Niko Resources Ltd. Annual General Meeting Presentation September 2014
Scope of operations September 2013 Production Development Exploration 2
Since our last meeting, we changed our strategic direction 1 Focus on core Preserve, protect and maximize potential and assets production of assets in India and Bangladesh 2 Reduce Reduce or eliminate exposure to drilling…
In December 2013, we began restoring stability Settlement agreement with New credit facility Diamond Offshore US340 million term loan Settled rig commitments for US facilities + US30 million equity 80 million issue US25…
In June, we closed on the sale of Block 5(c) in Trinidad Gross proceeds of US62 million -Provided US15 million for Diamond prepayment -Provided US20 Trinidad million for term loan prepayment -Added US26 million to our cash…
In July, we exited Madagascar while preserving upside Transferred remaining interest to existing partner -Eliminated exposure to exploration Madagascar commitments -Retained potential future success payments 6
Scope of operations September 2014 Production Development Exploration Farmout, modify commitments or sell 7
Financial Position (as of June 30, 2014) US300 million outstanding on term loan facilities, due Sep 2017 - US20 million Facility D not drawn in Jan 2014 - US20 million Facility E prepaid in Jun 2014 - Option to prepay after Dec…
Financial Position (as of June 30, 2014) Substantial cash available for US156 million of available cash funding - US106 million of unrestricted cash investment - US50 million of restricted cash in core assets 9
Going forward, we will continue to reduce exposure and stabilize Actively working on farmouts and/or sales of remaining blocks Also working to Indonesia reschedule / reduce and exploration Trinidad commitments Working with…
Focus on core assets India D6 overview Activity Area D1D3 MA (D26) Development and production R Series Satellites/Other Satellites Exploration MJ discovery 11
Focus on core assets India -- D1 D3 Field Reservoir better understood Five years of production history 2P estimated ultimate recoverable reserves unchanged from prior two years Well work-overs, sidetracks and/or re-drills to…
Focus on core assets India -- MA Field Well operations MA-8 drilled, MA-6 sidetrack completed on onstream MA-3H sidetrack in late 2014 FPSO Reconfigure injection compressors for export service 13
Focus on core assets India -- R Complex & Satellite Fields R Complex Existing and new wells tied back to existing control and riser platform (CRP) Satellites Wells tied back to D1D3 subsea manifolds Final investment…
Focus on core assets India -- MJ Block Significant liquids-rich gas discovery Mesozoic sandstone reservoir geologically similar to MA Located 2,000 meters below the producing D1-D3 field and infrastructure Discovery well flowed 31…
Focus on core assets India NEC-25 Block Development wells Offshore processing platform Flowlines / pipelines to shore Final investment decisions waiting on favorable resolution of gas price 16
Focus on core assets Bangladesh Block 9 Bangora Field Production levels steady Compression and plant upgrade nearly complete Potential to increase reserves and productivity with additional drilling 17
Focus on core assets India gas pricing policy Previous government approved increase from 4.20/mmbtu to 8.40/mmbtu, with implementation to occur Apr 2014 In Mar 2014, election commission deferred implementation of new gas pricing…
Conclusion 1 Focus on core Preserve, protect and maximize potential and assets production of assets in India and Bangladesh 2 Reduce Reduce or eliminate exposure to drilling commitments exposure Preserve and create upside…
Corporate information Management team Board of Directors Corporate Information Jake Brace Directors: KPMG President Auditors Kevin Clarke William Hornaday Computershare Jim Cummings Chief Operating Officer Transfer Agent, Note…
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