Bridge Energy ASA
Corporate Presentation March 2013
21st March 2013
Bridge Energy ASA Corporate Presentation March 2013 21st March 2013 - - PowerPoint PPT Presentation
Bridge Energy ASA Corporate Presentation March 2013 21st March 2013 Disclaimer This presentation and its appendices (together the Presentation) have been prepared and delivered by Bridge Energy ASA (Bridge Energy or the Company)
21st March 2013
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This presentation and its appendices (together the “Presentation”) have been prepared and delivered by Bridge Energy ASA (“Bridge Energy” or the “Company”). The Presentation and its contents are strictly confidential and may not be reproduced or redistributed, in whole or in part, to any other person than the intended recipient. The Presentation is prepared for discussion purposes only. The Presentation does not constitute, and should not be construed as, any offer or invitation
The Presentation contains information which has been sourced from third parties believed to be reliable, but without independent verification. The Presentation contains certain forward-looking statements relating to the business, financial performance and results of the relevant issuers and/or industries and markets. These statements may contain words as “will”, ”expects”, “anticipates”, ”believes”, ”estimates” and words of similar import. Any forward-looking statements and other information contained in this Presentation, including assumptions, opinions and views cited from third party sources are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. As such by the nature of any forward looking statement, relying on such statements involves risk. This Presentation has not been reviewed or registered with any public authority, stock exchange or regulated market place, hereunder the Oslo Stock Exchange and the UK Financial Services Authority. The shares of the Company have not and will not be registered under the U.S. Securities Act or any state securities laws, and may not be offered or sold within the United States, or to the account or benefit of U.S. Persons. No part of this document may be copied or duplicated in any form or by any means or redistributed without the written consent of the Company. The distribution of this Presentation is in certain jurisdictions is restricted by law, including (but not limited to) USA, Canada, Japan, Australia and Hong Kong. Persons into whose possession this Presentation may come are required to inform themselves about and to comply with all applicable laws and regulations in force in any jurisdiction in or from which it invests or receives or possesses this Presentation and must obtain any consent, approval or permission required under the laws and regulations in force in such jurisdiction. By attending or receiving this Presentation you acknowledge that you will be solely responsible for your own assessment of the information herein, the market and the market position of the Company and the relevant securities and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of any relevant investments. Neither Bridge Energy nor any subsidiary undertakings or any such person‟s affiliates makes any undertaking, representation or warranty (express or implied) as to the accuracy or completeness of the information (whether written or oral and whether or not included in this Presentation) concerning the matters described herein. Neither Bridge Energy nor any subsidiary undertakings or any such person‟s affiliates accepts any liability whatsoever as to any errors, omissions or misstatements contained herein and, accordingly, neither Bridge Energy nor any subsidiary undertakings or any such person‟s affiliates, officers, employees, accepts any liability whatsoever arising directly or indirectly from the use of this Presentation or the information included herein. The Presentation speaks and reflects prevailing conditions and views as of 21st March 2013. It may be subject to corrections and change at any time without notice. Neither Bridge Energy nor any subsidiary undertakings or any such person‟s affiliates intend to, and neither the delivery of this Presentation or any further discussions with any recipient shall, under any circumstances, not create any implication that the Company assumes any obligation to, update or correct the information herein. Nor is this Presentation an implication that there has been no change in the affairs of the Company since such date. This Presentation is subject to Norwegian law and the exclusive jurisdiction of the Norwegian courts.
