Tamboran Resources Corporation · NYSE:TBN
Tamboran Resources — Investor Presentation (June 2023)
46 slides from Tamboran Resources's investor presentation, Jun 27, 2023
Slide 1: Building a gross 1.5 BCFD low-cost Beetaloo Basin gas development by 2030
For personal use only Building a gross 1.5 BCFD low-cost Beetaloo Basin gas development by 2030 27 June 2023 | Capital Raise 1 ASX: TBN, US OTC: TBNNY AMUNGEE 2H WELLPAD, NORTHERN TERRITORY, AUSTRALIA
Slide 2: Disclaimer
Disclaimer Nature of Disclaimer This presentation and any other information accompanying it (Presentation) has been prepared by Tamboran Resources Limited ACN 135 299 062 (Tamboran) in connection with Tamboran’s proposed equity raising of new ordinary shares in Tamboran (New Shares) comprising of a
Slide 3: Disclaimer: Financial data
Disclaimer Financial data All currency amounts are in Australian Dollars ($) unless otherwise stated and financial data is presented as at 23 June 2023 unless otherwise stated. The pro-forma financial information included in this Presentation is for illustrative purposes and does not purport to be i
Slide 4: Disclaimer: Future performance (cont.)
Disclaimer Future performance (cont.) No representation, warranty or assurance, express or implied, is given or made in relation to any forward looking statement. In particular no representation, warranty or assumption, express or implied, is given in relation to any underlying assumption or that an
Slide 5: Disclaimer: No liability
Disclaimer No liability To the maximum extent permitted by law or any relevant ASX Listing Rules, Tamboran, Barrenjoey and their respective related bodies corporate, directors, officers, employees, partners, agents and advisors make no representation or warranty (express or implied) as to the curren
Slide 6: Disclaimer
Disclaimer Barrenjoey Markets Pty Ltd (Barrenjoey) is providing capital markets advice in relation to the Offer (Capital Markets Advisor and Lead Manager). Barrenjoey, together with its respective shareholders, affiliates or related bodies corporate, and its respective directors, officers, affiliate
Slide 7: Presentation highlights
Presentation highlights Recent announcements highlight material progress towards commercialisation of the Beetaloo Basin For personal use only Raising up to ~$71.4 million new capital, Independent analysis on Tanumbirini Strategic agreements with APA Group comprising ~$58.2m equity1 at $0.18 per wel
Slide 8: Capital raise overview
Capital raise overview Up to ~$71.4 million of new capital to unlock and accelerate development from Beetaloo Basin Tamboran is raising total capital of up to ~$71.4 million, comprising of: − ~$13.2 million convertible note to Helmerich & Payne, Inc. (“H&P”); For personal use only Capital raise − ~$
Slide 9: Sources and Uses
Sources and Uses Activities focused on EP 98/117 drilling Sources of funds Funding supports Tamboran’s activities until Q1 2024 For personal use only Sources $ million ❑ Complete funding of A2H well (utilising existing cash balance Cash and equivalents1,2 17 of $17 million). Sale of US unconventiona
Slide 10: Tamboran's funding pathway
Tamboran’s funding pathway Raising ~$71.4 million of additional capital will allow Tamboran to progress the Beetaloo Basin development with a line of sight on first gas sales in 2024 Uses of funds What does this equity raising achieve? For personal use only Activity ~$71.4 million − The ~$71.4 milli
Slide 11: Equity raising timeline
Equity raising timeline Process and key dates Event Date (2023) For personal use only Placement Trading halt Friday, 23 June Announcement of the results of the Placement Tuesday, 27 June Settlement of New Shares issued under the Tranche 1 Placement Monday, 3 July Allotment and normal trading of New
Slide 12: Tamboran Resources – Emerging Next Generation E&P Company
Tamboran Resources – Emerging Next Generation E&P Company Our role in the energy transition 65 140 For personal use only Our Vision 44 Estimated LNG trade volume To play a role in the global energy transition by in 20303 responsibly investing in the development of low (million tonnes per annum) rese
Slide 13: Projected shortfall in global LNG supply forecast by 2030
Projected ~50 – 90 MTPA (6 – 11 BCFD) shortfall in global LNG supply forecast by 2030 LNG has potential to be a viable solution to reducing emissions, while meeting the world’s energy demand Global LNG supply v demand forecast range For personal use only − Following Russia’s invasion of the Ukraine,
Slide 14: Projected shortfall in Australia's East Coast Gas Market by 2030
Projected 500 mmscfd shortfall in Australia’s East Coast Gas Market by 20301 Structurally short market (even if gas is diverted from LNG exports) seeking new gas supply − For personal use only Blacktip Australian East Coast market faces ~500 mmscfd shortfall by 2030 due to a BGP decade of underinves
Slide 15: Beetaloo Basin - continuous high quality subsurface resource
