GEV Disclaimer AUSTRALIA AND ALL JURISTICTIONS The information in - - PowerPoint PPT Presentation

GEV

Annual General Meeting

22 November 2019

PAGE 2

Disclaimer

AUSTRALIA AND ALL JURISTICTIONS The information in this presentation is not an offer or recommendation to purchase or subscribe for securities in Global Energy Ventures Ltd (GEV) (ASX:GEV) or to retain or sell any securities currently being held . This presentation does not take into account, nor is it intended to take into account, the potential and/or current individual investment objectives and/or the financial situation of investors. This presentation was prepared with due care and attention and the information contained herein is, to the best of the GEV’s knowledge, current at the date of the presentation . This presentation contains forward looking statements that are subject to risk factors associated with the gas and energy industry . The expectations reflected in these statements are currently considered reasonably based, but they may be affected by a range of variables that could cause actual results or trends to differ materially, including but not limited to : price and currency fluctuations, the ability to obtain reliable gas supply, gas reserve estimates, the ability to locate markets for CNG, fluctuations in gas and CNG prices, project site latent conditions, approvals and cost estimates, development progress, operating results, legislative, fiscal and regulatory developments, economic and financial markets conditions, including availability of financing . All references to dollars, cents or $ in this document is a reference to AUD Dollars, unless otherwise stated. UNITED STATES (ONLY) Any offering or solicitation will be made only to qualified prospective investors pursuant to a prospectus or offering memorandum, each of which should be read in their entirety . To the extent applicable, any placement of securities will only be available to parties who are “accredited investors” (as defined in Rule 501 promulgated pursuant to the Securities Act of 1933 , as amended) and who are interested in investing in the securities on their

• wn behalf.

This presentation was authorised for release on 22 November 2019 by Maurice Brand, Executive Chairman & CEO.

PAGE 3 Garry Triglavcanin Executive Director & Chief Development Officer Bachelor of Mechanical Eng. & MBA with 25 years’ experience in the international energy industry across commercial, technical & legal aspects

• f

project development. 12 years with Liquefied Natural Gas Limited as Group Commercial Manager, developing a range of projects, including the Australian Fisherman’s Landing LNG Project, Magnolia United States LNG Project and the Middle East Qeshm Island LNG Project. Martin Carolan Executive Director Corporate & Finance 13-years in the financial markets, with extensive experience in providing corporate advisory and capital market services to a large number of small-cap ASX listed companies. Global network of institutional and sophisticated investors will be invaluable to GEV. Joined Foster Stockbroking in 2010, was made Executive Director and partner in 2014, primarily responsible for managing relationships with Foster’s institutional and corporate clients. Thomas Soderberg Non-Executive Director, Head

• f Shipping

Over 30 years experience in the shipping industry with first in class

• rganizations

like AP Moller /Maersk, HSBC, Seatankers/John Fredriksen and Armada Group. Resides in Hong Kong with more than 30 years’ experience and network in Asia, as Director of HSBC Shipping Services, heading up Ship S&P, newbuilds and alternative ship finance activities in the region, GM of Seatankers (John Fredriksen Group) and CIO

• f Armada Group.

Thomas is the founder of Tribini Capital a shipowning and investment platform which has contracted, built and financed ship newbuilds in China. John Fitzpatrick Chief Technical Officer GEV Canada Over 30 years of experience as a structural engineer specializing in analysis, design, construction and

• deployment. Previous Director of

Engineering at SeaNG. Responsible for the Optimum ship design. David Stenning Chief Operating Officer GEV Canada Over 30 years

• f

engineering experience in the international energy industry, with leadership roles in engineering and management. Leading the development of CNG Optimum. Maurice Brand Executive Chairman & Chief Executive Officer 30 years’ experience in the international energy industry having foundered ASX listed Energy Equity Corporation Limited (EEC) in 1985 (now known as EWC); ASX listed Liquefied Natural Gas Limited (LNG) in 2002 and ASX listed Global Energy Ventures Ltd (GEV) in 2016. Maurice was the driving force behind both EEC and LNG as the Managing Director and Chief Executive Officer. ASX listed LNG being admitted to the ASX 200 in September 2014 with a market capitalisation of A$2.5 billion. Paul Garner Non-Executive Director Over 15 years’ experience in the international energy industry, directly focusing

