Reconnaissance Energy Africa Ltd. · TSXV:RECO
Reconnaissance Energy Africa — Investor Presentation (August 2024)
29 slides from Reconnaissance Energy Africa's investor presentation, August 2024
Slide 1: High Impact Multi-Well Drilling Program Onshore Namibia
HIGH IMPACT MULTI-WELL DRILLING PROGRAM August 2024 ONSHORE NAMIBIA
Slide 2: Forward Looking Information
Forward Looking Information Certain information in this Presentation may constitute “forward-looking statements” or “forward-looking information” within the meaning of applicable securities legislation in Canada, the United States and any other applicable jurisdiction (collectively, “forward-looking
Slide 3: Disclosure Regarding Prospective Resources
Disclosure Regarding Prospective Resources With respect to the Company’s Namibian assets, as the Damara Fold Belt is a prospective resource and the first potential production in the Kavango Basin, an evaluation of commercialization will await a successful discovery well to provide critical productio
Slide 4: RECON 2.0 | Corporate Snapshot | What's New
RECON 2.0 | Corporate Snapshot | What’s New – Everything Corporate Snapshot What’s New Experienced Management Team New CEO and General Counsel and with Established Track Record New Strategy ~8.1 Million Acre Concessions New SVP Exploration and Technical Secured with Running Room on Team Success Boar
Slide 5: Executive Leadership and Technical Advisory Team
Executive Leadership and Technical Advisory Team Extensive Exploration Experience Executive Leadership Team Technical Advisory Team y BRIAN REINSBOROUGH CHRIS SEMBRITZKY ADAM RUBIN HON. DIANA MCQUEEN NICK STEINSBERGER CARLOS ESCRIBANO JIM OHLMS RODNEY KIRKLAND Chair, SVP Stakeholder Relations Chief
Slide 6: Differentiating Investment Case
Differentiating Investment Case • Deepwater resource potential with onshore cost structure HIGH IMPACT • Significant running room captured in Damara fold belt play PORTFOLIO • Play opening wells in the Damara fold belt play • Deploy Early Productions System in oil success case utilizing nearby infra
Slide 7: Delivering on New Strategy | Recon 2.0
Delivering on New Strategy | Recon 2.0 New management team has completely Aug/23 Oct/23 Nov/23 Feb/24 1Q/24 Apr/24 transformed company 4Q/23 New CEO and New SVP Sold Mexico Prioritized Civil Cases Streamlined Enhanced General Counsel Exploration Assets Exploration Settled Organization Governance & T
Slide 8: Namibia | Onshore Investment Proposition
Namibia | Onshore Investment Proposition High Quality Stable Business Environment Namibia – The Next Guyana? ✓ Business Friendly Environment ✓ Over the last 24 months Discovered ‒ Multi-party parliamentary stable democracy ‒ Pro-business government party ‒ Over 11 Billion Bbls and 8.7 TCF Gas(1) ‒ H
Slide 9: Strategic Joint Venture | BW Energy Joins ReconAfrica and NAMCOR
Strategic Joint Venture | BW Energy Joins ReconAfrica and NAMCOR WORKING INTEREST ➢ Farming in for a 20% Working Interest (PEL 73 Working Interest; ReconAfrica 70%, BW Energy 20%, NAMCOR 10%) ➢ Pro-rata share of spending on a multi-well exploration program (first two wells in the Damara Fold Belt) a
Slide 10: Capital Structure And Trading History
Capital Structure And Trading History CAPITALIZATION Equity Research Coverage (All figures in C$ millions or millions of shares, except per share values) TSXV:RECO • Research Capital Corp. – Bill Newman Share Price(1) $1.06 • Fox Davies Capital – Lionel Therond • Haywood Securities – Christopher Jon
Slide 11: Inventory | Damara Fold Belt and Rift Margin
Inventory | Damara Fold Belt and Rift Margin 19 6 Prospects Prospects Naingopo Exploration Well Currently Drilling 4 Leads 45 Leads 226 MM Bbls1 25 MM Bbls1 Risked Prospective Oil Prospective Oil Resources Kavango Rift Margin: OIL AND NATURAL GAS Resources 3.4 Billion Bbls1 Unrisked PEL 73 • 51 pros
Slide 12: Regional Overview | Owambo and Kavango Basins
Regional Overview | Owambo and Kavango Basins R O E OW O SN R SN N O SN E a o at en w a en ase o R t o at Ota o at Ota Ota ena ena 0 0 20 0 0 Seep We Sha ow R t epth eep Naingopo at es ase t t e 12
Slide 13: Prospect Running Room | 23 Prospects and Leads
Prospect Running Room | 23 Prospects and Leads SW NE Lead HH Naingopo (L) Prospect M Lead MM Mbambi Owambo Rift Kombat Prospect M Kawe NE Otavi Makandina Prospect I DAMARA FOLD BELT Prospective Oil Resources1 Naingopo 100% WI2 Company WI2 (4 prospects - both Mulden & Otavi Levels)3 SW Undiscovered
Slide 14: Multi-Well Drilling Portfolio | Damara Fold Belt
Multi-Well Drilling Portfolio | Damara Fold Belt Na n opo Kombat BSM Depth Structure W CURRENTLY DRILLING E D5 . W E Ro aa asa t aroo Naingopo (L) Attributes: Naingopo / Prospect L ase aroo n on or t Large 4-way dip closures at Mulden D4 Stacked reservoirs MULDEN . en re n erre Closures ~4,900
Slide 15: Multi-Well Drilling Portfolio | Prospect I and Prospect M
