United Oil & Gas Plc · LSE:UOG
United Oil & Gas — Investor Presentation (November 2022)
25 slides from United Oil & Gas's investor presentation, November 2022
Slide 1: United Oil & Gas Overview
UNITED OIL & GAS OVERVIEW November 2022 FOCUSED ON GROWTH WWW.UOGPLC.COM
Slide 2: Disclaimer
UNITED OIL & GAS 2 DISCLAIMER This presentation (“Presentation”) is being supplied to you solely for your assumptions. respective directors, officers, partners, employees or advisers or any other information. The Presentation has been prepared by, and is the sole Certain statements, graphs, tables a
Slide 3: Management Team – Entrepreneurial with Extensive Industry Experience
UNITED OIL & GAS Overview 3 MANAGEMENT TEAM – ENTREPRENEURIAL WITH EXTENSIVE INDUSTRY EXPERIENCE EXPERIENCED BOARD WITH STRONG TRACK RECORD OF DELIVERING VALUE THROUGH PORTFOLIO MANAGEMENT AND M&A Non Executive Board Members Non ex Brian Larkin Peter Dunne Jonathan Leather Graham Martin, Iman Hill C
Slide 4: Our Strategy
UNITED OIL & GAS Overview 4 OUR STRATEGY Create value by actively managing our existing assets whilst growing our business through additional high-margin opportunities Platform for Growth Resilient Portfolio with with Low-Cost Production Material Upside & Reserves Base Potential Committed to Operati
Slide 5: Changing Market Environment
UNITED OIL & GAS Overview 5 CHANGING MARKET ENVIRONMENT FOCUS ON INCREASE IN SHAREHOLDER VALUE AND RETURNS OPPORTUNITY UNITED’S APPROACH & HISTORY OF DELIVERY - Credible participants to push for safe and responsible transition - Experienced board and strong governance structure 1. Energy Transition
Slide 6: History of Delivery & Key Shareholders
UNITED OIL & GAS Overview 6 HISTORY OF DELIVERY & KEY SHAREHOLDERS 2015 2016 2017 2018 2019 2020 2021 Acquired PL090 • Farm-in Italy + • AIM Listing • Completion of Rockhopper Founding year • Farm-in Colter and Acle, Licence, Onshore Jamaica offshore UK Egypt acquisition • FY21 production 2,327 • Aw
Slide 7: At a Glance
UNITED OIL & GAS Overview 7 AT A GLANCE 8 producing fields 21 producing wells ~1,500* boepd 2022 net production Near term production upside Near and long-term material exploration upside *Current FY 2022 production guidance is 1,450-1,500 boepd
Slide 8: Financial Overview
FINANCIAL OVERVIEW
Slide 9: 5 Year Performance
UNITED OIL & GAS Overview 9 5 YEAR PERFORMANCE INCREASING FINANCIAL STRENGTH Cumulative EBITDAX of $20.7million 2018 2019 2020 2021 H1 2022 Average Production n/a n/a 2,195 2,327 1,552 boepd boepd boepd Egyptian assets produce strong operational cashflows which Ave. Realised Oil n/a n/a $37.8/bbl $6
Slide 10: 1H 2022 Key Financial Summary
UNITED OIL & GAS Overview 10 1H 2022 KEY FINANCIAL SUMMARY Realised Oil Price Group Revenue Cash Balance ROBUST BALANCE ($m) Net of Government Take SHEET TO SUPPORT 105.5 9.8 10.2 3.8 GROWTH STRATEGY 63.1 2.0 SELF FUNDING Funding exploration & development wells from operating cashflow 1H 2022 1H 202
Slide 11: Funding Cycle
UNITED OIL & GAS Overview 11 FUNDING CYCLE DISCIPLINED CAPITAL ALLOCATION FOR BEST RETURNS Balance Sheet Capital Growth Maximising Cashflow From production Operations Active Portfolio Free Cash Flow Management Growth through Investing in our development business Debt Capacity Low cost , low risk Cos
Slide 12: Portfolio & ESG
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Slide 13: Environment, Social & Governance
UNITED OIL & GAS Overview 13 ENVIRONMENT, SOCIAL & GOVERNANCE COMMITTED TO POSITIVE SOCIO-ECONOMIC AND ENVIRONMENTAL IMPACT Governance GOVERNANCE SOCIAL ENVIRONMENT • 20% of Corporate KPIs made up of • Committed to the sustainable • Limit the Group’s impact on the natural ESG metrics development of