• n

capital raising & restructuring

• f

companies at various stages of their development. Instrumental in acquiring the prospect in the Gulf of Mexico that produced the High Island 24L gas discovery in 2006 for Entek Energy Limited. Director and management roles in various ASX listed juniors.

SIGNIFICANT EQUITY EXPOSURE TO ALIGN WITH SHAREHOLDERS

Ownership: 22.3M shares Ownership: 11.9M shares Ownership: 10.8M shares Ownership: 2.0M shares Ownership: 13.1M shares

Experienced board and management team

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C A P I T A L S T R U C T U R E Ordinary Shares on Issue 385.7m (84%) Market Capitalisation at $0.15/share A$57.9m Cash Balance (20 November 2019) A$5.0m Performance Shares 3 14.0m (3%) Options on Issue 1 42.7m (9%) Performance Rights 2 16.5m (4%) Fully Diluted Shares 458.9m (100%)

Notes: 1. 6.1m 10c options, expiry 30/5/20; 2m 14c, expiry 18/6/20; 3m 21c, expiry 19/6/20; 31.6m 40c options, expiry 31/5/20; 2. Performance Rights issued to Maurice Brand, Garry Triglavcanin, Paul Garner, Martin Carolan and consultants

• 3. Refer to the 30 June 2019 Annual Report for full details of the Milestone Conditions
• 4. Including shares held by the Board and Management

S H A R E H O L D E R S U M M A R Y ( U n d i l u t e d ) Regal Funds Management Pty Ltd 6.5% Maurice Brand 5.8% Board and Management 23.9% Top 20 shareholders 4 45.3% Top 50 shareholders 4 63.9% 2 0 1 9 S H A R E P R I C E P E R F O R M A N C E A S X : G E V

• January | ABS Full Design Approval
• February | $4.7M Capital raising
• July | Shipyard LOI executed with CIMC Raffles Offshore
• July | Brazil gas market launch
• August | $3.0M Capital raising
• October | Strategic Alliance with CIMC Raffles & CIMC ENRIC
• November | US Gulf Coast gas market launch | R&D Cash Rebate

2 0 1 9 A C H I E V E M E N T S

1 2 3 4 5 6 7 1 2 3 4 5 6 7

Corporate overview

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◉ Full ABS class approvals should not be underestimated

with CNG Optimum the only fully approved CNG vessel seeking commercialisation.

◉ Shipyard Letter of Intent for new builds with CIMC Raffles

confirmed competitive CNG transport economics and tariff rates.

◉ Strategic Alliance with CIMC Raffles and CIMC Enric to

support CNG project development and provide an integrated “EPC Wrap” for ship new builds and associated gas supply chain infrastructure.

◉ Launch of CNG Optimum into two new markets with

multi-project potential: Offshore Brazil and US Gulf Coast.

◉ Positive discussions with CNG project financial advisors

and the identification of future funding partners.

◉ Two successful fund raisings, supported by new and

existing investors who understand the CNG value proposition and time required to secure material long- term contracts with large investment grade customers.

◉ Additional CNG markets still under due diligence

verifying our repeatable approach to development. Achievements... ... Challenges…

◉ Ongoing low UK gas prices have undermined the early

work to secure gas supply and commercialise the UK Meridian import terminal.

◉ Delays in securing Middle East gas partner to support

regional CNG market opportunities – including HOA with Indian Oil Company.

◉ Securing gas supply agreement out of PNG for CNG

project to East Coast Australia – despite productive discussions for gas offtake and compelling economics for accelerated gas production using CNG Optimum.

