Horizon Oil Limited · ASX:HZN
Horizon Oil — Macquarie Connections Australia Conference 2014
30 slides from Horizon Oil's conference presentation, May 8, 2014
Slide 1: Macquarie Connections Conference Presentation
For personal use only 8 May 2014 The Manager, Company Announcements Australian Securities Exchange Limited Exchange Centre 20 Bridge Street Sydney NSW 2000 MACQUARIE CONNECTIONS CONFERENCE PRESENTATION Please find attached the presentation which will be presented by Michael Sheridan, Chief Financial
Slide 2: Macquarie Connections Australia Conference Presentation
Horizon Oil Limited ABN 51 009 799 455 For personal use only Macquarie Connections Australia Conference Presentation May 2014 This presentation contains some references to forward looking assumptions, representations, estimates and outcomes. These are uncertain by the nature of the business and no a
Slide 3: Horizon Oil Snapshot
Horizon Oil Snapshot For personal use only Market capitalisation of A$494m at A$0.38 per share on 30 April 2014 (1,301.2m shares) Current net production: Maari/Manaia 900 bopd priced at Brent plus US$5-6 Beibu Gulf 3,400+ bopd priced at Brent less US$4 Current EBITDA ~US$11m per month Foreca
Slide 4: Shareholder Distribution and Trading Statistics
Shareholder Distribution and Trading Statistics SHARE PRICE HISTORY TRADING STATISTICS For personal use only 3
Slide 5: Geographic Focus and Asset Location
Geographic Focus and Asset Location Focus remains on southeast Asia/Australasia, with… For personal use only …new exploration block in China and expanded acreage position in PNG 4
Slide 6: Investment Proposition
Investment Proposition For personal use only Focused southeast Asian/Australasian E&P specialist Strong, long-lived cashflows from Maari/Manaia fields, offshore New Zealand, re-invested to fund future capital program. Low risk, new reserves appraisal drilling and mid-life field upgrade program b
Slide 7: Net Reserves, Contingent Resources and Prospective Resources
Net Reserves1, Contingent Resources1 and Prospective Resources1 as at 30 April 2013, Post Osaka Gas Transaction For personal use only RESERVES CONTINGENT RESOURCES PROSPECTIVE RESOURCES Proven + Probable Proven + Probable Best Estimate 7 Includes 2.6 mmbbl LPG (1 tonne LPG equals 11 bbl) 1 Estimated
Slide 8: Forecast Net Production From Reserves + Contingent Resources
Forecast Net Production From Reserves + Contingent Resources as at 30 April 2013, Post Osaka Gas Transaction and Tingu-1 For personal use only 25,000 20,000 Barrels of oil equivalent per day 15,000 10,000 5,000 0 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Maari/Manaia Wei 6-12
Slide 9: Significant Recent Achievements
Significant Recent Achievements Successful sale of 40% of PNG assets to Osaka Gas For personal use only Horizon Oil entered into agreement in May 2013 to sell 40% of its PNG assets to Osaka Gas Co. Ltd. of Japan for US$204 million, including US$74 million in cash on completion, a further US$130 mi
Slide 10: Upcoming News Flow and Share Price Catalysts
Upcoming News Flow and Share Price Catalysts Timeframe For personal use only Stanley PDL award and development execution Q2 2014 Improved production performance from Maari/Manaia fields and progress on Ongoing to Q1 2015 field upgrade Progress on Beibu Gulf fields Phase II development plan Ong
Slide 11: Maari/Manaia Fields – New Zealand
Maari /Manaia Fields – New Zealand For personal use only PMP 38160: Gross reserves (mmbo) as 2P at 31 December 2013 HZN 10% (RISC estimate) OMV 69% (Op) Todd 21% Produced 22.0 CUE 5% Remaining 60.0 10
Slide 12: Maari/Manaia – Key Points
Maari/Manaia – Key Points Wellhead platform / FPSO development in 100 m water depth For personal use only Maari Moki zone developed with 5 producer wells and 3 water injectors – field developed on basis of 60 mmbo recoverable reserves; successful appraisal/development wells drilled from platform
Slide 13: Maari Field Development Assets
Maari Field Development Assets For personal use only 12
Slide 14: Maari/Manaia Upside Potential
Maari /Manaia Upside Potential For personal use only 13
Slide 15: Maari/Manaia Growth Projects