Multi-Well Drilling Portfolio | Damara Fold Belt Kombat BSM Depth Structure SE Prospect I NW NW SE D1 Ro aa asa t aroo ase aroo n on or t Prospect I Attributes: . n erre en Large 4-way dip closures Prospect I Stacked reservoirs MULDEN o at Closure = 6,000 acres re S aroo Drilling Depth: TBD W
Slide 16: Near Term Catalysts and Timeline for Drilling Activity
Near Term Catalysts and Timeline for Drilling Activity EXPLORATION PROGRAM SCHEDULE1 2024 2025 JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL Mob/ Mob/ Jarvie-1 Rig Drill Prospect Naingopo Demob Drill FB Prospect Kambundu Testing Demob Appraisal Drilling2 Seismic Program Rift 3D Seismic Acq. In
Slide 17: Prospect Naingopo (L) | Well Drilling Schematic
Prospect Naingopo (L) | Well Drilling Schematic – Currently Drilling Depth Meters Naingopo Exploration Well Reservoirs /Source 0 Hole Size: 17-1/2” Kalahari Formation 0m 200 17-1/2” 444.5 mm 444.5 mm 400 13-3/8” Casing 600 800 12-1/4” Owambo Formation 575m ase aroo n on or t re aroo n on or t 311.15
Slide 18: Prospect Naingopo (L) | Reservoir Horizons
Prospect Naingopo (L) | Reservoir Horizons Conceptual schematic of hydrocarbon fill Naingopo 11-1 W E Karoo Mapped Seismic Horizons TOP L. OWAMBO FM INFERRED MID MULDEN L. OWAMBO SS MULDEN TOP KOMBAT FM L. OWAMBO SS MAPPED UPPER KOMBAT SS KOMBAT UPPER KOMBAT SS KOMBAT SHALE MARKER SHALE MARKER TOP L
Slide 19: Monetization Options
Monetization Options Oil | Early Production System Phase 1.a) Trucking to Walvis Bay Early Production System Phase 1.b) Rail to Walvis Bay Short Cycle to Cash Flow Phase 2 Longer term pipeline solution to be integrated into development ➢ Proximity to High Quality Road, Rail and Port Infrastructure ➢
Slide 20: ESG | Generational Commitments
ESG | Generational Commitments Create lasting ESG program for social and economic benefit for Namibians and Batswana COMMUNITY EMPLOYMENT ECOSYSTEMS Generational Commitment Active Engagement with Local Strict adherence to regulations, Communities environmental and global best practices Drilled No dr
Slide 21: ReconAfrica 2.0 Investment Highlights
ReconAfrica 2.0 Investment Highlights ➢Seasoned exploration team with track record of finding Oil and Gas Experienced Management Team ➢Experience in Rift Basin and Fold Belt exploration Near Term Catalysts ➢Naingopo Exploration Well Drilling ➢Proven petroleum systems with oil in stratigraphic wells
Slide 22: Contact: Reconnaissance Energy Africa Ltd
BRIAN REINSBOROUGH, CEO GRAYSON ANDERSEN, Investor Relations Reconnaissance Energy Africa Ltd Email: investors@reconafrica.com Ph: 1 877 631 1160 (Toll Free Canada & USA) AFRICA Namibia Reconnaissance Energy Namibia Ltd. PO Box 518 Industrial Area 8, AMTA Building Rundu, Namibia Botswana Reconnaissa
Slide 23: Appendix
Appendix
Slide 24: ReconAfrica Timeline | Investments & Terms
ReconAfrica Timeline | Investments & Terms 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 PEL 073 PEL 073 NAMIBIA BOTSWANA 1st Renewal 2nd Renewal PEL 073 License Period extends to Jan 2026 Licenses Signed Period Signed with additional rights to 2029 6.3 Million Acres 1.8 Million Acres Seismic Se
Slide 25: Disclosure Regarding Prospective Resources
Disclosure Regarding Prospective Resources The report of Netherland, Sewell & Associates, Inc. (“NSAI”) entitled “Estimates of Prospective Resources to the Reconnaissance Energy Africa Ltd. Interests in Certain Prospects and Leads located in PEL 73, Kavango Basin, Namibia as of March 31, 2024” (the
Slide 26: Disclosure Regarding Prospective Resources
Disclosure Regarding Prospective Resources The NSAI Report estimated the undiscovered original oil in place volumes and unrisked and risked gross (100%) prospective light/medium oil resources to the Company’s 90% interest for each of the prospects and leads location for the Damara Fold and Thrust Be
Slide 27: Disclosure Regarding Prospective Resources
Disclosure Regarding Prospective Resources The NSAI Report estimated the undiscovered original oil in place volumes and unrisked and risked gross (100%) prospective light/medium crude oil resources to the Company’s 90% interest for each of the prospects and leads location for the Karoo Rift Play pla
Slide 28: Disclosure Regarding Prospective Resources
Disclosure Regarding Prospective Resources The NSAI Report estimated the unrisked and risked gross (100%) prospective natural gas resources and the unrisked and risked company gross prospective natural gas resources to the Company’s 90% interest in the leads and prospect located in petroleum explora
Slide 29: Disclosure Regarding Prospective Resources
Disclosure Regarding Prospective Resources The NSAI Report estimated the undiscovered original gas in place volumes and unrisked and risked gross (100%) prospective natural gas resources to the Company’s 90% interest for each of the prospects and leads location for the Damara Fold and Thrust Belt pl
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