Skip to main content BAML London EP Conference 2010 – Afren Plc Investor Presentation | Shale Experts
Loading...
Pm

BAML London EP Conference 2010 – Afren Plc

Afren Plc · Apr 19, 2010 · 70 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. BAML London EP Conference 2010 – Afren Plc – slide 1
    BofA Merrill Lynch London E&P conference 2010 19 21 April 2010
  2. BAML London EP Conference 2010 – Afren Plc – slide 2
    Agenda Executive summary 4 Current projects 15 Exploration 22 Conclusions 27 Appendix 29 Agenda 3 Investor Presentation www.afren.com
  3. BAML London EP Conference 2010 – Afren Plc – slide 3
    Executive summary 4 Investor Presentation www.afren.com
  4. BAML London EP Conference 2010 – Afren Plc – slide 4
    Strategy 1. Block CI-11 2. Block CI-01 Afren Net Reserves & Resources Africa 3. Lion Gas Plant (1,167 mmboe net) 4. Keta 8 9 5. Okoro 22 11 6. Setu 3 7 7. OPL 310 1 2 4 5 6 8. OPL 907 64 10 12 9. OPL 917 15 27 13 10. Ebok…
  5. BAML London EP Conference 2010 – Afren Plc – slide 5
    Asset base summary Country Acquired WI (%) Operator Local Partner Work Prog. CTE DIVOIRE Cte dIvoire Ghana 1. Block CI-11 Q3 08 47.96% Afren PETROCI 2. Block CI-01 Q3 08 65.00%(1) Afren PETROCI 3 3. Lion Gas Plant Q3 08 100.00%…
  6. BAML London EP Conference 2010 – Afren Plc – slide 6
  7. BAML London EP Conference 2010 – Afren Plc – slide 7
    2009 Highlights 25 kboepd Production 22.1 kboepd (+470%) (2008: 3.9 kboepd) 0 2007 2008 2009 350 US mm Turnover US336 mm (+680%) (2008: US43 mm) 0 2007 2008 2009 350 US mm Operating cashflow US278 mm (+US305 mm) (2008:…
  8. BAML London EP Conference 2010 – Afren Plc – slide 8
    Strengthened balance sheet end 2009 Cash at bank: US321 mm Gross debt: US267 mm (US281 mm excluding accounting adjustments) Net cash: US54 mm US450 mm RBL facility - Up-scaled on higher reserves base - BNP Paribas / Natixis /…
  9. BAML London EP Conference 2010 – Afren Plc – slide 9
    Reserves and production outlook NSAI 2P Reserves and Contingent Resources boepd (average) 113 mmboe 70,000 Okoro 21.6 26.9 CI-11 60,000 Ebok (Phases 1&2 only) 50,000 2P Developed Contingent Resources 40,000 64.2 2P…
  10. BAML London EP Conference 2010 – Afren Plc – slide 10
    High impact exploration Exposure to the west African Transform Margin and Offshore south east Nigeria Upper Cretaceous fairway Afren acreage Upper Cretaceous fairway Executive summary 11 Investor Presentation www.afren.com
  11. BAML London EP Conference 2010 – Afren Plc – slide 11
    2010 drilling schedule and work programme ASSET ACTIVITY J F M A M J J A S O N D Ebok Phase 1 Field development Ebok deep Exploration drilling Okoro Infill drilling Ebok WFB Field development Okwok Appraisal drilling OML…
  12. BAML London EP Conference 2010 – Afren Plc – slide 12
    2010 Capital budget Budget US198 mm capex invested in 2009 2010 (excluding acquisitions) US430 mm 2010 capex budget focused on Ebok US198 mm development in Nigeria 2009 Exploration capex to test Ebok Deep and OML 115 (assume…
  13. BAML London EP Conference 2010 – Afren Plc – slide 13
    First Hydrocarbon Nigeria 4000 3500 Structural reform of the Nigerian petroleum industry Nigeria shut-in production Liquids Production (000 b/d) 3000 2500 Emphasis on development of a financially 2000 2006 Unrest begins…
  14. BAML London EP Conference 2010 – Afren Plc – slide 14
    Current projects 15 Investor Presentation www.afren.com
  15. BAML London EP Conference 2010 – Afren Plc – slide 15
    Okoro development and operating track record Green field development project Q3 2008 reservoir model First oil achieved within two years of entry 40,000 1.0 FOPR 36,000 0.9 Successfully operated 7 development and Observed Daily Rate…