◉ Slower than expected take-up by a bankable partner in

South East Asia to develop stranded gas assets applying CNG Optimum’s superior economics for regional gas transport. > Project delays mitigated by GEV’s strategy of developing multiple CNG projects. > Brazil and the US Gulf Coast offer multiple opportunities. > Low project development costs to establish new regions. > Conviction on the merits for CNG continues to grow.

2019 year in review

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Gas to remain as transition fuel to renewables > Growth in gas markets > CNG now a regional gas supply solution

◉ World GDP more than doubles by 2040. ◉ Improvement in living standards requires energy demand to increase by around a third (India, China, Other Asia). ◉ Growth in world energy demand continues, all be it at a slower pace and increasing focus on reducing carbon emissions. ◉ Expansion of middle-class across Asia continues to drive growth in energy demand and consumption for the next +20yrs,

partly offset by reduction in energy intensity.

◉ Energy supply is changing, driven by US shale revolution leading the world on oil and gas production and the growth in LNG

transforming the transport of gas, opening up new markets.

◉ Government policies targeting growth in new electricity generation with cleaner fuels. ◉ Global investment funds now mandated to focus on Environmental Social Governance (ESG) targets – leading to a re-

allocation to investments delivering lower emissions.

Forecast Primary Energy Demand to 2040 Primary Energy Demand and Carbon Emissions

Source: BP Energy Outlook 2019 Source: BP Energy Outlook 2019

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STANDARD HANDYMAX SHIP PATENTED DESIGN

1960 | Bottle Ship 2019 | CNG Optimum Ship Approved for Construction

OPTIMUM STORAGE SYSTEM 200 MMscf Loaded Gas Volume 3,600 psi Operating Pressure X80/ERW Pipe Grade & Weld Type 20” Pipe Diameter 100m Individual Pipe Length 130km Total Length of Pipes CNG SHIP 190m Length 17.0m Depth 31.8m Breadth 9.4m Full Load Draft 47,500 mt Displacement 14 knots Service Speed

◉

Containment system integrated into the ship design.

◉

Long horizontally stacked pipe minimises connections and optimises the cargo hold.

◉

Optimum IP overcomes the storage pipes rubbing together in a marine environment.

• Reduced connections

using large coils of small diameter pipe.

• Modest economic

range.

1998 | Coselle

200 MMscf

CNG OPTIMUM

BOTTLE SHIP JAYANTI BARUNA, INDONESIA, 2016

25 MMscf

8x

Capacity

• Steel and design factor
• f the 60’s.
• Too many connections.
• Limited economic

range.

2016 | Construction of 25MMscf ship

CNG Optimum design approved for construction

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CIMC C Raffle les Shipyard

January 2019 > Received ABS Letter of Approval. July 2019 > Shipyard Letter of Intent (LOI) with Yantai CIMC Raffles Offshore Limited. > Ship construction cost US$135-140 million per ship. > Construction schedule 30 months. > 4 ship firm + 4 ship option. > Progress to binding Engineering, Procurement, Construction (EPC) contract. October 2019 > Strategic Alliance Agreement (SAA) with CIMC Raffles and CIMC ENRIC. > EPC Contracts for the construction and commissioning of all CNG Facilities and Shipbuilding to implement an integrated “EPC Wrap”. > Significantly mitigates CNG project execution risk, such as delivery and pricing, to assist in the financing of future projects. Next Step… > CNG Facilities EPC Contracts in alignment with binding Gas Sales, Supply Agreements and Shipping contracts. Final Step… > Financial close on a project and commence construction.

Clarkson

• ns Platou
• u

Ship Broker SeaQue Quest Marin ine Technical Advisor CIMC C ENRI RIC CNG Engineering Americ ican Bureau Shipp ipping Ship Classification & Approvals

CNG Optimum ready for commercialisation

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◉ Strategic Alliance Agreement announced on 21 October 2019 with Yantai CIMC Raffles Offshore Ltd (CIMC) and

Shijiazhuang Enric Gas Equipment Co. Ltd (ENRIC).

