Brookside Energy Limited · ASX:BRK
Brookside Energy — Investor Presentation (March 2019)
22 slides from Brookside Energy's investor presentation, Mar 7, 2019
Slide 1: Growing Operated Position in the World-Class Anadarko Basin
Growing Operated Position in the World-Class Anadarko Basin Investor Presentation March 2019 brookside-energy.com.au
Slide 2: Important Notice and Disclaimer
Important Notice and Disclaimer This presentation may include forward-looking statements. Forward-looking statements are only predictions and are subject to risks, uncertainties and assumptions, which are outside the control of Brookside Energy Limited (“Brookside Energy” or “the Company”). These ri
Slide 3: Corporate & Capital Structure
Corporate & Capital Structure ASX:BRK 12 Month Share Price Performance *%+%'# !#%$%%%$%%% Share Price Range A$0.01 – A$0.023 !123456 789!:*!;<=>6!?>@A6 !)#$%%%$%%% Market Capitalization ~A$13.0m *%+%'% !)%$%%%$%%% !(#$%%%$%%% FPO’s 999,221,875 *%+%&# !(%$%%%$%%% ASX:BRKOA1. 295,140,625 !'#$%%%$%%% *
Slide 4: Anadarko Basin Acronyms Explained
Anadarko Basin Acronyms Explained ! SCOOP South Central Oklahoma Oil Province ! STACK Sooner Trend, Anadarko Basin, Canadian & Kingfisher Counties ! These two acronyms represent Oklahoma’s most productive oil and natural gas plays ! Unique formations with multiple zones allow producers to bring more
Slide 5: Investment Proposition
Investment Proposition ! World-Class Anadarko Basin Focus (STACK & SCOOP Plays) ! Leasing Undeveloped Acreage Six-month Growth Profile (ground level direct investment) “Buy-Low” 2,400-acres > 6,000-acres ! 2,400-acre holding in the core of the STACK and SCOOP Plays with opportunity to growth this to
Slide 6: Acreage Revaluation Business Model
Acreage Revaluation Business Model 1 Buy Low 1,280-acre Drilling Unit Brookside “leases” all or a portion of the undeveloped acreage in a Drilling Unit Minimizes 2 dilution Acreage Drilling Joint Venture or Drill Co. funds 100% of the cost 3 Revaluation “Sell High” of this initial or “parent” well B
Slide 7: Strategic Acreage Sales Validate Business Model
Strategic Acreage Sales Validate Business Model ! Company closed a number of strategic acreage sales from it’s non-operated STACK Play holdings during the last 12-months ! Highlights success of business model, achieving multiples up to 10-times average undeveloped acreage acquisition costs ! A$2.5m
Slide 8: Non-operated STACK Play Wells – Strong Productivity
Non-operated STACK Play Wells – Strong Productivity Well Name Operator WI Status IP24 Landreth BIA #1-14H Marathon Oil, Co. 2.6% Producing 2,649 Kevin FIU #1-20-17XH Continental Resources, Inc. 2.1% Producing 5,328 Nelson Com #1H-0607X Marathon Oil, Co. 0.4% Producing 4,023 Bullard #1-18/7H Rimrock
Slide 9: Maiden Oil & Gas Reserves – Further Validation of Business Model
Maiden Oil & Gas Reserves – Further Validation of Business Model ! Maiden reserves of 3.45MMboe attributable to ~20% of the Company’s acreage position ! Combined NPV10 of US$12.5 million with forecast future net revenues of US$37.75million ! The NPV10 per acre valuation of US$30,000 confirms success
Slide 10: SWISH Platform to Provide Transformational Reserve Growth
SWISH Platform to Provide Transformational Reserve Growth ! SWISH AOI leasing campaign has delivered a potential ~6,000-acre position1 in the liquids-gas condensate core of the Woodford-Sycamore Trend of the SCOOP Play ! Focus on seven high-grade development units with opportunity to establish a hig
Slide 11: Anadarko Basin – World Class Plays with “stacked” Reservoirs
Anadarko Basin – World Class Plays with “stacked” Reservoirs Basin Stratigraphy brookside-energy.com.au 11
Slide 12: Identifying “Sweet Spots” Along The Basin Margin
Identifying “Sweet Spots” Along The Basin Margin brookside-energy.com.au 12
Slide 13: Woodford Shale & Sycamore Lime – Type Section
Woodford Shale & Sycamore Lime – Type Section ! Woodford Shale Target ! Thickness ranges from 340’ to 500’ ! Good Resistivity & Porosity throughout the reservoir ! Organic rich, oil and gas prone source rock for entire Anadarko Basin ! Sycamore Target ! Thickness ranges from 320’ to >380’ ! Good Res
Slide 14: Land and Leasing Activity
Land and Leasing Activity Large land positions north of SWISH are already leased and locked up by large independents or private equity backed companies Oklahoma Oil & Gas Leases Heat Map Activity Last 7 days !"##$%&'( brookside-energy.com.au 14
Slide 15: Initial SWISH “Operated” Sycamore Well
Initial SWISH “Operated” Sycamore Well ! Low risk infill drilling opportunity in SWISH ! 430 acres of un-drained or under- exploited reservoir in this one development unit ! Potential for seven wells in this one development unit, two Sycamore and five Woodford Shale ! First well expected to spud in
Slide 16: Well positioned for Step Change Growth
Well positioned for Step Change Growth ! Core World-Class Anadarko Basin holding secured with visibility to expansion up to 6,000-acres ! 13 wells currently producing with a further 19 wells at various stages of development ! Experienced team (motivated and aligned with Brookside shareholders) with
Slide 17: ASX:BRK Suite 9, 330 Churchill Avenue Subiaco WA 6008
ASX:BRK Suite 9, 330 Churchill Avenue Subiaco WA 6008 p: +61 8 6489 1600 w: brookside-energy.com.au 17
Slide 18: Appendix – Brookside Energy Ltd. Corporate Structure
Appendix – Brookside Energy Ltd. Corporate Structure ASX:BRK Brookside Energy Limited 100% 17% 100% BRK Oklahoma Holdings, LLC Black Mesa Production, LLC Anadarko Leasing, LLC Leasehold and Producing Partner & Manager of US Leasehold and Producing Properties Operations Properties brookside-energy.co
Slide 19: Appendix – Black Mesa Production, LLC
Appendix – Black Mesa Production, LLC brookside-energy.com.au 19
Slide 20: STACK & SCOOP Plays – Single Well Breakeven Prices
STACK & SCOOP Plays – Single Well Breakeven Prices Note: Assumes 10% IRR, based on flat oil price of US$50/Bbl and gas price of US$3/Mcf Source: NYSE:NFX Investor Presentation, analysts reports brookside-energy.com.au 20
Slide 21: Appendix – Notes
Appendix – Notes Notes: i. Anadarko Leasing Facility. Anadarko Leasing, LLC is a wholly owned subsidiary of Brookside, incorporated solely for the purpose of acquiring Working Interest leasehold acreage in the Anadarko Basin Plays in Oklahoma on behalf of Brookside and pursuant to the Drilling Progr
Slide 22: Appendix – Glossary
Appendix – Glossary brookside-energy.com.au 22
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