Horizon Oil Limited · ASX:HZN
Horizon Oil — Wilson HTM Oil and Gas Conference 2008
43 slides from Horizon Oil's conference presentation, Apr 1, 2008
Slide 1: Horizon Oil presentation at Wilson HTM Oil and Gas Conference
1 April 2008 For personal use only The Manager, Company Announcements Australian Stock Exchange Limited Exchange Centre 20 Bridge Street Sydney NSW 2000 HORIZON OIL (HZN) PRESENTATION AT WILSON HTM OIL AND GAS CONFERENCE 31 MARCH 2008 Please find attached which was presented by Chief Executive Offic
Slide 2: Wilson HTM Oil and Gas Conference, March 2008
HORIZON OIL LIMITED For personal use only ABN 51 009 799 455 Wilson HTM Oil and Gas Conference, March 2008 This presentation contains some references to forward looking assumptions, representations, estimates and outcomes. These are uncertain by the nature of the business and no assurance can be giv
Slide 3: Location Of Assets
Location Of Assets For personal use only Investor Presentation March 2008
Slide 4: Horizon Oil Statistics
Horizon Oil Statistics This month For personal use only Last $0.255 High $0.345 Low $0.220 Volume 17,950,444 12 Months Last $0.255 High $0.430 Low $0.220 Volume 161.4 million Fully paid shares 796.51 million Partly paid shares 2.5 million Employee options 31.8 million No. of shareholders 3,969 Marke
Slide 5: The Horizon Oil Team
The Horizon Oil Team NON-EXECUTIVE RESPONSIBILITIES EXPERIENCE For personal use only DIRECTORS Fraser Ainsworth AM Chairman of Board, Chairman of 27 years in CSR’s resource & energy business, former MD of Delhi, former MD of B.COMM, FAICD, Remuneration, Nomination and SAGASCO, Founder & Executive Di
Slide 6: Mission and Progress to Date
Mission and Progress to Date For personal use only Mission To build a specialist Asian E&P company of +/- US$500 million value, that will be highly valued by the market and potential acquirors. Asset portfolio: balanced (E vs P), concentrated, material, focus on quality. Progress to date Maari field
Slide 7: IEA World Energy Outlook 2007
IEA World Energy Outlook 2007 For personal use only Investor Presentation March 2008
Slide 8: World Oil Demand Growth by Region 2007 – 2012
World Oil Demand Growth by Region 2007 – 2012 For personal use only 5 4.5 4 3.5 3 Million b/d India 2.5 2 China 1.5 1 0.5 US 0 Asia Pacific North America Middle East Latin America Africa Europe FSU Source: Wood Mackenzie Investor Presentation March 2008
Slide 9: Investment Highlights
Investment Highlights For personal use only Strong reserves and resources position 14 – 16 mmbo 2P reserves (all oil) and 53 mmboe resources (gas and liquids) Re-rating expected as Maari nears first production US$8 million per month net cash flow to Horizon Oil before interest and tax at US$80 per b
Slide 10: Activity Schedule
Activity Schedule For personal use only Investor Presentation March 2008
Slide 11: Recoverable Reserves and Resources (1)
Recoverable Reserves and Resources (1) For personal use only Asset Location Gross 2P Reserves Horizon Oil Net 2P Reserves Oil (mmb) 1 Interest Oil (mmb) 1 % Development Maari field Offshore New (Moki formation) Zealand 50 - 56 10 5-6 Onshore Louisiana, Bayou Choctaw field USA 5 14 - 28.5 1 Pre-devel
Slide 12: Recoverable Reserves and Resources (2)
Recoverable Reserves and Resources (2) For personal use only Asset Location Gross Unrisked Mean Horizon Oil Net Unrisked Mean Resources Potential Interest Resources Potential Oil (mmbo)1 Gas (bcf)2 % Oil (mmbo)1 Gas (bcf)2 Appraisal Maari (other zones and Manaia Offshore New 37 10 4 prospect) Zealan
Slide 13: Reserves, Resources and Exploration Potential
Reserves, Resources and Exploration Potential Net recoverable oil in millions of barrels (mmbo) For personal use only Net Reserves in Development and Net Resources Appraised for Development Awaiting Appraisal Maari (other zones + Manaia) 4 Block 22/12 Wei Block 22/12 Wei PNG PRL 5 12-2 12-8 area (El