◉ Jointly co-operate and work together to develop and execute CNG transport projects across target regions and

provide GEV with an “EPC Wrap” for the construction and commissioning of all related CNG project facilities and related infrastructure.

◉ Partnering with the CIMC Group adds project execution and

financial capability. Globally operations include: production and R&D facilities across 20 countries, manage 6,000 employees globally, have four (4) listed companies with annual turnover of USD 14.7 billion (2018) , and ranked among the top 100 Chinese enterprises.

Strategic Alliance with CIMC Raffles & CIMC Enric

Cheng Ao (CIMC Raffles), Li Minggao (CIMC Raffles), Maurice Brand (GEV), Zhang Zhongqiang (CIMC Enric) and Cui Li (CIMC Enric)

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◉ CNG Optimum shipping capability is designed for regional gas transportation solutions that are economically

competitive with alternative transport options for a given volume and distance.

◉ Projects targeted where GEV can develop and implement a full CNG gas transport supply ‘pipe to pipe’ chain. ◉ CNG Optimum business model is applicable in four markets:

MARINE CNG TRANSPORTATION SERVICE The marine CNG transportation of gas from point A to point B via GEV’s CNG 200 Optimum ships. (i.e. US Gulf Coast)

1

DEVELOPING STRANDED GAS FIELDS Many discovered gas fields remain uncommercial due to their limited gas resource size and/or distance to market. Typically these are offshore fields with neither pipeline or FLNG offering a commercial solution. (i.e. Malaysia)

3

DEVELOPING ASSOCIATED GAS In many oil fields, the associated gas is not monetised (pipeline/FLNG not commercially viable). Such oil fields are usually located off-shore with associated gas typically re-injected (or flared). (i.e. Brazil Offshore)

2

DISPLACING LIQUID FUELS FOR SMALL-SCALE POWER Expensive liquid fuel (oil) remains the only choice for power generation in many places around the world with limitations by scale, remote location, or access to alternative fuels (gas). (i.e. Central America & Caribbean)

4

“Pipe-to-Pipe” gas transportation solution

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◉ GEV will contract and build/own/operate the CNG supply chain to deliver 15-20yr bankable fixed cash flows. ◉ Transparent commercial agreements with either one or two economic partners to minimise contractual risks. ◉ Repeatable design includes: ◉ CNG Export Terminal (metering, gas treatment, compression, jetty, loading facilities). ◉ CNG 200 Optimum ships (fixed price capex & opex). ◉ CNG Import Terminal (unloading facilities, jetty, scavenging compression, metering).

20yr Gas Purchase Agreement 20yr Gas Take-or-Pay Agreement

LOADING UNLOADING

SAIL TO MARKET

Gas Unloading Terminal

Single CNG Transportation Fee

Gas Loading Terminal

Marine CNG transportation solution

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◉ Significant number of discovered gas fields remain uncommercial due to their limited gas resource size and/or

distance to market.

◉ Only two options available, being i) pipeline to market; or ii) transportation via floating liquefied natural gas (FLNG) to

market.

◉ Often producing oil fields are reinjecting associated gas due to no viable commercial alternative. ◉ Opportunities exist for GEV to acquire upstream ownership through the application of CNG Optimum ‘unlocking’

unrealised value.

UNLOADING

SAIL TO MARKET

Gas Sales (Point B) Gas Supply (Point A)

Single CNG Transportation Fee

Developing stranded and associated gas

PAGE 13 13

◉

Multiple projects continue under development to achieve our first marine CNG project.

◉

Strategy employed to mitigate against binary nature of large single energy infrastructure projects.

◉

Six regions announced with favourable CNG economics to secure a ‘bankable’ project.