  16. BAML London EP Conference 2010 – Afren Plc – slide 16
    South East Nigeria production hub South North EQUATORIAL GUINEA NIGERIA Undisturbed Compressional Translational Extensional Ebok / Okwok / Alba E. Luba Estrella Zafiro OML 115 Enang Ubit Akam Shoreline Pleistocene Benin Sands…
  17. BAML London EP Conference 2010 – Afren Plc – slide 17
    Production, appraisal and exploration upside Independently certified Ebok reserves and resources (NSAI) 43 267 mmbbls total Ebok 108 47 reserves and resources 16 53 2P Reserves West Flank Qua Iboe North Fault…
  18. BAML London EP Conference 2010 – Afren Plc – slide 18
    Ebok Okwok- OML 115 area resource potential summary Gross mmbbls 600 206 595 550 500 450 400 52 350 300 159 250 200 50 178 150 20 100 108 50 0 Ebok 2P Okwok 2P* Okwok AFR tech Total area 2P Ebok…
  19. BAML London EP Conference 2010 – Afren Plc – slide 19
    Ebok field development FSO Moored within Ebok Central 70m of CWHP Wellhead Platform Ebok West Wellhead Platform 4 Gas line 8 Production line 6 Water injection ESP Power & control cable 4 Test line 8 Produced line 8…
  20. BAML London EP Conference 2010 – Afren Plc – slide 20
    Ebok / Okwok / OML 115 Exploration and appraisal targets Ebok Deep Multiple structural closures identified underlying the existing D series reservoirs Target selected: Biafra Formation channelised sands Prospect identified: 30…
  21. BAML London EP Conference 2010 – Afren Plc – slide 21
    Exploration Investor Presentation
  22. BAML London EP Conference 2010 – Afren Plc – slide 22
    Exploration portfolio NIGERIA - OPL 310 NIGERIA - OPL 907 / 917 Legal Interest (40%) Working Interest (21%) 70% economic interest Held through an 80% Partner (Optimum - 60%) economic interest Potential seismic acquisition Planned 2D…
  23. BAML London EP Conference 2010 – Afren Plc – slide 23
    Nigeria: OPL 310 Gross un-risked resource estimate Prospect 1 upgraded to 521 mmboe by NSAI Several prospects identified all with multiple reservoir targets (Cenomanian, Turonian and Albian sandstone reservoirs) Prospect 4…
  24. BAML London EP Conference 2010 – Afren Plc – slide 24
    Ghana: Keta block Primary target: Upper Cretaceous sandstone reservoirs, in structural and stratigraphic traps - Prospectivity identified at five different stratigraphic intervals - Not a binary outcome dependent on one well Play…
  25. BAML London EP Conference 2010 – Afren Plc – slide 25
    Cte dIvoire: Block CI-01 Three significant discoveries made in 1978 1985, close to existing infrastructure Oil columns in Kudu and Ibex attest to oil prospectivity in Upper Cretaceous post-rift intervals Potential for missed pay…
  26. BAML London EP Conference 2010 – Afren Plc – slide 26
    Conclusions 27 Investor Presentation www.afren.com
  27. BAML London EP Conference 2010 – Afren Plc – slide 27
    Conclusions Strategy Multi country footprint Strategically positioned in sub Saharan Africas largest oil and gas play Organic growth - large scale appraisal and development opportunity set Inorganic growth opportunities (company…
  28. BAML London EP Conference 2010 – Afren Plc – slide 28
    Appendix 29 Investor Presentation www.afren.com
  29. BAML London EP Conference 2010 – Afren Plc – slide 29
    Appendix Nigeria 31 Cte dIvoire 53 Exploration portfolio 57 Management team 63 Reserves update and 2009 results 67 Appendix 30 Investor Presentation www.afren.com
  30. BAML London EP Conference 2010 – Afren Plc – slide 30