Beetaloo Basin - continuous high quality subsurface resource over ~5 million acres Rock qualities closely resemble the US’ most prolific gas resource in the Marcellus Basin 80% more gas per square mile For personal use only ~50% deeper in EP 161 ‘Core’ Beetaloo A’ EP 76 EP 98 EP 136 Equivalent effec
Slide 16: Scale of consolidated acreage on par with US Marcellus Shale
Scale of Tamboran’s consolidated acreage in Beetaloo Basin on par with the US Marcellus Shale Tamboran’s continuous Beetaloo Basin acreage equivalent to entire Marcellus gas window acreage (>25 BCFD1) For personal use only Marcellus delivers >25 BCFD1 LEGEND “Core” Marcellus Marcellus Basin1 Greater
Slide 17: Recent well performance confirming 'Core' Beetaloo focus
Recent well performance confirming Tamboran’s ‘Core’ Beetaloo focus EP 161 Tanumbirini 2H/3H wells demonstrating commercial flow rates from “unoptimised” completion design T3H For personal use only T2H − Mid Velkerri ”B Shale” − Mid Velkerri ”B (2,440-metre depth, 0.44 Shale” (3,400-metre psi/ft pre
Slide 18: 'Core' Beetaloo well performance consistent with Marcellus wells
‘Core’ Beetaloo well performance at EP 161 consistent with Marcellus Basin wells Independently verified analysis indicates 20-year EUR of 16.8 – 18.5 BCF1 for assumed development well at Tanumbirini Beetaloo Basin (Northern Territory, Australia) Tanumbirini 2H Tanumbirini 3H For personal use only St
Slide 19: Tamboran to focus development on 'Core' Beetaloo
Tamboran to focus development on ‘Core’ Beetaloo Three well upcoming work program to delineate ~17 TCF (gross) 2C contingent gas resources1 across ‘core’ region Original Pilot Development Focus – Amungee Area (Announced Sept’22) **New** Pilot Development Focus – Shenandoah South Area For personal us
Slide 20: Strategy to grow Beetaloo gas production to >1.5 BCFD by 2030
Tamboran’s strategy to grow Beetaloo gas production to >1.5 BCFD by 20301 Commercialisation of ~17 TCF (gross) resources via domestic sales and LNG export at Darwin For personal use only Phase 3 – LNG / − Additional wells to develop LNG upside at Middle Arm (via new NTLNG trains or tolling) or Hydro
Slide 21: Strategic Midstream Partnerships with APA Group and CEFAM
Strategic Midstream Partnerships with APA Group and CEFAM APA selected as Tamboran’s transmission pipeline partner to support the Beetaloo Basin development Darwin Exclusivity agreement with CEFAM1: For personal use only Proposed pipeline to Darwin − Tamboran entered into a Framework Tamboran’s Beet
Slide 22: H&P and Tamboran Strategic Alliance
H&P and Tamboran Strategic Alliance Bringing super-spec FlexRig® Flex Rig 3 to the Beetaloo in H2 2023 | Rig currently in Darwin ahead of mobilisation to Beetaloo − Tamboran / H&P Strategic alliance to import a For personal use only modern US unconventional drilling rigs into the Beetaloo. − H&P ali
Slide 23: Latest wells proving operational capability and transfer of US shale technology
Latest wells proving operational capability and transfer of US shale technology Maverick 1V and Amungee 2H drilling performance – fastest vertical and horizontal wells in Beetaloo to date1 - Days vs. Depth Curve For personal use only Maverick 1 − Tamboran leveraged learnings from drilling of Tanumbi
Slide 24: Tamboran's proposed NT LNG Project at Middle Arm
Tamboran’s proposed NT LNG Project at Middle Arm Proposed NTLNG project leading Australia’s third wave of LNG, focused on supporting Asia Pacific energy transition1 Location LNG Capacity Marine For personal use only Northern Territory Concept Select phase Federal Government Government awarded to uti
Slide 25: Site for proposed NTLNG at Middle Arm awarded to Tamboran
Site for proposed NTLNG site at Middle Arm Sustainable District awarded to Tamboran1 Targeting first fully integrated LNG development in onshore Northern Australia − Northern Territory Government awarded Tamboran a 170-hectare (~420 acre) site at Middle Arm Sustainable Development Precinct (MASDP),
Slide 26: bp and Shell MOUs
bp and Shell MOUs1 Signed non-binding Memorandum of Understandings with two of the world’s largest LNG portfolio trading and energy companies For personal use only − Entered into two non-binding MOUs with bp and Shell regarding Proposed NTLNG volumes2 the potential purchase of LNG from Tamboran’s pr
Slide 27: Multiple pathways to commercialise Beetaloo Basin gas
Multiple pathways to commercialise Beetaloo Basin gas Oversized 42-inch pipeline would enable development of Beetaloo feed gas to supply additional Middle Arm projects Middle Arm Sustainable Development Precinct For personal use only Blue Hydrogen Blue Ammonia and Urea/Fertilizer 42” Open Access Pip
Slide 28: About Tamboran Resources
About Tamboran Resources For personal use only 28
Slide 29: Tamboran's Board of Directors
Tamboran’s Board of Directors Deep technical knowledge and track record in early-stage E&P success For personal use only Dick Stoneburner Joel Riddle Fred Barrett Patrick Elliott Chairman Managing Director and CEO Non-Executive Director Non-Executive Director − Over 35 years’ experience in petroleum
Slide 30: Appendix A: Resource disclosures
Appendix A: Resource disclosures For personal use only 30
Slide 31: NSAI estimates of contingent gas resources
