Transforming New Standard Energy Growth and diversification into exploration and production December 2013
Contents Company overview Company strategy De-risking the Company by diversifying the portfolio A new partner Magnum Hunter Resources Production in the Eagle Ford, US Exploration in the Cooper Basin, South Australia…
Company overview Oil & gas explorer listed on ASX (ASX:NSE) Corporate overview New Standard Energy ASX:NSE Ordinary shares 305.3m Unlisted rights 15.0m Market cap (at 14c per share) 42.7m Cash (net) Sept 30, 2013 37.3m…
A deal to transform New Standard Energy From frontier oil & gas explorer Following shareholder approval and deal closing New Standard will move into production Three Western Australian onshore shale and development. and tight gas…
Transaction summary Why is this a good outcome for New Standard Energy New Standard has an option to acquire Eagle Ford acreage from US Major Magnum Hunter (NYSE: MHR) that it intends to exercise, subject to shareholder approval in…
Diversifying the portfolio Following shareholder approval the transaction will create a balanced portfolio with significant upside and a strong platform for further expansion and growth (particularly Eagle Ford and Cooper) Eagle Ford…
Magnum Hunter Resources Strategic alliance to be formed to deliver expertise and corporate growth Magnum Hunter Resources (NYSE: MHR) is a large and reputable onshore US operator developing multiple shale plays (Marcellus, Utica,…
Eagle Ford asset overview 8
Eagle Ford asset summary Asset will deliver immediate cashflow for New Standard Option to acquire 5,182 net acres in the prime Eagle Ford play in Atascosa County, Texas, US, subject to NSE shareholder approval Includes five…
Eagle Ford asset summary Asset will deliver immediate cashflow for New Standard upon closing New Standard has option to acquire Eagle Ford acreage for US15 million cash and A9.5 million in NSE stock (65.6 million shares) to Magnum…
Eagle Ford Oil Window in Atascosa Prime location for value creation oil & condensate window New Standard acreage (5,182 net acres) under option EOG BHP -Petrohawk Chesapeake Goodrich Cabot Oil Window Chesapeake GOR <…
Eagle Ford acreage Summary Lease Terms Summary lease terms of acreage under option with Magnum Hunter Net Net MHR Potential EF Prospect Leases Royalty Operator Lease Status Acreage Interest Well Locations Interest Primary term…
Eagle Ford acreage Peeler Ranch Additional well locations Atascosa permit area Lease is in secondary term and subject to continuous drilling clauses (1 well each 6 moths) 10 potential additional EF well locations Subject to…
Eagle Ford acreage Alright Prospect Well locations within the Atascosa permit area Lease is in primary term until 2015 Secondary term; retain all mineral rights through continuous drilling (1 well each 6 months) 50+ potential…
Pearsall Untapped Potential Exciting and emerging regional play that remains untapped Significant upside potential in addition to Eagle Ford Pearsall lies between 2,000 2,500 feet deeper than Eagle Ford across Atascosa acreage…
Cooper Basin acreage overview 16
Cooper Basin asset summary Transaction was made through the 100% acquisition of Outback Energy Hunter Pty Ltd (OEH) OEH has executed and settled a farm-in agreement with Ambassador Oil and Gas Ltd (ASX: AQO) to assume 52.5% equity…
Cooper Basin asset overview Three distinct tight gas plays in PEL 570 1.) Shale Gas 2.) Focus on Patchawarra Tight Gas Sands 3.) Coal Seam Gas 18
Cooper Basin asset overview Focus on the Patchawarra Tight sands (Basin Centred Gas) 19
PEL 570 proximity to encouragement Drill stem tests in wells surrounding PEL 570 demonstrate minor gas flows to surface from throughout Patchawarra formation plus signs of overpressure 20
Transaction overview 21
Transaction summary Eagle Ford acreage, Texas PEL 570, Cooper Basin Option to acquire 5,182 net acres in oil window Farm-in agreement with AQO with NSE 5 producing wells and 50-60 additional well locations operating Upon closing,…
Shareholder approval Notice of Meeting to be sent to NSE shareholders The transaction is subject to New Standard shareholder approval at an EGM for both the farm-in agreement in the Cooper Basin and the purchase of the Eagle Ford…
Summary - before and after A transformed New Standard Energy Pre-transaction Post-transaction High risk, high reward, long lead time Diversified portfolio, lower risk, cashflow Three Western Australian onshore shale and In addition…
What lies ahead An active campaign in 2014 post closing Strong cash balance to fund New Standard into the next stage of operations and development Refocussing capital to ensure a strong cash balance is maintained into the future…
For more information contact: Phil Thick, Managing Director +61 8 9481 7477 infonewstandard.com.au
Loading...
