Slide 1: Investor Presentation May 2011
INVESTOR PRESENTATION May 2011
Slide 2: Forward Looking Statements
Forward Looking Statements Certain statements in this document may cons1tute "forward-‐looking statements". Such forward-‐looking statements involve known and unknown risks, uncertain1es and other factors which may cause the actual results, performance or achievements of the Company, or industry r
Slide 3: Sonoro – Summary
Sonoro – Summary Highlights • First junior E&P Company into Iraq proper • Asphalt (Heavy Oil) License signed October 2010 • Exclusive investment and exploraMon licenses for enMre province of Salah ad Din of 24,000 km² • ProspecMve Resource Report completed, idenMfies significant heavy oil resources >
Slide 4: Market Information
Market Informa6on Lis6ng: TSX Venture SNV Shares issued: 215 mm Directors & Officers: 8 % Recent Financing: $15 mm financing Dec 2010 60 mm @ $0.25 Warrants: 37 mm (@ $0.18; expire Mar 2012) 30 mm (@ $0.50; expire Jan 2012) Recent Share Price: $0.25 (May 11, 2011) Market Capitaliza6on: $55 mm
Slide 5: Management
Management Richard Wadsworth, -‐ President and CEO • Co-‐Founder and former President & COO Bankers Petroleum Ltd. Previously with Premier Oil, Koch Canada, Syncrude and Esso Canada Lance Mierendorf -‐ CFO • Former Controller of Buried Hill (Turkmenistan) and Anadarko (Qatar & Oman) Dick ter Aves
Slide 6: Board of Directors
Board of Directors Adam Sumel – Chairman • Founder of Sonic Technology SoluMons (2001) Richard Wadsworth – CEO • Co-‐founder, and Past President & COO Bankers Petroleum Brian Farrell – Audit Chair • Partner with Meyer Norris Penny LLP Nasser Bin Jarallah • Owner & CEO of Jarallah Group of Saudi Ara
Slide 7: Iraq – Established Oil & Gas Fields
Iraq – Established Oil & Gas Fields Sonoro’s Licence 24,000 km² -‐ Exclusive five-‐ year exploraMon license for Province of Salah ad Din, central Iraq Country Stats 400+ idenMfied structures 60 fields discovered, but not producing 25 fields on producMon 2.7 million barrels per day of oil producMon 600
Slide 8: Iraq Legal Framework
Iraq Legal Framework Other legal consideraMons • ConsMtuMon (2005) provides for exploraMon rights on non-‐discovered commercial fields to be administered by the provinces (ArMcle 12) • ExisMng Mining Law allows for exploraMon and producMon of “Asphalt and runny related organics” -‐ i.e. bitumen and
Slide 9: Attractive License Terms
ArracMve License Terms Sonoro Energy Iraq B.V. (70%) and Berkeley Petroleum Mesopotamia Asphalts Ltd. (30% carry to commercial), collecMvely the “Licensee” • Exclusive rights to asphalt (heavy oil) exploraMon on 24,363 km² • Revenue sharing between Province and Licensee • Licensee receives net take
Slide 10: On trend with other major structures
On trend with other major structures Kirkuk North Salah ad Din Prospect Makhul Hamrin Major anMclinal features visible at surface 10
Slide 11: Three major play trends
Three major play trends Zagros Foldbelt • Deep, high pressure anMclinal structures • MulMple carbonate reservoirs • Deeper, light oil and shallow heavy oil (biodegradaMon) • e.g. Hamrin (2 BN bbls recoverable, 21-‐30 API) Basin Axis Structural • Both shallow draped-‐carbonate ramp and deep constru
Slide 12: Prospective Resource Report
ProspecMve Resource Report Independent report assessing prospec6vity of Salah ad Din province, by RPS Canada (Feb 2011) Prospec6ve Risked Resources (Gross Technically Recoverable) in the Mesopotamian Cretaceous and TerMary – Salah ad Din Province Prospec6ve Resources -‐ Risked Recoverable Oil (MMbb
Slide 13: Multiple leads and Prospects
MulMple leads and Prospects Access to data through various third par6es (seismic, well and field data) Maturing prospect and lead inventory Foothills Shallow Jeribe • Four independent structures; one drill-‐ready • Possible deeper upside • Shallow depths; 11-‐15°API Central Trend • Four leads on va
Slide 14: Salah ad Din Prospect
Salah ad Din Prospect 1935 discovery well drilled and abandoned North Salah ad Din • 400m depth targeMng Jeribe fractured limestone • Heavy oil of 11-‐15°API; > 100m pay Prospect • AnMcline with four-‐way closure • Producing analogue 40km north • 150 MMbbl recoverable (P50)* • Planning three appra
Slide 15: General Economics
General Economics Example Single Integrated Field Poten6al Example Field is modeled aqer the P50 case of the North Salah ad Din appraisal project ProspecMve OOIP Size: 1 billion bbls Other less-‐mature leads and ProspecMve Recoverable: 100 mm bbls prospects may have addiMonal upside: higher producM
Slide 16: Progress
Progress License & Corporate • Obtained October 2010 • TransiMoned Company and Team to Oil and Gas • Raised $15mm in December 2010 • First Management Commiree meeMng held Mar 2010, approved project • IdenMfying potenMal partnerships for topping/refinery ExploraMon • ProspecMvity Resource Report compl
Slide 17: Next steps
Next steps ExploraMon • ProspecMve Resource Report completed, updaMng to possible conMngent report • Acquired available geological data; sourcing available seismic • High-‐grade prospect and lead inventory – first prospect drill-‐ready • IniMate regional seismic acquisiMon projects (Q4 2011) Early
Slide 18: Near term catalysts
Near term catalysts Drilling • Bid and secure drilling rig and services June 2010 • Drilling of first prospect well (North Salah ad Din 1) Q3 2010 • AddiMonal delineaMon of two addiMonal wells in same structure ExploraMon • MaturaMon of further large prospects and leads • Resource report upgraded to
Slide 19: For further information contact
For further informaMon contact Richard Wadsworth, P.Eng. President & CEO T +1 403.262.3252 E info@sonoroenergy.com W www.sonoroenergy.com