Gasco Energy — IPAA OGIS New York 2012
19 slides from Gasco Energy's conference presentation, Apr 16, 2012
Slide 1: IPAA OGIS New York
April 16, 2012 IPAA OGIS New York NYSE Amex: GSX King Grant, CEO & President Mike Decker, EVP & Chief Operating Officer
Slide 2: Forward-Looking Statements
Investor Relations Corporate Offices Forward-Looking Statements Certain statements set forth in this presentation relate to management’s future plans, objectives and expectations. Such statements are forward-looking within the meaning of Section 27A of the Securities Act of 1933, as amended, and Sec
Slide 3: Overview
Denver-based exploitation and production company focused on developing gas in the U.S. Rocky Mountains NYSE Amex: GSX Market Cap: ~$39.0 MM(1) Enterprise Value: $84.0 MM(1) Proved Reserve Base(2) 2011 SEC – 39.8 Bcfe; $44.7 MM PV-10 100% in Utah (Uinta Basin, Riverbend Project) 92% Natural Gas / 100
Slide 4: Return to Growth
Return to Growth Funded oil and liquids-rich drilling program in Utah Carried exploratory drilling program in California Improved financial strength from 2010-2012 transactions
Slide 5: Return to Growth: Utah Drilling Program
Return to Growth: Utah Drilling Program Funded oil and liquids-rich drilling program in Utah New Uinta Basin JV accelerates Green River oil activity Continued Green River oil development drilling Seven gross (1.3 net) wells to commence drilling in 2H12 New-drill gas wells Six gross (2 net) gas wells
Slide 6: Return to Growth: California Exploration
Return to Growth: California Exploration Carried exploratory drilling program in California Carried interest in up to five wells Willow Springs expected to test in Q212 SW Cymric recently sold for $750,000 prospect fee and 20% carry Looking for industry partners on newly created and existing prospec
Slide 7: Return to Growth: Financial Strength
Return to Growth: Financial Strength Debt over Time (End of Period)
Slide 8: Capital Expenditure Budget
Capital Expenditure Budget 2012 Estimated Capex: $5.0 MM 7 gross (1.3 net) Green River Oil wells 6 gross (2.0 net) new-drill natural gas wells $3.6 MM Uinta program to commence in Q312 Other: $1.4 MM (California, rentals, seismic) 2011 Actual Capex: $8.1 MM Leasehold: $2.1 MM Drilling, completion an
Slide 9: 2011 Gross Natural Gas and Oil Production Utah
2011 Gross Natural Gas Production Utah (Bcf) Public Company Utah Production 2011 Gross Oil Production Utah (MBbl) Source: State of Utah Division of Oil, Gas and Mining
Slide 10: Uinta Basin, Utah Regional Activity
Uinta Basin, Utah Regional Activity Targeting Green River (oil), Wasatch, Mesaverde, Blackhawk and Mancos / Dakota formations (7,000’- 18,000’+) Gasco acreage Federal 82%, State/Fee 18% 116,926 gross (42,303 net) pro forma for March 2012 Uinta JV 135 gross producing wells in Utah Gasco Leases Gasco
Slide 11: Uinta Basin Joint Venture
Uinta Basin Joint Venture $34 MM transaction closed March 22, 2012 Gasco sold to JV partner an undivided 50% interest in certain of its producing properties and 50% of its undeveloped leasehold Gasco received $19 MM in cash and a $15 MM drilling carry Uinta JV drilling program is $37.5 MM over a two
Slide 12: Uinta Basin Green River Oil Play
Uinta Basin Green River Oil Play Green River Fm oil (GRO) historic productive horizon across the Uinta Basin First two GRO wells 7-day average IP of 67 BOPD and 50 BOPD, respectively in Q112 Shallow pay-zone (4,500’ – 6,000’) Medium gravity / low pour-point Estimated 11,000 gross GSX acres prospecti
Slide 13: Uinta Basin Green River Oil Play: Type Well Assumptions
Uinta Basin Green River Oil Play EUR (MBoe, gross): 70 Working Interest: 100% Net Revenue Interest : 80% Drilling Cost $400,000 Completion Cost $600,000 Completed Well Cost: $1,000,000 WTI Oil Price: $100 / Bbl Well-head Oil Price: $85.00 / Bbl API°: 34 LOE: $4,400/month Production Taxes: 5.2% Rate
Slide 14: Duchesne and Uintah Counties Oil Production
Duchesne and Uintah, Counties Oil Production MBbls 32,686 Bopd 19,252 Bopd Source: State of Utah Division of Oil, Gas and Mining
Slide 15: Uinta Basin Wasatch – Mesaverde Wells
Uinta Basin Wasatch – Mesaverde Wells EUR (MMcf, gross): 1,740 Working Interest: 100% Net Revenue Interest : 80% Drilling Cost $810,000 Completion Cost $930,000 Completed Well Cost: $1,740,000 NYMEX Gas Price: $4.85 / MMbtu BTU content cryo uplift: $0.66 / MMbtu Rockies Differential 5% Gathering/Pro
Slide 16: California Exploration Projects
California Exploration Projects 37,959 gross acres (14,603 net) in San Joaquin Basin Kern & San Luis Obispo Counties GSX has secured drilling partners for further exploration SW Cymric Sold in Q112 Projects proximate to Midway-Sunset and Belgian Anticline oil fields ( cum. ~2 billion Bbls)
Slide 17: California Prospect Inventory
Gasco California Prospects Gross / Net Acreage Unrisked Prospect Potential Net Unrisked Prospect Potential Status Antelope Valley Trend 18,232 / 3,401 856 MMBO / 2.2 Tcf 164 MMBO / 0.4 Tcf Finalizing permitting for 3D seismic shoot over prospects; first well projected to be spud in Q212 Willow Sprin
Slide 18: Key Investment Considerations
Green River oil program More balanced commodity exposure Low cost, solid rate of return program Helps return Gasco to a growth story once again Large upside potential from California exploration program Limited investment by Gasco provides exposure to crude oil Willow Springs well down and awaiting
Slide 19: Fin
--Fin--