Slide 14: Net Production Forecast
Net Production Forecast For personal use only Maari on production in 2008… 12000 10000 8000 BOPD 6000 4000 2000 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 M aari M aari O the r Z o ne s 2 2 /1 2 W e i 6 -1 2 S 2 2 /1 2 W e i 1 2 -8 W 2 2 /1 2 O the r D is c o ve rie s N e w B us ine s s …generat
Slide 15: Maari Development – New Zealand
Maari Development – New Zealand Installation underway of a 50+ mmbo oilfield… For personal use only …with 40 mmbo upside potential Investor Presentation March 2008
Slide 16: Maari Development Summary
Maari Development Summary For personal use only Overall development concept:– 5 production / 3 injection horizontal wells with wellhead platform / FPSO production facilities FID capex budget US$365 million (including contingency). Current forecast cost to completion US$508 million US$40 million fina
Slide 17: For personal use only
FPSO - Raroa JU - MODU.- Ensco 107 cue CA3)--) ‘Cue Taranaki Pty Ltd odd Energy}
Slide 18: Maari Construction Progress
Maari Construction Progress For personal use only FPSO Raroa WHP leaving Kencana quay WHP sailaway on Blue Marlin Raroa buoy going overboard the Toisa Proteus with anchors attached Investor Presentation March 2008
Slide 19: Maari Upside Potential
Maari Upside Potential For personal use only Prospect Unrisked Prospect Mean Recoverable Potential Range (Gross) Reserves Potential OOIP (Gross) mmbo mmbo Maari M2A 20 – 30 12 Manaia Updip 35 – 140 25 Investor Presentation March 2008
Slide 20: New Zealand Manaia Prospect
New Zealand Manaia Prospect The Manaia Field was discovered by the Maui-4 well in 1970 which discovered an under-saturated oil For personal use only accumulation in poor quality Mangahewa Fm sands that tested at 575 bopd. Two small hydrocarbon accumulations were also encountered within the Moki Fm (
Slide 21: China 22/12 – Discoveries & Prospects
China 22/12 – Discoveries & Prospects For personal use only 60+ mmbo recoverable reserves discovered... …development planning underway Investor Presentation March 2008
Slide 22: Wei 6-12 South Discovery
Wei 6-12 South Discovery Gross pay interval of 500 m in numerous reservoir sands with collectively 100 For personal use only m of net pay (predominantly oil-bearing) Reservoir sands generally good quality, up to 25 m thick; DSTs over 3 main pay zones flowed at combined rate of 5,750 bopd Second side
Slide 23: Block 22/12 Development Planning
Block 22/12 Development Planning For personal use only Stand-alone development concept Wellhead platform and FPSO with 20,000 – 25,000 bopd capacity at Wei 6-12S location Unmanned minimal structures at Wei 12-8W and Wei 12-8E hub facility FEED underway, FID mid 2008, construction 2008/09, on product
Slide 24: Phase Wei 6-12 WHP and FPSO
Phase 1 Wei 6-12 WHP and FPSO For personal use only Investor Presentation March 2008
Slide 25: Phase Wei 6-12 WHP and FPSO and Wei 12-8W WHP tie-back
Phase 2 Wei 6-12 WHP and FPSO and Wei 12-8W WHP tie-back For personal use only Investor Presentation March 2008
Slide 26: Phase Wei 12-8E and Wei 12-2 WHP tie-back to Wei 6-12
Phase 3 Wei 12-8E and Wei 12-2 WHP tie-back to Wei 6-12 For personal use only Investor Presentation March 2008
Slide 27: FPSO Candidate Ming Zhu
FPSO Candidate Ming Zhu For personal use only Investor Presentation March 2008
Slide 28: Papua New Guinea
Papua New Guinea Gross 2P recoverable resources of 930 bcf gas and 38 mmb condensate… For personal use only …development options emerging Investor Presentation March 2008
Slide 29: Stanley-1 Wellsite
Stanley-1 Wellsite For personal use only Stanley Well Head Investor Presentation March 2008
