Amplitude Energy Limited · ASX:AEL
Amplitude Energy — Cooper Energy — Morgan Stanley Investor Conference 2013
24 slides from Amplitude Energy's conference presentation, Apr 30, 2013
Slide 1: Commercialising the Prize
For personal use only ‘Commercialising the Prize’ Morgan Stanley Investor Conference David Maxwell, Managing Director Hector Gordon, Executive Director-E & P 30 April 2013
Slide 2: Important Notice – Disclaimer
Important Notice – Disclaimer For personal use only The information in this presentation: Is not an offer or recommendation to purchase or subscribe for shares in Cooper Energy Limited or to retain or sell any shares that are currently held. Does not take into account the individual investment o
Slide 3: Re-oriented to Australia – particularly Eastern Australia
Re-oriented to Australia – particularly Eastern Australia For personal use only Cooper Energy established 2002 Immediate success with Sellicks oil discovery in Western Flank of Cooper Basin 2003- 2011 Profitable production from Cooper Basin International exploration focus including Romania,
Slide 4: Our strategy and business
Our strategy and business For personal use only Presentation to Morgan Stanley Investor Conference Commercialising the Prize 30 April 2013 Leveraging strengths for TSR 4
Slide 5: Australia focus dominates
Australia focus dominates For personal use only Cooper Basin Western flank oil Gas potential Otway Basin Conventional and unconventional – oil and gas plays Gippsland Basin Gas resources Opportunities Reviewing and screening Grow foundation assets plus 1 or 2 game changers per year at
Slide 6: Gas seller and buyer - different focus
Gas seller and buyer- different focus For personal use only Seller Buyer Focussed on sustainable value Focussed on key terms - economics - price and indexation - technical issues - average and peak volumes - investment certainty - supply risk - contract duration High barriers to entry - techni
Slide 7: Gas commercialisation – Eastern Australia
Gas commercialisation – Eastern Australia For personal use only Competing forces – LNG projects impact – electricity – demand & pricing – coal & other fuels Competition – user industries User industries Pipelines a key – tariff – access availability Upstream cost – many factors Upstream Pipeli
Slide 8: New gas supply – many issues and questions
New gas supply – many issues and questions For personal use only Where on the cost curve? Breakeven gas cost v volume – includes pipeline costs & access Implications of rising prices? – additional conventional and CSG F A – unconventional viability improves $ / – proximity & access to market G E
Slide 9: Gas strategy implementation – our approach
Gas strategy implementation – our approach For personal use only Leverage strengths – capability and experience – technical and market – cash and cash flow – relationships Assess market options Lowest cost supply focus – upstream and pipeline cost – varies by market – pursue best opportunities
Slide 10: Cooper Basin (COE 19.16 – 30%)
Cooper Basin (COE 19.16 – 30%) For personal use only Discovered 5.4 mill bbls (net) to date* Produced 3.6 mill bbls (net) to date* Current oil production rate: – ~1,500 to 2,000 bopd (net) Very high margins Significant remaining potential 2012/13 activity: – up to 11 wells – 1,048 km2 3D
Slide 11: Gippsland Basin – a proven basin
Gippsland Basin – a proven basin For personal use only 19.9% interest in Bass Strait Oil Company (BAS) COE providing technical and commercial support BAS assets include 5 offshore Gippsland Basin permits – Moby, Judith and Patricia gas discoveries Sizeable gas prospects in Vic-P68 and Vic-P4
Slide 12: Otway Basin (COE – 65%)
Otway Basin (COE 20 – 65%) For personal use only Proven basin for conventional plays Liquids prone Jurassic source rocks Close to infrastructure Close to oil and gas markets COE strong regional position Potential GIP 17-58 TCF – COE share ~27% Presentation to Morgan Stanley Investor Conf
Slide 13: Casterton Formation – unconventional oil and gas
