Drillsearch Energy Takeover offer for Acer Energy 4 October 2012
2 Agenda 1. Overview of the Offer 2. Why Acer shareholders should accept the offer 3. Transaction rationale 4. Combined group 5. Funding 6. Summary Appendix
3 1. Overview of the Offer
4 Offer overview Transaction Drillsearch today announced an all cash offer to acquire Acer Energy Limited (ASX:ACN) (Acer) overview 25.5 cash per share, implying a value for Acer of 118 million Terms The Offer Price represents a 53%…
5 2. Why Acer shareholders should accept the offer
6 Why Acer shareholders should accept the offer The Offer represents a significant premium to recent trading prices of Acer Shares 53% premium to the three-month VWAP(1) 31% premium to Acers last closing price Acers shares have not…
7 3. Transaction rationale
8 Drillsearchs strategy NEAR TERM Rapidly develop new oil discoveries and accelerate 3D seismic-based exploration in prospect-rich Western Flank and emerging Inland-Cook Oil Fairways MID TERM Expand development and production…
9 Acer an acquisition that fits NEAR TERM Western Flank Oil PEL 91 Western Corridor PEL 182 Inland-Cook Oil Patchawarra PEL 100 Patchawarra PEL 101 Wet Gas MID TERM Ginko, Crocus Western Cooper Wet Gas Pilots GMI Ridge…
10 Transaction rationale Post acquisition, the combined group will hold the largest discovered, uncommitted Enhanced conventional gas resource in the Cooper Basin outside of the Cooper Basin Joint Venture scale partners Combined…
11 4. Combined group
12 The combined footprint in the Cooper Basin UNCONVENTIONAL WET GAS Short, medium and long-term growth opportunities
13 A Robust Combined Reserve & Resource Base 45.0 Estimated Combined Cooper Basin Reserves and Resources 40.0 Gas 35.0 Acquisition contributes 15.7 NGL MMBOE 2C Contingent Resources 11.2 Oil 30.0 3.4 25.0 mmboe…
14 Forward Work Program for Acer Subject to Drillsearch undertaking a review of Acer's operations and assessing Acer's assets on an asset-by-asset basis following the close of the Offer, Drillsearch presently intends to conduct the…
15 Wet Gas - An Emerging Cash Flow Engine In Drillsearchs hands, Acers assets can contribute to this growth ACN BPT DLS
16 5. Funding
How is the proposed acquisition funded 17 Sources of funds (Am) Uses of funds (Am) DLS cash requirement(1) 25 Share Purchase 25.5 cps 118.4 CBA debt facility 100 Transaction costs 6.6 TOTAL 125 TOTAL 125 With emerging…
Western Flank A Near-Term Production Engine 18 Western Flank Oil Production Estimates 12000 10000 8000 BOPD 6000 4000 2000 0 Sept Q 2012 Dec Q 2012 Mar Q 2013 June Q 2013 Sept Q 2013 Dec Q 2013 Oper PEL…
19 6. Summary
20 Summary The Offer provides Acer shareholders with certainty of value and a significant offer premium Compelling transaction rationale potential strong growth contributor to Drillsearchs Wet Gas Business Drillsearch has acquired…
21 Appendix
22 Profile of Acer Overview Permit Summary Acer is an ASX-listed energy company (ASX: ACN) with exploration and production assets primarily located in the onshore Cooper Eromanga Basin, the onshore Darling Basin and offshore…
23 Comparing Wet Gas to Western Flank Oil Western Flank Oil Western Cooper Wet Gas Gross 2P Reserves 7.3 mmbbls Gross 2P Reserves 13.7 mmboe % Liquids 100% Gross 2P Liquids 5.4 mmboe Production current 800 bopd Production* current…
Loading...
