Global Petroleum Limited Walvis Basin, offshore Namibia July 2020 - - PowerPoint PPT Presentation

Global Petroleum Limited

Walvis Basin, offshore Namibia July 2020

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These materials are strictly confidential and are being supplied to you solely for your information and should not be reproduced in any form, redistributed or passed on, directly or indirectly, to any other person or published, in whole or in part, by any medium or for any purpose. Failure to comply with this restriction may constitute a violation of applicable securities laws. These materials do not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, or any offer to underwrite or

• therwise acquire any securities, nor shall any part of these materials or fact of their distribution or communication form the basis of, or be relied on in connection with, any

contract, commitment or investment decision whatsoever in relation thereto. The information included in the presentation and these materials is subject to updating, completion, revision and amendment, and such information may change materially. No person is under any obligation to update or keep current the information contained in the presentation and these materials, and any opinions expressed in relation thereto are subject to change without notice. The distribution of these materials in other jurisdictions may also be restricted by law, and persons into whose possession these materials come should be aware of and observe any such restrictions. This presentation includes forward-looking statements that reflects the company’s intentions, beliefs or current expectations. Forward-looking statements involve all matters that are not historical fact. Such statements are made on the basis of assumptions and expectations that the Company currently believes are reasonable, but could prove to be wrong. Such forward-looking statements are subject to risks, uncertainties and assumptions and other factors that could cause the Company’s actual results of operations, financial condition, liquidity, performance, prospects or opportunities, as well as those of the markets it serves or intends to serve, to differ materially from those expressed in, or suggested by, these forward-looking statements. Additional factors could cause actual results, performance or achievements to differ materially. The Company and each of its directors,

• fficers, employees and advisors expressly disclaim any obligation or undertaking to release any update of or revisions to any forward-looking statements in the presentation or

these materials, and any change in the Company’s expectations or any change in the events, conditions or circumstances on which these forward-looking statements are based as required by applicable law or regulation. The resources referred to in this presentation were announced in January 2018 and July 2020 Prospective Resources Cautionary Statement: the estimated quantities of petroleum that may be recovered by the application of a future development project(s) relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Further exploration, appraisal and evaluation are required to determine the existence of a significant quantity of potentially moveable hydrocarbons By accepting any copy of the materials presented, you agree to be bound by the foregoing limitations. Competent Person – Global The petroleum resources information in this release and the accompanying presentation is based on, and fairly represents, information and supporting documentation in a report compiled by Paul Howlett, who is a qualified person for the purposes of the AIM Guidance Note for Mining, Oil and Gas Companies. Paul is consultant Exploration Manager for Global Petroleum and is employed by Energy Explorers Limited. He has a Master’s Degree in Sedimentology from Birkbeck College of the University of London, is a Member of the American Association of Petroleum Geologists and has 28 years of experience in the oil and gas industry. Mr Howlett has consented in writing to the inclusion of the petroleum resources information in this announcement in the form and context in which it appears.

Disclaimer

Overview

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Experienced Team

• Global has operated in Namibia since 2010. Technical team has Namibian experience

going back to 2003 Highly prospective adjacent acreage

• New licence PEL 94 identified as highly prospective, enhancing Global’s adjacent PEL 29
• Global has a 78% Participating Interest as operator
• Plan is to work up existing data, showcasing high potential, and then partner with a

credible deep water operator to acquire 3D seismic data in the eastern part of the licence

• Low cost option to evaluate own acreage, plus assess outcome of nearby activity,

before making expensive commitments Namibia Exposure

• Gives investors low risk / low cost future exposure to wider Namibian exploration,

which has huge upside.