21st March 2013
company
exploration assets in both NCS and UKCS
discoveries
strong inventory of undeveloped discoveries
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Analyst
– Pareto Thomas Aarrestad – First Securities Teodor Sveen Nilsen – ABG Sundal Collier Anders Holte – Carnegie ASA Martin Vold – Sparebank Markets Kristoffer Dahlberg – Fondsfinans ASA Morten Lindbaek – Cenkos Securities Ashley Kelty – Edison Research Ian McClelland 33.9% 28.2% 25.1% 7,6% 4,8% 1,0%
Float AIMCo Lime Rock Storebrand KLP Mgt
Share Price *12,15NOK (135p) Shares in issue 63,429,169 Consensus TP 21 NOK Market cap 771 MNOK (£88m)
*18th March 2013 21st March 2013
– Significant UK tax loss position shelters cash flow from production – Supports higher level of debt funding to fund acquisition – Resulting leverage supports strong return on invested equity
– Targeting 3-4 exploration wells drilled per year – Significant inventory of targets in both the NCS and UKCS
– Significant upside potential within Duart & Boa assets, with ability to deliver production increase at reasonable cost in the short term – Material value within Vulcan satellites, can be unlocked through introduction of partner
– Enhanced through listing on AIM and transfer to Oslo Børs – Debt facilities with accordion capability to support growth
– Strong management team with track record of delivery
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value increase to NPV10 £68mm
2012
through drill-bit
licence awards in 2012
and Boa
within Vulcan area
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9 Note: Reserve and contingent resources are based on reserve report 31st December 2012
Cormorant East Duart Victoria Boa
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Forecast monthly production boepd*
Asset summary**
100 200 300 400 500 600 700 800 900 jan-13 apr-13 jul-13 okt-13 jan-14 apr-14 jul-14 okt-14
# Assumes reference Brent price of USD$110/bbl and NBP gas 60p/therm
** From Reserve Report dated 31st December 2012 10 21st March 2013
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Forecast monthly production boepd*
Asset summary**
** From Reserves Report dated 31 December 2012
100 200 300 400 500 600 700 800 jan-13 apr-13 jul-13
jul-14
# Assumes reference Brent price of USD$110/bbl and NBP gas 60p/therm
21st March 2013
** From Reserve Report dated 31st December 2012
Forecast monthly production boepd* Asset summary**
50 100 150 200 250 jan-13 apr-13 jul-13 okt-13 jan-14 apr-14 jul-14 okt-14
# Assumes reference Brent price of USD$110/bbl and NBP gas 60p/therm
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value driver
net opex) to fund portfolio growth
capacity provides very attractive return
5 10 15 20 25 30 35 40 45 Price Stock Net Price LOF Cash Net Cash
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study work scheduled to be completed Q1 2013
Note: Reserve and contingent resources are based on Reserve Report 31st December 2012 21st March 2013
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49/21-10a Vulcan East Bridge Energy 100%, Operator
Discovered by 49/21-10a, 2007 Horizontal multi-frac development 48/19c Clipper South RWE 180 BCF recoverable Horizontal multi-frac development Phase 1 currently on-line 49/21-8a Vulcan South Bridge Energy 66.6%, Operator
Discovered by 49/21-8, 2000 48/25a Vulcan NW Bridge Energy 100%, Operator
Appraised (3rd well) 2008 Horizontal multi-frac development 48/20b-6 Vulcan NNW RWE Discovered 1990 90 BCF GIIP Recent 26th Rd Award
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Key valuation metrics*
Gross probable resource: – 525 BSCF GIIP – 319 BSCF Recoverable
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*The above forecasts are based on certain management estimates and assumptions believed to be reasonable at the date of this presentation.
GBP£ million
21st March 2013
500 1000 1500 2000 2500
Revenue
LOF Opex Abex Net Cash Before Tax Tax Net Cash After Tax
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N - North Sea
P1915 Vulcan South, 2012- licence award Cormorant East- Oil discovery
PL554 Garantiana, 2012- Oil discovery discovery PL457 Asha, 2012- Oil discovery
*Reserve and contingent resources are based on reserve report dated 31st December 2012 21st March 2013
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and was developed under the field name „Cormorant East‟, 85 days after discovery.
2012
field and further development options
21st March 2013 N Cormorant Cormorant East
Garantiana North mmboe
POS (%)
– Brent 0.5 25 % – Cook 5.8 45 % – Statfjord 2.6 20 % – Lunde 3.2 7 %
Garantiana*
– Brent 2.8 48 % – Cook 8.6 discovery – Statfjord 11.3 20% – Lunde 18.3 18.3%
Updip
– Brent 0.3 17 % – Cook 9.7 22 % – Statfjord 8.8 19 % – Lunde 10.8 8 %
Angulata
– Brent 5.7 24 % – Cook 4.0 45 % – Statfjord 8.2 14 % – Lunde 10.5 8 %
(Bridge 20% Interest)
Angulata Garantiana North Garantiana Updip
22 *Garantiana discovery now classified as a 2C Contingent Resource within the most recent reserve report Note: Reserve and contingent and prospective resources are based on reserve report 31st December 2012 21st March 2013
Unrisked net resources (post-drill)
(Bridge 20% Interest)
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Tellus (E. Grieg) Ivar Aasen Aglaja Amol Mukta Asha (Preliminary)
Asha discovery: 30-100 mmboe (gross within PL457)
Note: Reserve and contingent and prospective resources are based on reserve report 31st December 2012 21st March 2013 23
pre-drill values, unrisked million boe net to Bridge
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2012
submitted 2013
awards 2014
2015
jacket 2016
topside
Southern Utsira High area
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Note – well timings are subject to change due to changes in operator programmes
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Linnorm Mjøsa Noatun Njord
From Reserves Report dated 31 December 2012 28 21st March 2013
From Reserves Report dated 31 December 2012 29 21st March 2013
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N S
From Reserves Report December 2012 21st March 2013
Seismic amplitude Tor level
From Reserves Report 31 December 2012 21st March 2013 31
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