    Nigeria 31 Investor Presentation www.afren.com
  31. BAML London EP Conference 2010 – Afren Plc – slide 31
    Ebok-4 well results Formation Tops Depth, ft TVDSS Top D1 2466 ft 175 ft gross hydrocarbon pay D1 OWC 2641 ft Top LD-1A 2738 ft 34 ft gross hydrocarbon pay LD-1A ODT 2772 ft Top LD-1B 2806 ft 67 ft gross hydrocarbon pay…
  32. BAML London EP Conference 2010 – Afren Plc – slide 32
    Ebok-5 well results 12 Hole Section 8 Hole Section Formation Tops Depth, Formation Tops Depth, ft TVDSS ft TVDSS Base Benin 2260 ft Top D1 2338 ft Top LD-1F 3311 ft 13 ft gross oil pay 182 ft gross oil pay LD-1F ODT 3324 ft…
  33. BAML London EP Conference 2010 – Afren Plc – slide 33
    Ebok-6 well results Formation Tops Depth, ft TVDSS LD-1A Top D1 2909 ft 25 ft gross interval (oil bearing) ODT established MDT indicates communication Top LD-1A 3256 ft with E-4 25 ft gross hydrocarbon pay LD-1A ODT 3281 ft…
  34. BAML London EP Conference 2010 – Afren Plc – slide 34
    Phased Ebok development Phased approach to field development - Simultaneous development / appraisal / exploration Allows for optimal development sequencing in response to drilling results - Dynamic project - Accelerate development…
  35. BAML London EP Conference 2010 – Afren Plc – slide 35
    Ebok development drilling Ebok-2 Ebok-6 Ebok-3 Ebok-4 Phase 1 wells Ebok-5 Ebok-1 Phase 2 wells D2 south lobe appraisal (Ebok-6 well completed) Appendix 36 Investor Presentation www.afren.com
  36. BAML London EP Conference 2010 – Afren Plc – slide 36
    Ebok wellhead support structure (WSS) Installation completed March 2010 on central field location 12 well slots Appendix 37 Investor Presentation www.afren.com
  37. BAML London EP Conference 2010 – Afren Plc – slide 37
    Mobile Offshore Processing Unit (MOPU) secured Acquired from Spartan Offshore Title transferred to Mercator upon purchase Refurbishment of hull, legs and mat underway to full ABS requirements Will be leased back to Afren in…
  38. BAML London EP Conference 2010 – Afren Plc – slide 38
    Ebok FSO Prem Prachi Contracted vessel (Prem Prachi) inspected by LOC in Sept 09 Initial 7 year lease term with option to extend Storage capacity: 1.2 mmbbls Vessel to be spread moored at location DPR approved fiscal metering…
  39. BAML London EP Conference 2010 – Afren Plc – slide 39
    Additional potential identified at Ebok North Amplitude at the D1 reservoir level Amplitude at the LD1A reservoir level Significant additional potential in northern Ebok area has been identified Appraisal wells drilled to date are…
  40. BAML London EP Conference 2010 – Afren Plc – slide 40
    3D seismic reservoir continuity through to Okwok Ebok-1 Ebok-2 Mfon-1 Okwok-1 Okwok-2 500 1000 1500 2000 Appendix 41 Investor Presentation www.afren.com
  41. BAML London EP Conference 2010 – Afren Plc – slide 41
    Ebok & Okwok - well developed regional sub-surface understanding Ebok 1 Ebok 2 Ebok 5 Ebok 4 Okwok 1 Okwok 8A Okwok 2 1179m 789m 8892m 2935m 1987m Ebok Okwok 3 3 3 1 3 Base D1 D2 Base 2 Appendix 42 Investor…
  42. BAML London EP Conference 2010 – Afren Plc – slide 42
    Ebok & Okwok strong synergies to exploit Work undertaken at Ebok has provided an insight into the broader area and its hydrocarbon potential Enabled Afren to recognise significant potential at Okwok - Enhanced understanding of…
  43. BAML London EP Conference 2010 – Afren Plc – slide 43
    Okwok work programme & upside Wells - Exploration OML 115 Appraisal 2km Ebok Okwok Block 2 Block 1 Block 3 Source: Addax Petroleum One firm well in Q3 2010 to establish minimum economic field size and define…