NAMIBIA

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Namibia, PEL 94 / Block 2011A

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• Petroleum

Agreement for new c.5,800 km² Block 2011A signed in September 2018; Licence PEL 94 issued October 2018

• Global is operator and holds a 78%

interest. State

• il

company, Namcor, and a local company, Aloe, have carried interests of 17% and 5% respectively

• Adjacent to existing Licence PEL 29
• also c.5,800 km²
• Aggregate of c.11,600 km², making

Global

• ne
• f

the largest net acreage holders in the region

50 Km

2010A 1910B

Licence PEL 29 / Blocks 1910B & 2010A Licence PEL 94 / Block 2011A Oil recovered to surface in 2014

PEL37 PEL30 2011A

PEL 94 / Block 2011A Work Commitments

• Initial Exploration Period Years 1 and 2
• Undertake geological, geochemical and geophysical and related studies of all the data,

including a gravity and magnetic study as well as a source rock and basin modelling study

• Licence the existing 2010-vintage 3D seismic data survey (announced 7th April 2020), and

all 2D seismic data of reasonable quality and reprocess it

• Initial Exploration Period Years 3 and 4 (Global can elect to relinquish after year 2)
• If the Company elects to continue into years 3 and 4 , then additionally the Company will

acquire and process 2,000 square kilometres of 3D seismic data in the Eastern Area

• If the Company elects not to enter into years 3 and 4, the Block will be relinquished
• First and Second Renewal Exploration Periods
• First and Second Renewal Periods, of two

years, each with a well commitment

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Technical essentials: oil and gas proven in the area and multiple plays present

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Shallow water carbonates PEL 94 3D seismic & Welwitschia Deep prospect PEL 37 (Tullow): 3D seismic PEL 30 (ECO Atlantic): 3D seismic

50 Km

Albian facies map with prospects and 3D seismic outlines Deep water mudstones Deep water sandstone prospects Global’s PEL 29 prospects

50 Km

• Gas sampled in seabed cores

in PEL 94, migrant oil sampled in Sasol’s well 2012/13-1 and wet gas shows in Tullow’s Cormorant well point to oil and gas migrating throughout the section in and around PEL 94

• Shallow water carbonates

proven in a number of wells and tied on seismic to PEL 94

• Large Welwitschia Deep

prospect is already covered by existing 3D seismic data

• New Albian sand play

confirmed by the Cormorant well and Global’s model is that this play extends into PEL 94 (Block 2011A)

Namibia PEL 94 – technical essentials Welwitschia Deep & Marula prospects

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• Welwitschia-1A well drilled in western part of PEL 94 in 2014, targeted Upper

Cretaceous sandstones, which were absent at this location, but the well proved excellent seals

• Global believes that there is significant prospectivity – similar to that in PEL 29 – in

deeper Albian carbonates (“Welwitschia Deep”), which Welwitschia-1A did not reach

• Additional prospectivity in Upper Cretaceous reservoirs on the flanks of the Welwitschia

structure e.g. the Marula prospect

Namibia PEL 94: Welwitschia Deep prospect

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PEL 94: 3D seismic line across the Welwitschia Deep and Marula prospects PEL 94: Top Albian carbonates depth map

• Albian carbonates in a fault and dip-closed trap
• Mapped on 3D seismic data
• Best estimate (P50) unrisked prospective resource 671 MMbbls gross in PEL 94,

523 MMbbls net to Global with a geological chance of success of 17%

Namibia PEL 94: Marula prospect

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Marula prospect azimuth (edge) attribute on the 3D seismic data Sharp changes in dip interpreted to be minor fault scarps on the seabed at that time, against which the sandstone bodies pinched out Marula Prospect: Upper Cretaceous sandstone with strong (soft) amplitude anomaly ▪ Sandstone pinches

• ut to west & NW,

where amplitudes dim suddenly at pinchout ▪ Amplitudes dim down-dip to east where sands are interpreted to change from oil to water saturated Marula prospect amplitude anomaly on the 3D seismic data