◉

Two regions prioritised for allocation of resources going into 2020: > Brazil: Multiple development projects seeking gas commercialisation strategy; Advanced discussions in place; Less than one days sailing distance to multiple gas markets with attractive economics. > US Gulf Coast: Offshore platform reduces regulatory approvals; Abundant gas supply; Multiple markets identified; and Lower on water costs than US LNG. Region Status Catalyst required…

Offshore Brazil Priority Execute MOU(s) to progress CNG Commercialisation. US Gulf Coast Priority HOA for Offshore Platform; Gas Supply Agreement(s); HOA Gas Offtake(s). PNG to East Coast Australia Ongoing Secure HOA on gas offtake; Secure HOA gas supply agreement. Middle East to India Ongoing Secure binding +15yr gas supply agreement. HOA with Indian Oil Corp. remains valid for 20yr gas offtake. South East Asia Ongoing Secure investment grade partner to develop identified stranded gas assets. UK, Meridian Terminal On-hold Material re-rating of domestic gas spot prices up from multi-year lows.

Status of CNG projects going into 2020

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◉

Brazil launch in July 2019 with the appointment of GAIA as

• ur Country Associate - committed to jointly develop CNG

projects through their local expertise and strong regulatory and industry relationships.

◉

Discussions advancing with multiple operators who are developing Pre-Salt projects in Santos & Campos Basins and seeking a gas commercialisation strategy for their

• wn FID decisions in 2020 and 2021.

◉

Target projects consider re-injection as a development

• ption, with associated gas volumes of 100 - 400MMscf/d.

◉

Imported gas from Bolivia or via LNG at ~USD 7/MMBtu has established a baseline for attractive gas net-back prices to operators. Why Brazil? > Highly bankable International Oil Companies (IOC’s) developing giant oil and gas projects. > Over 1 Bcf/d of associated gas is already being reinjected.

Source: GEV

> Multiple high demand gas markets and delivery ports between 0.5 - 1 day sail from gas supply. > In certain cases, CNG can compete with deepwater pipelines and offer a more flexible solution that delivers attractive gas price net-backs to operators and stable long term gas pricing to end users. > Changes in regulatory and legal framework have awakened a wave of investment opportunities and support monetising domestic resources in place of gas imports.

Brazilian Pre-Salt has multi-CNG project potential

PAGE 15 15

◉

Brazilian Pre-Salt presents a unique and attractive gas market dynamic ideally suited to CNG Optimum: > Santos and Campos Basins are prolific hydrocarbon producing regions with significant volumes of associated gas. > Major projects progressing to FID with first operations in 2023/24 can align with CNG Optimum construction schedule. > Multi-fold production growth over the next decade as IOC’s develop oil field blocks recently secured through bidding rounds. > Existing deep-water pipelines are under contract and at capacity. > New pipelines are environmentally, technically and commercially challenging requiring long lead time & multi-billion dollar investments. > In many development cases, reinjection is considered the only feasible

• ption given water depth, rich gas specification, met-ocean conditions

and availability of infrastructure. > Gas commercialisation by CNG can accelerate gas development timelines, enhance project economics and mitigate reservoir risks associated with reinjection. IOC’s developing Pre-Salt projects

Source: PPSA, 2018

An investment of ~US$150 Billion across 14 new Pre-Salt developments, will add 2 million bbl oil per day & 24 million m3 gas per day

24 million m3 gas per day …equivalent to 680MMscf/d … equivalent to 12 CNG Optimum ship potential

Source: ANP, 2019

Brazil ideally suited for CNG & ready for massive growth

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◉

Full-time GEV project manager based in Rio de Janeiro from January 2020.

◉

Pursuing multiple MOU’s with oil & gas operators, downstream buyers, gas distributors and port developers.

◉

Project team will utilise in-house resources, strategic alliance partners & expert consultants for facilities design, engineering, legal and regulatory.

◉

Repeatable design to be replicated across multiple prospective projects.

◉

Staged approach to commercialisation of CNG Optimum:

MOU for CNG Commercialisation Project FEED & Approvals Construction & Operations

> Commercial and technical case for CNG already defined. > Pursuing multiple MOUs to advance commercialisation with:

• Operators in Santos & Campos

Basins.