  44. BAML London EP Conference 2010 – Afren Plc – slide 44
    OML 115 - perspective view from south east Enhanced subsurface understanding of broader area applied to OML 115 Ebok and Okwok fields both extend into OML 115 Attractive targets at deeper Qua Iboe levels have also been…
  45. BAML London EP Conference 2010 – Afren Plc – slide 45
    Okoro Setu development FPSO moored 800m south east of platform for crude processing and storage Okoro Wellhead platform 3 Phase Production Flowline 12km offshore, Water depth 3 Phase of 46 ft Test Flowline Export First Oil…
  46. BAML London EP Conference 2010 – Afren Plc – slide 46
    Okoro better reservoir performance and enhanced recovery West East Production continues at 0 500 m gross rates between 18,000 to 19,000 bopd Base Qua Iboe - 44 cargos exported at end 2009 - Offtake process optimised with exports…
  47. BAML London EP Conference 2010 – Afren Plc – slide 47
    Okoro Setu field development plan Water depth of 46 ft FPSO moored 800m south east of platform for crude processing and storage 7 high angle and horizontal development wells Armada Perkassa 360,000 barrels storage capacity 27,000…
  48. BAML London EP Conference 2010 – Afren Plc – slide 48
    Okoro Setu fast track development Q1 06 Q2 06 Q3 06 Q4 06 Q1 07 Q2 07 Q3 07 Q4 07 Q1 08 Q2 08 Q3 08 Q4 08 Agreement signed with partner AMNI Rig secured for development drilling Appraisal drilling RBL facility / certified…
  49. BAML London EP Conference 2010 – Afren Plc – slide 49
    Okoro Setu community development Afrens Community Development Vision To contribute towards making a significant and lasting impact on wealth creation and sustainable livelihood in the area of our operations Okoro Community Development…
  50. BAML London EP Conference 2010 – Afren Plc – slide 50
    Community development - update Scholarship programme for students in the Eastern Obolo community - 64 students attending tertiary, post-graduate and specialised studies Womens economic empowerment project in the Effiat community -…
  51. BAML London EP Conference 2010 – Afren Plc – slide 51
    2010 firm drilling programme Ebok Phase 1 and 2 (underway) Okwok 12 production wells & Objective to define field 1 water injection wells size and development Onstream October 2010 requirements (15,000 bopd) D2 reservoir target 2010…
  52. BAML London EP Conference 2010 – Afren Plc – slide 52
    Cte dIvoire 53 Investor Presentation www.afren.com
  53. BAML London EP Conference 2010 – Afren Plc – slide 53
    Production, development and exploration upside Block CI-11 WI: 47.9592% (Joint Operator with Petroci) 13km offshore: 246 ft water depth Lion & Panthre producing fields 30 mmcfd and 1,230 bopd current gross production (6,359…
  54. BAML London EP Conference 2010 – Afren Plc – slide 54
    Block CI-01 14 wells (exploration and appraisal) drilled by Esso and Agip 3 signficant discoveries: Kudu (1964), Eland (1978) and Ibex (1985) 37.3 mmbboe gross independently certified contingent resources (NSAI) Potential…
  55. BAML London EP Conference 2010 – Afren Plc – slide 55
    Lion gas plant Afren: 100% (Operated) Capacity to process 75 mmcf/d Third party gas recieved from Blocks CI-26 and CI-40 (Espoir and Baobab) Butane and Gasoline produced - Gasoline spiked into Lion crude stream and sold on the…
  56. BAML London EP Conference 2010 – Afren Plc – slide 56
    Exploration Portfolio 57 Investor Presentation www.afren.com
  57. BAML London EP Conference 2010 – Afren Plc – slide 57
    Exploration: focus on West African Transform Margin and Cretaceous plays OPL 310 Adjacent to OML 113 Upper Cretaceous multiple prospects in same Cenonian, Turonian and Albian sands West African CI-01: Cretaceous depositional…