• Upper Cretaceous sandstones mapped on 3D seismic data in a distal pinchout trap

with a strong amplitude anomaly conforming to structure down-dip

• Best estimate (P50) unrisked prospective resource 210 MMbbls gross in PEL 94,

164 MMbbls net to Global, with a chance of success of 18%

Global Petroleum PEL 29 licence, offshore Namibia

• Licence PEL 29 issued in December 2010 comprising Blocks 1910B and 2010A:

after Initial Exploration Period relinquishment, acreage held is now c.5,800 km²

• Global is operator and holds an 85% interest. State oil company, Namcor, and a

local company, Bronze, have carried interests of 10% and 5% respectively

• On 3 December 2018 reached the end of the 1 year extension to the First Renewal

Period and entered the 2 year Second Renewal Exploration Period

• Since award Global has:
• Licensed and interpreted 2,800 km of non-proprietary 2D seismic data in 2011
• Underwritten acquisition of and licensed 2,000 km of non-proprietary 2D

seismic data in 2011/12

• Re-processed 2D seismic data over the licence area
• Acquired and interpreted 834 km of proprietary seismic in 2017

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Namibia PEL 29: Gemsbok prospect

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• Gemsbok is a very large, fault and dip-closed structure
• Oil from proven Aptian source to east and south and possible Barremian source to SW
• Albian carbonates are the main reservoir, but additional reservoirs in Barremian marine

and desert sandstones, as well as Upper Cretaceous pinnacle reef limestones

Namibia PEL 29: Giant Structures and Mid-High Cases Recoverable Prospective Resources

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Gemsbok Prospect Choje Lead Pangolin Lead Lion Prospect Dik Dik Prospect Global Permit Prospect Lead

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50km

Figures from CPR issued in January 2018 and available on the website

• Extremely large structures with significant prospective resources, particularly in the

Gemsbok prospect, which has mid case recoverable prospective resources of 1,091 million barrels in the Albian carbonates reservoir alone (Gemsbok Main)

Namibia PEL 94 & PEL 29: Prospective Resources

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* AGR-TRACS resource report dated January 2018 and the Energy Explorers Limited prospective resources report for PEL 94 dated July 2020

Prospect/Lead Gross Prospective Resources (MMbbls) Net Attributable Prospective Resources (MMbbls) † Geological Chance of Success (%) Risked Net Attributable Prospective Resources (MMbbls) Low Estimate (P90) Best Estimate (P50) High Estimate (P10) Low Estimate (P90) Best Estimate (P50) High Estimate (P10) Best Estimate (P50) Gemsbok Main (PEL 29) 318 1,091 2,581 270 927 2,194 12.3% 114 Gemsbok Aeolian (PEL 29) 66 330 1,296 56 281 1,102 5.4% 15 Gemsbok Marine (PEL 29) 63 323 945 53 275 803 8.8% 24 Lion North (PEL 29) 104 291 743 88 247 631 7.5% 19 Lion South (PEL 29) 290 823 2,105 247 700 1,789 7.5% 53 Dik-Dik (PEL 29) 224 805 1,969 190 685 1,674 5.0% 34 Welwitschia Deep (PEL 94) 162 671 1,863 126 523 1,453 17% 89 Marula (PEL 94) 109 210 337 85 164 263 18% 30 TOTAL 1,336 4,544 11,839 1,115 3,802 9,909

• 378

† Global Net Attributable Prospective Resources calculated using Global’s working interest (85% in PEL 29 and 78% in PEL 94)

PEL 94 & PEL 29: Prospective Resources

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3D seismic data coverage shown by red polygon ▪ Albian carbonate prospects: ▪ Welwitschia Deep in PEL 94 ▪ Gemsbok, Lion & Dik Dik in PEL 29 Seabed cores with gas Marula: Upper Cretaceous sandstone prospect with amplitude anomaly

PEL29 PEL94

Global Petroleum’s prospect and lead inventory in PEL94 and PEL 29

PEL 94

• Large stratigraphic-structural trap at Marula mapped on 3D seismic data with a strong

amplitude anomaly

• Very large tilted fault block at Welwitschia Deep prospect confirmed on 3D seismic data.