• Downstream buyers and

distributers of natural gas.

• Port facility developers.

> Demonstrate technically and economically viability of CNG for upstream and downstream parties. > Outcome includes HOA and binding commercial terms for CNG transport. > Integrate CNG process and design with Operators FEED studies. > CNG Optimum facilities for loading and unloading. > Permitting and regulatory approvals. > Binding CNG Transport Agreement. > Binding EPC for Ship Build & CNG Infrastructure with CIMC Raffles. > Leads to Financial Close. > 3 year construction schedule based on 3- 4 ships required per project. > Installation of CNG loading facilities during subsea installation of production equipment to reduce cost. > CNG operations in line with first production 2024.

Path to FID & CNG optimum construction in 2020

PAGE 17 17

◉

CNG export from the US Gulf of Mexico a priority region for 2020.

◉

Targeting an offshore export terminal as a CNG project to transport US gas to regional markets that include: Mexico, Central America, and the Caribbean. > Initial focus will be the Yucatan region, Mexico.

◉

Due diligence underway with an owner of numerous offshore platforms connected to existing network of pipelines serving multiple gas producers in the Gulf of Mexico. Why the US Gulf Coast? > US gas production growth to ~85 Bcf/d provides an infinite supply of gas. > Long-term forecast price range of USD 2.50 to 3.00/MMBtu provides global competitive gas supply. > Access to multiple gas suppliers delivering a stable Henry Hub price, with options to finance. > Under-utilised infrastructure in place accelerates development timetable. > US low country risk supports financing. > Defined and timely approvals process to align with criteria for Financial Close. > Access to a deep pool of investors for debt and equity. > End user gas markets with no or minimal competition for CNG supply (i.e. pipelines or Small Scale LNG). > End user markets carry some credit/political risk, however this presents the opportunity for CNG and why LNG scale/pricing has not been embraced. > Lower on water costs than US LNG.

CNG launch into the US Gulf Coast gas market

PAGE 18 18

◉

Due diligence commenced early November 2019 on the selection of an offshore platform, gas supply options, and a program for regulatory approvals.

◉

Gas supply consultant appointed to recommend suppliers and pricing for selected platform. Discussions commenced with US energy trading groups.

◉

Offshore platform due diligence progressing on multiple platforms together with pipeline access. Proposed CNG Markets from the US Gulf Coast

◉

Gas market report completed has identified five markets within CNG economic range. > Priority target has a well-documented gas shortage given pipeline infrastructure constraints and urgent need for power. > Another four markets that either are or about to import gas via small scale LNG models.

◉

Regulatory approval process well defined for Deepwater Ports with work to commence in 2020. No requirement for FERC.

US Gulf Coast CNG project status

Source: GEV

PAGE 19 19

 All technical and safety approvals completed for CNG Optimum ship > ready to be commercialized.  Shipyard LOI and Strategic Alliance confirms CNG Optimum economics are now commercial and

construction and financing risks mitigated through an integrated “EPC Wrap”.

 Portfolio of global projects eliminates binary outcome of a single project company and

demonstrates growth potential for CNG Optimum. Brazil and US Gulf Coast have multiple

• pportunities within each region.

 Project economics confirm CNG Optimum a commercial alternative to Pipelines and FLNG.  Opportunities for future ownership in stranded gas resources suitable for a CNG solution.  Equity valuation for CNG projects is significant given market premium ascribed to infrastructure

projects with fixed long-term project cash flows.

 EXPERIENCED TEAM IN VALUE CREATION AND OWNERSHIP OF EQUITY ALIGNED WITH SHAREHOLDERS.

CNG Optimum commercial opportunity is compelling…

GEV

For all investor enquiries:

Martin Carolan Executive Director mcarolan@gev.com +61 404 809 019

For more information visit:

gev.com 📟 +61 8 9322 6955 📎 5 Ord St, West Perth, 6005 @GEVmarineCNG