Slide 14: Egypt
UNITED OIL & GAS Overview 14 EGYPT SCALABLE| LOW COST | EFFICIENT OPERATIONS - Commercial production since 2012 - Experienced in-country team with 10-year operating history - Excess capacity in place, ability to accommodate forecast growth Attractive economics in a stable environment - Shallow onsho
Slide 15: Egypt Near-Term Exploration Growth Catalysts
UNITED OIL & GAS Overview 15 EGYPT NEAR-TERM EXPLORATION GROWTH CATALYSTS IMPROVED DATA GUIDES ACTIVE EXPLORATION PROGRAMME Exploration Upside Portfolio of >30 prospects and - Includes end-2022 drilling of ASW-1X, one of the largest prospects on Abu Sennan leads remaining on the licence - Potential
Slide 16: Licence P2519 (Maria): Discovered Barrels in a High-Activity Area
UNITED OIL & GAS Overview 16 LICENCE P2519 (MARIA): DISCOVERED BARRELS IN A HIGH-ACTIVITY AREA 6 mmboe discovered resources United’s estimate of the mid-case recoverable resources held in the Maria discovery1 Located in a highly Significant prospective area of the Central development North Sea, clos
Slide 17: High Impact Exploration Potential - Walton Morant Licence, Jamaica
UNITED OIL & GAS Overview 17 HIGH IMPACT EXPLORATION POTENTIAL - WALTON MORANT LICENCE, JAMAICA Unlocked basin-wide potential is transformative 500 2500 450 2250 400 2000 Oil Production MBOPD Cumulative Oil MMBO 350 Walton & Morant Basin 1750 300 Colibri 1500 250 Cumulative oil 1250 200 1000 Walton
Slide 18: Value Catalysts
UNITED OIL & GAS Overview 18 VALUE CATALYSTS Q3/Q4 2022 2023 Q1 Q2 Q3 Q4 ASH-4 Dev ASW-1X Exp ACTIVE DRILLING PROGRAMME PLANNED FOR 2023 Egypt Independent Contingent Resources Report Current Licence phase expiry UK Dec 2023 Farm-out process Deal Negotiation and Regulatory Approvals Potential Well Co
Slide 19: Summary & Outlook
6 UNITED OIL & GAS SUMMARY & OUTLOOK
Slide 20: Strategic Ambition - Value Creation and Growth Options
UNITED OIL & GAS Overview 20 STRATEGIC AMBITION - VALUE CREATION AND GROWTH OPTIONS Full cycle E&P company M&A of scale Full cycle E&P company activity of scale Portfolio • Resource longevity • Improved liquidity of shares Management • Strict capital discipline & allocation Organic • Steady cashflow
Slide 21: Investment Case
UNITED OIL & GAS Overview 21 INVESTMENT CASE A focus on FUTURE GROWTH ROBUST balance sheet EGYPT UK CNS JAMAICA 2 High Impact Independent resources Detailed technical Wells - Q4 22 report – Q4 22 evaluations ongoing by interested parties • Production + Cash generative • Maria discovery close to exis
Slide 22: Appendix
APPENDIX WWW.UOGPLC.COM
Slide 23: Licence List
UNITED OIL & GAS Overview 23 LICENCE LIST EGYPT UK Jamaica Production & Exploration Discovery Exploration Abu Sennan licence Maria licence Walton – Morant licence 3.0 mmboe 2P net reserves 6 mmboe mid-case recoverable 2.4 billion barrels unrisked mean resources prospective resources (across the whol
Slide 24: Egypt Fiscal Terms - Production Sharing Contract
UNITED OIL & GAS Overview 24 EGYPT FISCAL TERMS - PRODUCTION SHARING CONTRACT (“PSC”) 100% Oil & Gas Revenues Contractor’s Maximum Take 42.53% Profit Oil – 70% Cost Oil – 30% Profit Oil – 70% X Contractor – 17.9% Interest + Cost Oil – 30% EGPC – 82.1% Contractor – Opex Interest 17.9% Interest Equity
Slide 25: Dublin Head Office
Dublin Head Office 128 Lower Baggot Street Dublin 2 D02 A430m +353 (87) 116 5477 WWW.UOGPLC.COM
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