Albian carbonate reservoir and mudstone seals proven in nearby wells

• Gas identified in seabed cores

PEL 29

• Very large tilted fault blocks

identified on 2D seismic data at Gemsbok, Lion and Dik–Dik

• prospects. Target Albian

carbonate reservoirs and mudstone seals proven in wells nearby

• Upside in Choje, an Upper

Cretaceous sandstone lead

Namibia Walvis Basin: recent exploration history

• Global signed licence PEL 29 in

2010 early in the last wave of industry activity in Namibia

• HRT proved the regional source

rock was present and generating

• il in the Walvis Basin in 2013

(Murombe and Wingat wells)

• In 2014 Repsol drilled the well

Welwitschia-1: although it failed to find any reservoirs and it didn’t reach the deeper secondary target in the Albian

• 2

wells drilled in late 2018: Tullow’s Cormorant and Chariot’s Prospect S proved reservoirs

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• In the last few years Tullow and ONGC have farmed into PEL 30 and PEL 37 (green outlines)
• In 2018 Exxon Mobil farmed into GALP licence (yellow outline) in the Walvis Basin

Licence PEL 29 / Blocks 1910B & 2010A Licence PEL 94 / Block 2011A Oil recovered to surface in 2014 Chariot’s Prospect S well Tullow’s Cormorant well

• Total drilling the Venus well
• ffshore southern Namibia in

late 2020

• Others reporting multiple wells

in 2021 in the Walvis Basin and

• ther basins offshore Namibia

Future Namibian drilling activity

ITALY

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Global Petroleum Italy

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• Global submitted applications for 4

permits in the southern Adriatic in Q3 2013

• Blocks are contiguous with Cabot

Energy’s blocks to the south and adjacent to the median lines with Albania, Croatia and Montenegro

• Eni and Novatek were awarded

acreage in Montenegro in 2016, with a forecast programme in excess of $100MM. The blocks are only 35km from Global’s acreage

• Multiple play types for oil and gas
• Proven hydrocarbon basin: Aquila field; Giove, Medusa, Falco & Rovesti discoveries
• Appeals were lodged by various interested bodies against the Environmental Decrees granted for the 4

applications in 2016 and 2017. Most of the appeals were rejected with the exception of 1 for which judgment is expected in November 2020 and another, which has been referred to the European Court. All Italian exploration and applications suspended for 18 months pending a government review evaluating areas suitable for oil and gas production

Croatia Montenegro Albania Italy

26 30 Energean Montenegro Licence Awards

Aquila Field Medusa Giove Rovesti Falco

Shell ‘Shpiragu’ Discovery/Appraisal

• 2013. Expanding

presence in country

• Eni/Novatek awarded

Blocks 4, 5, 9 and 10 in 2016

• Forecast work programme

in excess of $100MM

• Seismic survey start

imminent

• Energean

(100%) awarded Blocks 26 and 30 in 2017.

• Total

investment $19MM over 7 years

CORPORATE OVERVIEW

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Global Petroleum Limited: a snapshot

• Listed on London’s AIM: ticker code GBP
• Market capitalisation US$2.8 million (£2.3 million)*
• Current cash of US$1.32 million **
• Experienced management team and Board
• Exploration Licences offshore Namibia
• PEL 29 since December 2010: 2D seismic completed over huge Gemsbok prospect in

2017, CPR completed, farmout campaign undertaken

• PEL 94 since September 2018: another large structural prospect at Welwitschia Deep,

with Marula prospect to the south-east, plus multiple other plays

• Applications in Italy, offshore southern Adriatic: vast majority of judgements now

published – all in Global’s favour – but exploration moratorium

* As of 8th July 2020 at a GBP/USD rate of 1.35 ** As of 31st March 2020 as reported on 22nd April 2020

Summary

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Experienced Team

• Global has operated in Namibia since 2010. Technical team has Namibian experience

going back to 2003 Highly prospective adjacent acreage

• New licence PEL 94 identified as highly prospective, enhancing Global’s adjacent PEL 29
• Global has a 78% Participating Interest as operator
• Plan is to work up existing data, showcasing high potential, and then partner with a

credible deep water operator to acquire 3D seismic data in the eastern part of the licence

• Low cost option to evaluate own acreage, plus assess outcome of nearby activity,

before making expensive commitments Namibia Exposure

• Gives investors low risk / low cost future exposure to wider Namibian exploration,

which has huge upside.