  58. BAML London EP Conference 2010 – Afren Plc – slide 58
    Nigeria: OPL 310 Licence details Partners: % Area km2: 1,850 Afren (Op.) 40 Expiry: February 2019 Optimum 60 Licence type: PSC Cretaceous shelfal to deep water clastics in structural and stratigraphic traps Main plays: over…
  59. BAML London EP Conference 2010 – Afren Plc – slide 59
    OPL 310: Arbitrary NE-SW Line Across Aptian High Block Time Section 0.500 1.000 South of Aje Field 1.500 2.000 2.500 3.000 3.500 4.000 Aptian unconformity 4.500 5.000 5.500 Line 3 Appendix 60 Investor…
  60. BAML London EP Conference 2010 – Afren Plc – slide 60
    OPL 310: Key Prospects OPL 310 contains several identified prospects in the same Cenomian, Turonian and Albian sandstone reservoirs and similar trapping configurations in four-way-dip closed structures over basement highs. The Shiny…
  61. BAML London EP Conference 2010 – Afren Plc – slide 61
    Ghana: Keta block Licence details Partners: % Area km2: 5,500 Afren (Op.) 68 Expiry: 31st December 2010 Mitsui 20 Licence type: Tax / royalty GNPC 10 Main plays: Cretaceous deepwater clastics in Gulf Atlantic Energy 2 combined…
  62. BAML London EP Conference 2010 – Afren Plc – slide 62
    Management Team 63 Investor Presentation www.afren.com www.afren.com
  63. BAML London EP Conference 2010 – Afren Plc – slide 63
    Board: extensive African / industry experience Egbert Imomoh - Chairman Ennio Sganzerla Shahid Ullah Osman Constantine Peter Bingham John St. John Toby Hayward Non exec COO Shahenshah Ogunbiyi Non exec Non exec Non exec Chief…
  64. BAML London EP Conference 2010 – Afren Plc – slide 64
    Management team Senior Management - London Jack McFarland Iain Wright Galib Virani Darra Comyn Faiz Imam Operations Director Technical Director Head of Acquisitions & IR Group Finance Director Director Afren Nigeria BRASS…
  65. BAML London EP Conference 2010 – Afren Plc – slide 65
    Technical and operational resources Egbert Imomoh Ennio Sganzerla Shahid Ullah Brian Ward Henry Groppe Prof. Ekwere Peters Chairman Non exec COO BRASS Exploration Unlimited Petroleum Engineer Petroleum & Petroleum Engineer 20…
  66. BAML London EP Conference 2010 – Afren Plc – slide 66
    Reserves update and 2009 results 67 Investor Presentation www.afren.com
  67. BAML London EP Conference 2010 – Afren Plc – slide 67
    Reserves update (NSAI) mmbbls Okoro Gross 2P (31/12/09) mmboe CI-11 Gross 2P (31/12/09) 30.0 12.0 25.0 10.0 24.8 0.5 9.4 9.7 1.1 9.1 20.0 8.0 18.9 3.4 15.0 6.0 10.0 4.0 5.0 2.0 0.0 0.0 30/06/09 Prod Revisions 31/12/09…
  68. BAML London EP Conference 2010 – Afren Plc – slide 68
    Net income Profit and loss account Profit and loss account statutory normalised US mm 2009 2008 2009 2008 Gross Profit / (loss) 105.8 (28.0) 105.8 (28.0) Cost control Administrative expenses (13.9) (21.7) (13.8) (21.7) initiatives…
  69. BAML London EP Conference 2010 – Afren Plc – slide 69
    Sources and uses of funds USm Cash sources 600 313 - Operating Cash inflow US278 mm (2008 US27 mm outflow) 500 - Net Equity Proceeds US313 mm - Investment Revenue US1 mm 400 (2008 US5 mm) 148 Cash uses 300 207 - Investment…
  70. BAML London EP Conference 2010 – Afren Plc – slide 70
    2010 financial strategy and outlook Continue with strict cost control and discipline - Drive costs down at every opportunity - Okoro opex - Ebok development capex and opex Appropriate budget set at US430 mm - Production growth -…

From the store

Browse maps, data & reports in the Shale Experts store