Borders & Southern Petroleum Plc · LSE:BOR
Borders & Southern Petroleum — Shareholder Meeting (December 2005)
19 slides from Borders & Southern Petroleum's shareholder meeting presentation, Dec 8, 2005
Slide 1: AGM Presentation - 8th December 2005
AGM Presentation - 8th December 2005
Slide 2: Highlights
Highlights z Company incorporated in June 2004 z Awarded exploration licences in the Falkland Islands z Listed on AIM in May 2005, raising £10 million (gross) z Successfully completed a seismic acquisition programme in June 2005 z Currently interpreting seismic data
Slide 3: Financial Summary
Financial Summary z Capital raised after costs £ 11.84 million z Overhead and project costs (net of interest) £ 1.42 million z Cash in bank as @ 30 June 2005 £ 10.42 million
Slide 4: Share Price
Share Price 46 44 42 40 38 36 34 32 30 28 26 24 22 20 er t ber e er y ber gus J un J ul tob mb cem vem Au Oc pt e De No Se Shares in issue: 127,687,500 Market Capitalisation: £ 44 million
Slide 5: South Falkland Basin
‘S a w a se} rt S = oc re ra s > o) ”
Slide 6: Falkland Islands
Falkland Islands Fold belt trend
Slide 7: Falkland Islands Licences
Falkland Islands Licences z Effective date of Licences: 1st November 2004 z Equity: Borders & Southern 100% z Acreage size: 80 Blocks (19,598 sq km) z Water depths: 200 to 3000 metres z Work Programme: First 3 year Period – 2500km of 2D seismic Second 3 year Period – 1 well z Work to date: Acquired
Slide 8: Pre-June 2005 Seismic Database
Pre – June 2005 Seismic Database 64 61 62 63 73 1 64 1 66 402A 302 A 50 km
Slide 9: June 2005 Seismic Acquisition Programme
June 2005 Seismic Acquisition Programme Contractor: Geophysical Services Incorporated Vessel: GSI Admiral Amount: 2862 km Fold belt trend A higher density of lines has help define the “sweet spot” of well imaged, simple folds within Falkland Islands territorial waters 50 km
Slide 10: Seismic Example
Seismic Example Geophysical Service Incorporated
Slide 11: Seismic Example
Seismic Example Geophysical Service Incorporated
Slide 12: Seismic Example
Seismic Example Geophysical Service Incorporated
Slide 13: Play Types
Play Types z Frontal folds z Tilted fault blocks z Sub-thrust closures z Stratigraphic traps Source rock: Upper Jurassic to Aptian marine black shales proven in DSDP wells on the Falkland Plateau to the east, and proven in exploration wells in the Malvinas basin to the west Independent play types in
Slide 14: Leads - Initial Observations
Leads - Initial Observations z Numerous structures and multiple play types – more than anticipated z Large sizes – leads have mapped area of closure up to 140 sq km z Vertical structural closure up to 3 km – allowing the possibility of stacked reservoirs z Extensive evidence for gas hydrates through
Slide 15: Scoping Economics
Scoping Economics Scoping Economics for a 600 mmbbl discovery in 1850 metres of water Fiscal terms: 9% Royalty, Corporation Tax 25% Oil Price $20 $25 $30 ($/bbl) NPV10$million 1,277 2,047 2,818 Source: Scott Pickford independent analysis (Borders & Southern’s IPO prospectus)
Slide 16: Ongoing Project Work
Ongoing Project Work z Structural modelling and restoration z Gravity and magnetic modelling z Thermal / geochemical modelling z Lithology / fluid prediction z Seismic facies mapping z Regional palaeogeography and sediment transport mapping z Prospect maturation – reserves calculation z Risk analysi
Slide 17: Future Activity
Future Activity z Complete technical evaluation and generate a ranked prospect Inventory z Define 10 top ranked prospects z Increase awareness of the South Falkland Basin to the industry z Options: negotiate 3D seismic contract or farmout acreage during 2006 z Target drilling programme for 2007
Slide 18: Summary
Summary z The South Falkland Basin is an excellent first project for the Company z The new seismic data has shown that the “sweet spot” of well imaged, simple folds is located within Borders & Southern’s acreage z Operations have gone well, prospectivity is looking very good z Future operations may
Slide 19: Important Notice
Important Notice These presentation materials do not constitute or form part of any invitation, offer for sale or subscription or any solicitation for any offer to buy or subscribe for any securities in Borders & Southern Petroleum plc nor shall they or any part of them form the basis of or be relie
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