Casterton Formation – unconventional oil and gas For personal use only Late Jurassic- early Cretaceous rift fill – lacustrine/fluvial rift fill sediments – shale with some sands, coals and tuffs – penetrated in 10 wells – deepest penetration ~2,500m Key source rock for Penola Trough – gas, gas l
Slide 14: Otway Basin - Sawpit-2
Otway Basin - Sawpit-2 Casterton Formation Core For personal use only 56 metres of conventional core in Casterton and Sawpit shales Core analysis to determine source rock potential and fracability – Total Organic Carbon (TOC) – maturity – mineralogy – rock strength Presentation to Morgan Stanley
Slide 15: Technical elements for a successful unconventional play
Technical elements for a successful unconventional play For personal use only Organic Richness Maturity TOC: 1.5-2 % Thickness/ OHIP Area PRODUCTIVITY Mineralogy >40% Qtz OR Permeability Carbonate Pore Fractures Pressure Sawpit-2 core analyses will provide information on these technical elements Pre
Slide 16: Exploration program
Exploration program For personal use only 2013 Location Licence Operator COE Equity Comments / Total Jun Qtr Sept Qtr Dec Qtr 6 well program started March, Caseolus 3D PEL 92 Beach 25% started February. Further drilling likely later in 2013. Cooper Basin PEL 90, 100, Senex 19.2 - 25% Dundinna 3D sta
Slide 17: Summary
Summary For personal use only Demand and supply projections are positive for new gas developments – but market fundamentals will still determine who wins and when Unconventional gas has to compete – with conventional gas and CSG resources uneconomic at current prices; and – with conventional gas
Slide 18: Appendices
Appendices For personal use only 1. Company snapshot 2. Cooper Basin PEL 92 3. Oil production historical and FY13 forecast 4. Tunisia 5. Indonesia 6. Indonesia - South Sumatra basin Presentation to Morgan Stanley Investor Conference Commercialising the Prize 30 April 2013 18
Slide 19: Company snapshot
Company snapshot For personal use only COE Share Price Capital structure $ financial year to date 0.65 Share price $0.40 - $0.69 range,12 months to 30 April 2013 0.60 Shares on issue 329.0 mill 0.55 Market capitalisation $144.8 mill 0.50 44cts on 26 April 2013 0.45 Cash, term deposits & investments
Slide 20: Cooper Basin – PEL (COE 25%)
Cooper Basin – PEL 92 (COE 25%) For personal use only Production – record production in FY12 – new pipeline commenced Dec’ 2012 – production building over 2H FY13 – development drilling & facilities upgrades planned for 2013 Significant remaining potential – current EUR ~15 mill bbls (gross) – f
Slide 21: Oil production - historical and FY13 forecast
Oil production - historical and FY13 forecast For personal use only FY13 Production by quarter FY13 Production forecast and prior periods (average BOPD) (kbbls, financial year) 2,000 600 1,800 FY13 Full year production 500 1,600 forecast: range: 460 – 500 kbbls 1,400 460 – 500 kbbls 400 YTD to 1,200
Slide 22: Tunisia (COE – 85%)
Tunisia (COE 30 – 85%) Hammamet West-3 underway (COE For personal use only 30%) – fractured carbonate play – very large structure – proven oil charge – adjacent field produces same reservoir – shallow water / near shore – competitive fiscal terms – COE carried up to $27 million gross cost – spudde
Slide 23: Indonesia – increasing production and reserves
Indonesia – increasing production and reserves For personal use only South Sumatra Basin – prolific hydrocarbon province Range of onshore opportunities to add value – exploration & development – shallow oil – deep gas – CSG – shale plays Low technical risk Competitive fiscal terms (gas & oil
Slide 24: South Sumatra Basin
South Sumatra Basin Sukananti KSO (COE 55%) For personal use only – ex Pertamina fields ~50 bopd (gross) – currently ~200 bopd (gross) – work-over and drilling in 2013 – potential >1 mill bbls (net to COE) – contractor share 15% oil / 20% gas (after tax) Sumbagsel PSC (COE 100%) – shallow oil ta
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