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Board of Directors

Mr Draffin is a chartered accountant with over 17 years' experience in financial reporting, treasury management and corporate advisory services. He currently provides services as a Director, Company Secretary and CFO to ASX listed, OTCQX listed and private companies operating in renewable energy, exploration and mining and the investment sectors. Mr Draffin is a director of EnviroMission Ltd and Gladiator Resources Ltd. He was appointed as a director

• f the Company on 10 June 2016.

Peter Taylor has over 40 years’ experience in the oil and gas industry. He cofounded and was a Director of TM Oil Production which later became Dana Petroleum and was taken over by KNOC for £1.8bn in 2010. He also cofounded Consort Resources, a North Sea gas transportation and production company, and Planet Oil International with interests in Mauritania, Guyana and Uganda, which merged with Hardman Resources in 1998. Mr Taylor was appointed as a Director

• f the Company in October 2001

Peter Taylor Non-Executive Director

Peter Blakey was a founding member and Director of TM Oil Production, which became Dana Petroleum. This company was subsequently purchased by KNOC in October 2010 for £1.8bn. He was also a founding member and a Director of Consort Resources, which became a significant North Sea gas production company, and of Planet Oil which was merged with Hardman Resources in 1998. Mr Blakey was appointed as a Director of the Company in October 2001.

Peter Blakey Non-Executive Director Andrew Draffin, Company Secretary & Non-Executive Director

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Mr Higgins is a Melbourne based lawyer and a principal of Grillo Higgins. He practices in energy and resources law and in corporate and securities law, including mergers and acquisitions, takeovers, capital raisings, project finance, corporate governance and joint ventures. Mr Higgins is a director of public company Escala Partners Limited. He was appointed as a director of the Company in October 2017.

Garrick Higgins, Non-Executive Director

Board of Directors

Peter G Hill Chief Executive John van der Welle Non-Executive Chairman

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Mr Hill has extensive experience in the energy sector as a senior executive with a significant worldwide track record worldwide in high-level M&A and business development roles, primarily in the oil industry. Most recently Mr Hill was the Global Head of Corporate M&A for Statoil ASA, where he was responsible for several large transactions. He was a key member of the team responsible for Statoil’s merger with Norsk Hydro Oil & Gas in December 2006 and led the acquisition of EnCana’s Gulf of Mexico deep water assets in 2005. Prior to agreeing to join Global, Mr Hill was responsible for supervising the execution of the IPO of Statoil’s Energy & Retail division. Previously Mr Hill set up the international business of Waterous & Co in the UK as Managing Director, and before that worked for Enterprise Oil plc for many years, latterly as Head of International New Ventures. Mr Hill started in the energy industry with Total Oil Marine and is a UK qualified Solicitor, having commenced his career with Clifford Chance. He holds an MA in Law from Oxford University. Mr Hill was appointed a Director of Global in September 2011. Mr van der Welle has 30 years oil industry experience, having previously qualified as a Chartered Accountant with Arthur Andersen in 1981. He is also a member of the Association of Corporate Treasurers and the Institute of Taxation. After 11 years at Enterprise Oil where he was Business Development Manager and subsequently Group Treasurer, Mr van der Welle was Finance Director of a number

• f UK listed E&P companies, including Premier Oil in 1999-2005. He was Managing

Director, Head of Oil & Gas, at the Royal Bank of Scotland in 2007-2008, and since 2010 he has been non-executive director of a number of listed and private E&P companies, including current directorships with AIM listed Hurricane Energy plc. Mr van der Welle was appointed a non-executive Chairman of Global in February 2014.