Maari/Manaia Growth Projects For personal use only Objective to reconfigure water injection scheme, access undeveloped reserves and optimise production 14
Slide 16: PEP 51313 – New Zealand
PEP 51313 – New Zealand Deep prospect and lead inventory with 163 mmbo exploration potential For personal use only PEP 51313: HZN 21% (10% Whio) OMV 30% (Op) Todd 35% CUE 14% Whio-1 to be drilled in Q1 2014 with mean potential of 27 mmbo (operator estimate) 15
Slide 17: Beibu Gulf Fields, China – Development Areas
Beibu Gulf Fields, China – Development Areas For personal use only Block 22/12 Post-CNOOC Back-in: HZN 26.95% CNOOC 51.00% (Op) ROC 19.60% Majuko Corp 2.45% Gross reserves 2P (mmbo) as at 31 December 2013 Produced 3.0 Remaining 24.4 16
Slide 18: Beibu Gulf Fields – Key Points
Beibu Gulf Fields – Key Points 2 phase development in 40 - 60 m water depth utilising CNOOC platform facilities, export pipeline and For personal use only terminal on Weizhou Island Phase 1 platforms WZ 6-12 and WZ 12-8W connected by pipeline to PUQB utility platform; completion cost within init
Slide 19: Beibu Gulf Fields – Phased Development Scheme
Beibu Gulf Fields – Phased Development Scheme For personal use only 18
Slide 20: WZ 12-8E Early Production Concept – Phase II
WZ 12-8E Early Production Concept – Phase II For personal use only WZ 12‐1PUQB Leased mobile production platform NOED Mobile Flexible pipeline Production Platform Initially up to three production wells Run extended DST or pilot production Drill more wells (4-5) depending on production perf
Slide 21: Papua New Guinea
Papua New Guinea For personal use only Horizon Oil acreage position expanded to ~7,900 sq km, primarily in wet gas “sweet spot” 20
Slide 22: PNG Exploration and Development Program – Key Points
PNG Exploration and Development Program – Key Points For personal use only Commanding 7,900 sq km acreage position in liquids-rich “sweet spot” of foreland area with certified condensate and gas resources of 125 mmboe net, subject to reduction when transaction with Osaka Gas completes Stanley (P
Slide 23: Horizon Oil Acreage and Joint Venture Partners
Horizon Oil Acreage and Joint Venture Partners PRL 4: For personal use only HZN 30% (Op) Osaka Gas 20% Talisman 40% Mitsubishi 10% PRL 21: HZN 27% (Op) Osaka Gas 18% Talisman 32.5% Kina 15% Mitsubishi 7.5% PPL 259: HZN 35% Osaka Gas 10% Eaglewood 45% P3GE 10% PPL 430: HZN 50% (Op) Eaglewood 50% PPLs
Slide 24: Stanley Project Concept
Stanley Project Concept Facilities For personal use only 2 train, 140 mmscfd gas refrigeration plant Mercury removal via adsorption catalyst beds Gas sales at plant fence, addition gas recycled to enhance liquids recovery 6 inch, 40 km pipeline to transport liquids to Kiunga 60,000 bbl sto
Slide 25: Stanley Production Facility Site
Stanley Production Facility Site For personal use only 24
Slide 26: Kiunga Base and Condensate Loadout Facility
Kiunga Base and Condensate Loadout Facility For personal use only 25
Slide 27: PRL (Elevala/Tingu and Ketu) – Development Concept
PRL 21 (Elevala/Tingu and Ketu) – Development Concept For personal use only 26
Slide 28: PNG Gas Commercialisation Options
PNG Gas Commercialisation Options Sales to regional buyers for power generation For personal use only – Ok Tedi Mining Limited (OTML) and Frieda River project (when sanctioned) – Local towns and communities in Kiunga – OK Menga – Frieda River corridor – Export to West Papua: Merauke, Jayapura Mi
Slide 29: Upcoming News Flow and Share Price Catalysts
Upcoming News Flow and Share Price Catalysts Timeframe For personal use only Stanley PDL award and development execution Q2 2014 Improved production performance from Maari/Manaia fields and progress on Ongoing to Q1 2015 field upgrade Progress on Beibu Gulf fields Phase II development plan Ong
Slide 30: Please visit the Horizon Oil website
Please visit the Horizon Oil website www.Horizonoil.com.au to see:- Detailed Investor Presentation Latest Quarterly Report For personal use only Analyst reports on HZN Level 7, 134 William St, The reserve and resource information contained in this announcement is based on information compiled by Ala
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