Amplitude Energy Limited · ASX:AEL
Amplitude Energy — Cooper Energy — Noosa Mining & Exploration Conference 2018
22 slides from Amplitude Energy's conference presentation, Jul 19, 2018
Slide 1: Presentation to Noosa Mining & Exploration Conference
Sole-4 subsea tree deployment For personal use only Diamond Offshore Ocean Monarch conducting flow-back of Sole-3, 4 July 2018 Presentation to Noosa Mining & Exploration Conference 19 July 2018 David Maxwell, Managing Director
Slide 2: Important Notice – Disclaimer and other information
Important Notice – Disclaimer and other information The information in this presentation: For personal use only • Is not an offer or recommendation to purchase or subscribe for shares in Cooper Energy Limited or to retain or sell any shares that are currently held. • Does not take into account the i
Slide 3: Key results since Noosa Mining & Energy Conference 2017
Key results since Noosa Mining & Energy Conference 2017 Gas reserves and production up. Market capitalisation up 76% For personal use only 2P Reserves: up 4.6 times Production: up 54% Market capitalisation: up 76% Share price up 36% MMboe last reported MMboe $ million $ million 1.49 720 0.45 0.33 0.
Slide 4: What have we done since last year?
What have we done since last year? $ 400m financing Sole Project FID For personal use only Senior bank facilities & equity Project go-head & plant sale to APA New gas contract Drilling production wells Successful well workover Casino Henry gas to Origin Orbost Gas Plant upgrade Gas plant acquisition
Slide 5: Portfolio style gas business built around Gippsland and Otway hubs
Portfolio style gas business built around Gippsland and Otway hubs Gas contracting and capital expenditure around 2 hubs best placed for supply to south-east Australia For personal use only Cooper Basin Gippsland • Low cost/high margin oil production 0.2 million • Sole gas project (Operator, 100% in
Slide 6: Production outlook
Production outlook A ramp-up in production and cash flow from existing asset base For personal use only Indicative1 production outlook MMboe 6 5 4 Exclusive of Sole commissioning gas. Commissioning planned to commence in Q4 FY19 Gas 3 2 Oil 1 0 FY17 FY18 FY19 FY20 FY21 1Indicative and assumes: • Sol
Slide 7: Sole Gas Project
Sole Gas Project 56% complete at end June 2018, within schedule and budget ORBOST GAS PROCESSING FACILITY For personal use only Works by - APA Group Plant Upgrade & Operations ✓ Piling completed ✓ Plant construction contract awarded to Downer. Orbost Gas Plant: bioreactors background, inlet gas trea
Slide 8: Sole-3 completed, Sole-4 in progress
Sole-3 completed, Sole-4 in progress Sole-3 success has production well in place with performance proven to project requirements For personal use only • Sole-3 flowback conducted 4 - 5 July • Reservoir intersection, characteristics and gas composition all in line with pre-drill expectations • Confir
Slide 9: Sole gas project: works advancing at plant and offshore
Sole gas project: works advancing at plant and offshore Onshore and offshore workstreams for commencement of supply mid-2019 For personal use only Production wells Subsea connection, umbilical and pipeline APA Group: plant upgrade Presentation to Noosa Mining and Energy Conference July 2018 9
Slide 10: Sole is transformational for Cooper Energy
Sole is transformational for Cooper Energy 4 times increase in annual gas production and sales in Sole’s first year For personal use only Sole is expected to lift gas production from 6 PJ pa to more than 30 PJ Long term contracts underpin long term cash flows pa by FY20 Sole sales gas production: co
Slide 11: Offshore Otway Basin
Offshore Otway Basin Development and exploration opportunities, marketing uncontracted gas For personal use only Indicative Casino Henry sales gas production* PJ pa Cooper Energy 50% share Otway uncontracted Otway contracted 3 8 8 7 6 6 5 4 3 3 0 FY19 FY20 FY21 FY22 FY23 FY24 FY25 FY26 FY27 * Profil
Slide 12: Exploration: Otway Basin offshore
Exploration: Otway Basin offshore Planning for drilling of two exploration wells in 20201 For personal use only • Several prospects on trend with producing fields high graded as potential candidates for 2020 drilling campaign • Easily defined 3-way structural traps • Completed 3D seismic inversion s
Slide 13: Fourth quarter report
Fourth quarter report Production & sales revenue up; Sole meets critical milestone For personal use only Production Sales Revenue Commercial & other MMboe $ million 1.6 70 1.4 60 1.2 50 1.0 40 0.8 30 0.6 0.4 20 0.2 Quarter 4 10 Quarters 1-3 0.0 0 FY17 FY18 FY17 FY18 • Production up 7% on previous qu
Slide 14: FY 19: key features
FY 19: key features Sole completion; new gas contracts; complete planning of FY20 drilling for the next wave of growth after Sole For personal use only FY19 Sole Gas Project New gas contracts Preparing for FY20 Production Completion at market prices drilling campaign Total full year (existing develo
Slide 15: Wrap-up
Wrap-up Established south-east Australia gas business with approaching production ramp-up and cash inflection point, developing new opportunities for further growth For personal use only Sound cash generating • Established low cost operations generating high cash flow/boe existing business • Strong
Slide 16: Appendices
For personal use only Appendices
Slide 17: Cooper Energy Snapshot
Cooper Energy Snapshot For personal use only Key statistics* Proved & Probable Reserves 54.1 MMboe Contingent Resources (2C) 34.9 MMboe Production FY19g 1.4 MMboe Market capitalisation $720 million Net cash/(debt) $128 million Issued shares (million) 1,601.1 Cooper Basin Oil production & exploration
Slide 18: Otway Basin, Penola Trough onshore
Otway Basin, Penola Trough onshore Haselgrove results confirm prospectivity for deep conventional gas For personal use only South Australia • Haselgrove-3 discovery in adjoining PPL 62 confirmed conventional gas prospectivity of the Sawpit sandstone at depths below previous producing reservoirs • SA
Slide 19: Cooper Basin
Cooper Basin Low cost, high margin oil production For personal use only Cooper Energy Cooper Basin oil production Kbbl 275 63.64 Q4 250 225 50.81 Q3 200 Q2 70.5 175 62.0 Q1 150 125 75.2 63.5 100 75 50 66.3 62.0 25 0 FY17 FY18 • Full year production of 271 Kbbl kbbl vs 251 Kbbl – connection of Callaw
Slide 20: Manta gas field
Manta gas field Contingent resource plus significant deeper exploration potential For personal use only Geological setting - a structural three-way dip, one-way fault closure against a NE-SW trending fault - Manta-1, exploration well drilled in 1984, and Manta-2A, production well drilled in 2006 - G
Slide 21: Gas price trend and expectations for south-east Australia
Gas price trend and expectations for south-east Australia ACCC finds price consolidation around $8 - $10/GJ and expects this to continue For personal use only ACCC analysis of gas prices offered & accepted Unfilled offers between 1 January 2017 and 14 July 2017 and all subsequent offers up to Januar
Slide 22: Senior management
Senior management Managing Director General Manager, Development Company Secretary & Legal General Manager, Commercial & For personal use only David Maxwell Duncan Clegg Counsel Business Development Alison Evans Eddy Glavas David Maxwell has over 30 years’ experience Duncan Clegg has over 35 years’
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