G a s R e s o u r c e : 3 ,2 4 8 PJ’s For personal use only Well flowed at 2.5 mmcfd New wells flowed at 4 mmcfd 12
Slide 15: Blue's progress in Queensland
B lue’s progress in Queensland For personal use only • Blue increased Contingent Gas Resource by 237 PJ in ATP814P • Total 3C = 4,179 PJ (Bowen, Galilee and Surat Basins) • Total 2P+2C = 1,237 PJ • 2P = 71 PJ • 3P = 298 PJ • Assessed by NSAI – Dallas based top tier global certifier • Pipeline Survey
Slide 16: Exposure to Emerging Play: Proterozoic Shale in NT
Exposure to Emerging Play Proterozoic Shale in NT For personal use only • Material acreage position • Proven Petroleum System • World class source rocks • Proof of concept Origin Discovery well – gas flow = 0.8-1.2 mcfd • Pepper Inquiry Recommendations partially legislated - 135 in total • Beta test
Slide 17: Blue's Strategy and Catalysts
Blue’s Stra te gy a nd C a ta ly s ts For personal use only • Focussed on monetising Bowen Basin gas – 30 years of supply - negotiating with gas buyers - progressing pipeline options - Increasing gas resources - Investigating gas fired generation to stabilise renewables • Capitalise on short east co
Slide 18: For personal use only
For personal use only 18
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