Synergia Energy Ltd · LSE:SYN
Synergia Energy — Oilex — Good Oil Conference 2017
19 slides from Synergia Energy's conference presentation, September 2017
Slide 1: Natural Gas in the World's Fastest Growing Economy
NATURAL GAS IN THE WORLD’S FASTEST RIU GOOD OIL CONFERENCE SEPTEMBER 2017 GROWING ECONOMY www.oilex.com.au twitter@oilexltd
Slide 2: Important Information
IMPORTANT INFORMATION Nature of the presentation This presentation has been prepared by Oilex Ltd (Oilex). It is current as at the date of this presentation. It contains information in a summary form and should be read in conjunction with Oilex’s other periodic and continuous disclosure announcement
Slide 3: Important Information
IMPORTANT INFORMATION Risks and forward looking statements An investment in Oilex shares is subject to known and unknown risks, many of which are beyond the control of Oilex. In considering an investment in Oilex shares, investors should have regard to (amongst other things) the risks outlined in th
Slide 4: Oil and Gas Focus in India
OIL AND GAS FOCUS IN INDIA 1) World’s third largest petroleum consumer 2) India fastest growing large country by GDP at ~7% 3) Government recognises criticality of energy supply: Oil and gas a key contributor to MAKE IN INDIA initiative 4) Government proactively promoting oil and gas opportunities a
Slide 5: Setting the Scene
SETTING THE SCENE Page 5
Slide 6: Oilex Background
OILEX BACKGROUND Perth Head Office Project office in Gandhinagar, Gujarat, India Operating in India for over 10 years; nine wells drilled One of very few foreign companies in the sector Gandhinagar Cambay Indian Project Office Dual listed ASX & AIM Bhandut CAPITAL STRUCTURE OEX AIM ASX Share price (
Slide 7: Company Profile
COMPANY PROFILE REVITALISED TEAM BOARD & MANAGEMENT Brad Lingo Non-executive Chairman Revitalised board and senior management in 2016 Over 30 years of oil and gas leadership roles, a recognised oil and gas industry leader. SMH/East Coles S&P/ASX 200 Energy Best CEO of the 2016/17 saw resolution of m
Slide 8: Page 8
Page 8
Slide 9: Why India
WHY INDIA STRONG ENERGY FUNDAMENTALS World’s Under- Forecast Oil & Gas Doubling Fastest explored 80% of oil Largest Demand of LNG Growing Prolific imported Energy Increasing Imports Economy Basins Market 300 Oil & Gas Production 300 Oil & Gas Consumption Aust India Aust India 250 250 Thousand BOEPD
Slide 10: Cambay Project
CAMBAY PROJECT Page 10
Slide 11: Oilex Main Project
OILEX MAIN PROJECT CAMBAY PRODUCTION SHARING CONTRACT 40,000 acres Discovered Gas and Oil Close to national pipeline infrastructure Tarapur Cambay In Gujarat State: one of India’s major industrial Cambay PSC regions Cambay In heart of prolific Cambay Basin Oilex – 45% Interest & Operator GSPC – 55%
Slide 12: Cambay Project
CAMBAY PROJECT MULTI-TCF TIGHT GAS PLAY FOCUS Cambay Basin contains proven hydrocarbons in multiple horizons Oilex focus on low permeability, Multi-TCF Eocene wet gas reservoir (EP-IV) EP-IV production on block from 5 wells since 1997 at low rates Oilex’s first application of Hz drilling and stimula
Slide 13: Resource Statement
RESOURCE STATEMENT PREPARED BY RISC* Total Contingent and Prospective In Place Resources Contingent Resource for EP-III / IV (X / Y Zone) – 100% Total resource Gas volume (bcf) Condensate Volume (million bbl) (gross) Gas in Place (bcf) Region P90 P50 P10 Mean 1C 2C 3C 1C 2C 3C Y Total 1716 2519 3503
Slide 14: Indian Affairs
INDIAN AFFAIRS CAMBAY & BHANDUT PROJECTS Non–payment of cash calls by JV partner, GSPC placed additional burden on Oilex. • Further payments of both old and new cash calls expected Potential sale by GSPC of its 55% interest. Oilex holds pre-emptive right. Cambay PSC expiry in September 2019. Field d
Slide 15: EP-IV Project Summary
EP-IV PROJECT SUMMARY Cambay-11 • Flowed trace oil and gas Cambay-05 FUNDAMENTALS CONFIRMED, FAILURES EXPLAINED • 2.8 MMscfd + 46 bcpd • 4.1 MMscfd + 170 bcpd • 3.1 MMscfd + 74 bcpd Over 40 wells have intersected EP-IV within PSC Cambay-63 & 70 Cambay-19z • Intermittent oil producers Many flowed gas
Slide 16: EP-IV Evaluation from Core
EP-IV EVALUTION FROM CORE FRACTURE MODELLING EXAMPLES POSITIVE OUTCOMES TO ALL ELEMENTS OF STUDIES Historical Vertical Well – fracture escaped vertically outside of reservoir target zone. Schlumberger and Baker Hughes reported on: • specific reasons for under-performance of historical wells • optima
Slide 17: Path Forward
PATH FORWARD Page 17
Slide 18: Building Value in 2017/2018
BUILDING VALUE IN 2017/2018 LOW COST RISK MANAGED APPROACH FDP required for extension application for Cambay completed and lodged Recent evaluations confirm: • Phased development plan for EP-IV to access multi-TCF gas • Potential re-entry of old wells followed by new vertical well to confirm optimal
Slide 19: An Oil and Gas Focused Company
An OIL and GAS Focused Company Large Gas Resource – Multi-TCF Accessing Booming Indian Energy Market ASX : OEX AIM: OEX www.oilex.com.au