NSAI estimates of contingent gas resources 1.5 TCF 2C contingent gas resources1 and 148 TCF 2U prospective gas resources2,3 For personal use only Contingent Gas Resources Unrisked Prospective Gas Resources Low Estimate Best Estimate High Estimate Low Estimate Best Estimate High Estimate (1C) (2C) (3
Slide 32: Resources statement
Resources statement For personal use only The estimates of contingent and prospective gas resources in the permits contained in the announcement were prepared by Netherland, Sewell & Associates, Inc., qualified resource evaluators. The resource assessment was independently carried out by John G. Hat
Slide 33: Appendix B: Key risks and disclosures
Appendix B: Key risks and disclosures For personal use only 33
Slide 34: Disclaimer: Resource disclosure
Disclaimer: Resource disclosure LR 5.25.1 Contingent and Prospective Resource estimates for Origin Energy’s Permits (EP76, EP98 and EP117) have been assessed as of 31 August 2022. Contingent and Prospective Resources estimates for Tamboran Resources’ EP136 and EP161 were also assessed as of 31 Augus
Slide 35: Risks associated with Tamboran's exploration assets
Risks associated with Tamboran’s exploration assets Tamboran’s key exploration assets include a 38.75% working interest and operatorship in EPs 98, 117 and 76 (Origin Assets), a 100% working interest and operatorship in EP 136 (Sweetpea Assets), EP 143 and EP(A) 197 and a 25% non- operated working i
Slide 36: Specific risks in relation to the Sweetpea Assets
Specific risks in relation to the Sweetpea Assets Overriding Royalties and Area of Mutual Interest Obligation in respect of Sweetpea Sweetpea Petroleum Pty Limited (Sweetpea) is a wholly owned subsidiary of Tamboran and owns a 100% interest in EP 136, EP 143 and EP(A) 197 (Sweetpea Assets). The Swee
Slide 37: Risks specific to the Company and the Industry (cont.)
Risks specific to the Company and the Industry (cont.) Reserves and resources estimates Estimating hydrocarbon reserves and resources is subject to significant uncertainties associated with technical data and interpretation of that data, future commodity process and development and operating costs.
Slide 38: Risks specific to the Company and the Industry (cont.)
Risks specific to the Company and the Industry (cont.) Regulatory risk Tamboran must comply with relevant laws and regulations in each jurisdiction it operates as it applies to the environment, tenure, land access, landholders and native title holders. Non-compliance with these laws and regulations
Slide 39: Risks specific to the Company and the Industry (cont.)
Risks specific to the Company and the Industry (cont.) Access to funding for operations risk The funds raised from the Placement will be used to carry out Tamboran’s development of the Beetaloo Basin as detailed in this presentation. As is typical for exploration companies that do not have cash gene
Slide 40: Risks specific to the Company and the Industry (cont.)
Risks specific to the Company and the Industry (cont.) Environmental risk Despite efforts to conduct activities in an environmentally responsible manner and in accordance with applicable laws, there is a risk that gas activities may cause harm to the environment which could impact production or dela
Slide 41: General investment risks
General investment risks Force majeure events Events may occur within or outside Australia that could impact upon the global, Australian and other local economies, the operations of the Company and the price of the Shares. These events include but are not limited to war, natural disasters, outbreaks
Slide 42: General investment risks (cont.)
General investment risks (cont.) Litigation In the ordinary course of business, Tamboran may be involved in possible disputes. These disputes could give rise to litigation, the outcome of which could have a material adverse effect on its operations, financial performance and/or financial position. W
Slide 43: Risks associated with investing in shares (cont.)
Risks associated with investing in shares (cont.) The Shares may not be a suitable investment for all investors (cont.) A potential investor should not invest in the Shares unless it has the expertise (either alone or with the help of a financial adviser) to evaluate how the Shares will perform unde
Slide 44: International Offer Jurisdictions
International Offer Jurisdictions This document does not constitute an offer of new ordinary shares (“New Shares”) of the Company in any jurisdiction in which it would be unlawful. In particular, this document may not be distributed to any person, and the New Shares may not be offered or sold, in an
Slide 45: International Offer Jurisdictions (cont.)
International Offer Jurisdictions (cont.) New Zealand This document has not been registered, filed with or approved by any New Zealand regulatory authority under the Financial Markets Conduct Act 2013 (the “FMC Act”). The New Shares are not being offered or sold in New Zealand (or allotted with a vi
Slide 46: For personal use only
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