Shamaran Petroleum Ltd. · OSL:SNM
Shamaran Petroleum — Investor Presentation (December 2020)
18 slides from Shamaran Petroleum's investor presentation, December 2020
Slide 1: Corporate Presentation December 2020
Corporate Presentation December 2020 SHAMARAN www.shamaranpetroleum.com petroleum corp
Slide 2: Shamaran 2020 Atrush Overview
Shamaran 2020 Atrush Overview TSX.V: SNM; Nasdaq First North Growth Market: SNM 46.3* Mbopd 2020 YTD gross production - Stable production 39% Production increase 2020.Q3 vs. 2019.Q3 108.5 MMbbl Gross 2P reserves** - Large reserve & resource base 75% 2020 CAPEX Reduction - Strategic response to globa
Slide 3: Shamaran in Kurdistan
Shamaran in Kurdistan ShaMaran is an E&P company active in Kurdistan region Atrush Location Kurdistan’s oil industry now well established • Significant reserves and resources • Largely stable political situation • Export route to Mediterranean via Turkish port of Ceyhan ShaMaran has 27.6% interest i
Slide 4: HSE – Returning to Normal Operations
HSE – Returning to Normal Operations Transitioning from initial pandemic response Q1 & Q2 response: • Minimization and deferment of non-critical field activities to reduce exposure potential • Reduction to minimum staff levels with demobilization of non production-critical staff • Extension of rotat
Slide 5: Atrush - Delivering Production Targets
Atrush - Delivering Production Targets 50000 46.3 40000 30000 Bopd 46652 46883 46134 43722 20000 10000 0 Q1.2020 Q2.2020 Q3.2020 Q4.2020 Quarterly Sales Average (stb/d) ShaMaran 2020 Sales Average Lower Guidance 2020 Sales Average (stb/d) ShaMaran 2020 Sales Average Upper Guidance (*) As of October
Slide 6: Atrush - Delivering Production Growth
Atrush - Delivering Production Growth July 2017 July 2017 – December 2019 2020 • Commissioned fully • Expand Well Capacity • Expand EPF to 18 Mbopd Capacity automated facilities to +60 Mbopd with 30 Mbopd • Deliver cost savings processing capacity • Debottleneck PF-1 to (“PF-1”) +40 Mbopd Capacity •
Slide 7: Atrush - Delivering Planning
Atrush - Delivering Planning Deliver Full Asset Value Position to Deliver Value 2020+ Debottleneck & Mature 2020 Resource Base 2019 Optimize field development Start-up Capacity Expand Processing Capacity Drill additional wells to fill and Production at PF-1 and available capacity at PF-1 2017-
Slide 8: KRG Payments
KRG Payments Revenue payment uncertainty easing KRG loans, receivables and cost • Resumption of timely and consistent payments from oil as of 30th September 2020* (presented in million USD) KRG for oil deliveries in March to September 2020 • ShaMaran continuing dialogue with KRG for repayment of $41
Slide 9: Delivering Cost Savings
Delivering Cost Savings 2020 budget updated to suit low oil price environment and market volatility: • Reduced Capital Expenditures by 75% − From $131MM ($36MM net to ShaMaran) to USD 33MM ($9MM net to ShaMaran) for 2020 • Reduced Operating Expenditures by 22% − From $105MM ($29MM net to ShaMaran) t
Slide 10: Resolved Liquidity Issues
Resolved Liquidity Issues Liquidity shortfall successfully resolved with bondholders: • Funds from full drawdown of Liquidity Guarantee (provided by Nemesia SARL, Lundin family trust entity) paid July 2020 bond interest and remaining funds to provide future credit support • Waiver granted until July
Slide 11: Update on Operational Cash Flow
Update on Operational Cash Flow In million USD Q3.2020 Q4.2019 Operating cash, net of G&A and other case expenses 9.0 15.6 Receivable/payable and working capital adjustments (4.5) (13.7) Cash from operations 4.5 1.9 KRG loans, interest and KRG carry/receivables collected 2.6 2.3 Atrush development (
Slide 12: ESG
ESG www.shamaranpetroleum.com/company/esg/ Environmental Focus • Proper disposal of all produced water • Effective waste management program • Timely remediation of all impacted locations • Plan to eliminate flaring and emissions via gas sweetening project Social Focus • staff localisation levels cur
Slide 13: Outlook
Outlook Focus on Maintaining Stable High Production Rates • 46.3 Mbopd average* achieved by increasing processing capacity to meet well capacity: − Debottlenecking current facilities − Commissioning facility upgrades • Reservoir management and well deployment key to realizing maximum value in reset
Slide 14: Cautionary Statements
Cautionary Statements This document contains statements about expected or anticipated future events and financial results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as legal and political risk, civil unrest, general economic, market and
Slide 15: Additional Slides
Corporate Presentation Additional Slides SHAMARAN petroleum corp
Slide 16: Management and Board of Directors
Management and Board of Directors Chris Bruijnzeels – Chairman and Director William A.W. Lundin – Director Over 35 years of experience in the oil and gas industry Effective as of December 1, 2020 Mr. Lundin will including Senior Vice President Development of become the Chief Operating Officer of Int
Slide 17: ShaMaran, a Lundin Group company
ShaMaran, a Lundin Group company USD 20.1 billion - combined market cap of Lundin Group [ 16 ]
Slide 18: Corporate Profile
Corporate Profile Major shareholders Share Capital • Lundin family trusts 22.8% • Shares issued and outstanding 2,173,588,201 • Directors/Management 0.4% Market Capitalization Trading Information • CAD 76 million (@ 11 November 2020) • TSX Venture TSX-V:SNM Net Debt • NASDAQ First North Growth (Stoc
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