Accessing Canadian Capital Markets. for African Focused Oil & Gas Companies

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1 Accessing Canadian Capital Markets for African Focused Oil & Gas Companies 1

2 Disclaimer This document is for information purposes only and is not an invitation to purchase securities listed on Toronto Stock Exchange or TSX Venture Exchange. TMX Group Inc. and its affiliates do not endorse or recommend any securities referenced in this document. Please seek professional advice to evaluate specific securities. While the information herein is collected and compiled with care, neither TMX Group Inc. nor any of its affiliated companies represents, warrants or guarantees the accuracy or the completeness of the information. You agree not to rely on the information contained herein for any trading, business or financial purpose. This information is provided with the express condition, to which by making use thereof you expressly consent, that no liability shall be incurred by TMX Group Inc. and/or any of its affiliates as a result of any errors or inaccuracies herein or any use or reliance upon this information TSX Inc. All rights reserved. Do not sell or modify without the prior written consent of TSX Inc. 2

3 TMX Group is at the Heart of Canada s Capital Markets Derivatives Issuer services Energy Market Data Cash Trading & Related 3

4 Canada: Strong Fundamentals Economically stable Ranked #1 in Forbes annual review The Best Countries for Business Canada is the fourth largest equity market by float capitalization in the MSCI World Index World s soundest banking system* Lowest debt-to-gdp among G7 Strong equity culture Energy rich 2 nd largest oil reserves in the world * World Economic Forum, September 2010, three years in a row 4

5 TSX and TSXV: Global Leaders 1st in North America by Number of Issuers 2 nd in the World by Number of Issuers 7 th in the World by Market Capitalization 8 th in the World by Equity Capital Raised 5

6 Canadian Public Markets are right-sized for Mid & Small-Cap Issuers Serving all Market Caps A Unique Feeder System 536 graduates +111 M&A* 530 Issuers 2041 Issuers 499 Issuers Issuers 30 * Market Capitalization, December 31, 2011 *From January 1, 2000 December 31,

7 The World Trades on TSX ~40% of daily trading originates from international brokers Toronto Stock Exchange Volume & Transactions ( ) Transactions CAGR 27% Volume CAGR 8% 7

8 Leaders in Global Energy 8

9 Leading Growth Markets for Oil & Gas Companies #1 405 Number of Listed Oil & Gas Issuers in listed oil & gas companies globally % of the world s public oil & gas companies TSX TSXV ASX AIM NYSE NASDAQ LSE NYSE Amex Oslo Bors HKEx As at December 31,

10 Accessing Capital is Key to Fund Growth >$10B Raised by oil and gas companies in 2011 Oil & Gas Equity Capital Raised on TSX and TSXV (C$ Billions) $11.7B $10.4B $10.5B $9.2B $8.2B $11.3B $10.1B 49 New Oil & Gas listings in 2011* $2.6B $5.3B Secondary Offerings $4.1B Private Placements IPOs *As at or for the year ended December 31,

11 Oil & Gas Equity Financing Comparatives OIL & GAS EQUITY CAPITAL RAISED BY EXCHANGE (C$BN) NYSE $14.9B TSX/TSXV $10.1B ASX Hong Kong NASDAQ AIM LSE Oslo NYSE/AMEX $4.1B $3.5B $3.2B $1.9B $0.7B $0.6B $0.4B On TSX / TSXV, $10.1B was raised through 453 Financings On NYSE, $14.1B was raised through 46 financings Source: Exchange Websites / Capital IQ 11

12 Highly Liquid Oil & Gas Market Dollar Value Traded by Oil & Gas Issuers (C$ Billions) Source: Captus Partners, Capital IQ, Amounts are in C$Billions 12

13 Experienced Analyst Community Covers Juniors & Seniors 90 + Oil and Gas Analyst Coverage Oil & Gas Equity Analysts Cover the Sector Global Visibility Source: Capital IQ 13

14 Listed Oil & Gas Companies are Active in Africa 38 Listed oil & gas companies with assets in Africa, including: 14

15 Getting Listed on Toronto Stock Exchange & TSX Venture Exchange 15

16 Multiple Pathways to Listing IPO Initial Public Offering CPC Capital Pool Company SPAC Special Purpose Acquisition Corp. RTO Reverse Takeover/ Reverse Merger QT Qualifying Transaction/ Acquisition Dual or Interlisting 16

17 Capital Pool Company (CPC) Program Has a Strong Track Record Since inception: Over 2283 CPCs were created 83% have completed their QT over 1888 companies Currently: 363 Graduates now trade on TSX 96 of the grads were CPCs 85 QTs in

18 Listing Criteria Specific to Oil & Gas Tailored listing requirements for oil & gas NI report Proved developed reserves / significant contingent resource (TSX)* Unproven property with prospects may be eligible (TSXV) with recommended diversified exploration program** Management / board track record in industry + some public company IFRS financial statements / Sufficient working capital Share distribution requirements Timelines for listing vary significantly depending on deal complexity *See TSX Corporate Finance Manual for complete details *See TSX Venture Exchange Policy 2.1 for complete details 18

19 Contact our Business Development Team to learn more about your Capital Opportunity Energy Cindy Gray A Capital Opportunity ENERGY Mining Orlee Wertheim Technology Robert Peterman Diversified Industries Justin Canivet China Edward Cheung United States Colleen Chambers International Toll Free Europe China North America

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