Slide 30: Stanley – Surrounding Terrain
Stanley – Surrounding Terrain For personal use only Investor Presentation March 2008
Slide 31: Stanley Seismic Line PRL4-07-101
Stanley Seismic Line PRL4-07-101 For personal use only Stanley-1 NW Permit boundary SE Base Darai Top Ieru Top Toro Sst Basement Investor Presentation March 2008
Slide 32: New Business Focus Area
New Business Focus Area For personal use only Investor Presentation March 2008
Slide 33: New Business Focus Area
New Business Focus Area For personal use only Mongolia Strategic attributes of Japan focus area-: S Korea Strong oil and gas demand India China Uncomplicated Taiwan Bangladesh Myanmar geological targets in Laos productive fairways Thailand Philippines Cambodia Vietnam Good deal flow with INDIAN limi
Slide 34: South East Asia Gas Demand
South East Asia Gas Demand 7000 For personal use only 6000 5000 4000 mmcfd 3000 2000 1000 0 T h a ila n d Java M a la y s ia V ie tn a m S in g a p o r e S u m a tr a 2005 2020 S o u r c e : W o o d M a c k e n zie E n e r g y M a r k e t S e r v ic e a n d S E A G A S Thai Average Gas Prices (Per P
Slide 35: Gulf of Thailand Prospects and Leads
Gulf of Thailand Prospects and Leads For personal use only Oil Discovery Gas Fields / Discoveries Gas Discovery Gas pipeline Oil Lead Proposed Gas pipeline Gas Lead ~3 tcf Ubon Pattani Trough Malay Basin Sontaya-1 Mayura-1 Bussabong 5X 16-C 1 ~4 tcf Boondarik-1 Bua Luang-1 G10/48 18-C 1A THAILAND G1
Slide 36: Gulf of Thailand Prospect Inventory
Gulf of Thailand Prospect Inventory For personal use only Block G10/48 (25%) Unrisked Prospect Mean Recoverable Add to HZN Share Prospect Potential Range Reserves Potential price @ A$30 / boe OOIP mmbo mmbo A$ A 50 – 250 60 0.56 B 30 – 200 35 0.33 Mayura Extension 30 – 80 20 0.19 F 15 – 80 18 0.17 X
Slide 37: Thailand Block G10 Prospect X
Thailand Block G10 Prospect X For personal use only G10 G11 LEAD X • 4000 Acres; 10-80 MMBO Reserves Potential • Ubon-2, 25 km to North; • Tested 1720 BOPD from Oligocene; • 14-D-1X gas and oil shows 18 km to NNE; • 4-way dip closure over faulted structure; • Abundant shallow gas; • Edge of source r
Slide 38: Block G11 Boondarik Leads D and L
Block G11 Boondarik Leads D and L For personal use only Boondarik Delineation Boondarik-1 Boondarik Structure The Boondarik structure called the ‘D’ Lead has a range of potential resources from 250-900 Bcf depending on total net reservoir thickness and quality. The adjacent ‘L’ Lead has further pote
Slide 39: Gulf of Thailand – New Acreage
Gulf of Thailand – New Acreage For personal use only Investor Presentation March 2008
Slide 40: Investment Highlights
Investment Highlights For personal use only Strong reserves and resources position 14 – 16 mmbo 2P reserves (all oil) and 53 mmboe resources (gas and liquids) Re-rating expected as Maari nears first production US$8 million per month net cash flow to Horizon Oil before interest and tax at US$80 per b
Slide 41: Horizon Oil vs Peers – 2009 Multiples
Horizon Oil vs Peers – 2009 Multiples For personal use only 12 9.8 10 8 7.5 7.4 7.3 EV / EBITDA (X) 6 5.1 4.9 4.4 4 3.2 2.9 2.1 2 0 NXS AWE ARQ TAP ROC BPT AZA PSA HZN AED 20 19 18.7 17.9 18 16 14.2 14 12 PE (X) 10.7 10 9.3 8 6.9 6 5.5 4.3 4 2 0 NXS ARQ ROC AWE BPT PSA AZA HZN AED Source: UBS Invest
Slide 42: Activity Schedule
Activity Schedule For personal use only Investor Presentation March 2008
Slide 43: For personal use only
Please visit the Horizon Oil website www.horizonoil.com.au to see:- Detailed Investor Presentation For personal use only Latest Quarterly Report Analyst reports on HZN Level 7, 134 William St, Woolloomooloo NSW 2011 Tel: +612 9332 5000 Fax: +612 9335 5050 exploration@horizonoil.com.au