Exploring the Eastern Coastline of South Africa. presented by Mike Doherty Executive Chairman Impact Oil & Gas Limited

Transcription

1 Exploring the Eastern Coastline of South Africa presented by Mike Doherty Executive Chairman Impact Oil & Gas Limited Geological Society, 9 th January 2013

2 Important Notice The content of this presentation has not been approved by an authorised person within the meaning of the Financial Services and Markets Act 2000 ( FSMA ). Reliance on the information contained in this presentation for the purposes of engaging in any investment activity may expose the investor to a significant risk of losing all of the property or assets invested. Any person who is in any doubt about the investment to which this presentation relates should consult a person duly authorised for the purposes of FSMA who specialises in the acquisition of shares and other securities. This confidential slide presentation is being presented and circulated by Impact Oil & Gas a Limited ( Company ) to a limited number of selected recipients on a confidential basis to assist them in deciding whether to proceed with further investigation of, and to determine whether to invest in shares in, a limited company. 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3 Overview area of operations Approximately 76,000 km 2 equivalent to 382 North Sea Blocks

4 How it started 4 th Offshore Licencing Round 2009 Shell Applied Impact Applied Impact applied for 4 blocks Offshore Durban

5 The Tugela Cone a huge pile of sediment Google Earth Map Google Earth map showed large sedimentary depositional area Pockmarks evident on image Pockmarks Wells drilled on the shelf had oil shows Previous wells - some with oil shows

6 Oil Seeps Fugro seep map showed approximately 50 seeps in the area One major oil seep is visible on the sea surface Fugro Seep Map

7 Available Seismic Data About 5,000 kms of reprocessed older seismic data was available Most of the data on the shelf 4 th Offshore Licensing Round Lines that extended offshore were mainly of interest

8 Hydrocarbon Evidence Pockmarks

9 Hydrocarbon Evidence Chemotrophic Mounds

10 Hydrocarbon Evidence Possible gas chimneys

11 Leads and Prospects Basin floor fan? Dolphin Prospect

12 Leads and Prospects Jubilee Field Reserves estimate 600 MMBls 1.8BnBls. Dolphin Prospect Tugela Area

13 Leads and Prospects Basin floor fan?

14 Leads and Prospects Structural closure

15 Leads and Prospects Structural/Stratigraphic traps

16 Leads and Prospects Mounds

17 Leads and Prospects Slope pinchout

18 South Africa Falkland Islands Sierra Leone United Kingdom Namibia Angola United States Cote d'ivoire Guyana Canada Congo Gabon Norway Egypt Nigeria Indonesia Libya Iraq Share of NPV per discovered boe Fiscal Terms Stable and Attractive 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Government Take Capex Opex Free Cash Flow Avg South Africa Source: Rystad Energy, FirstEnergy Capital - February 2011 Assumptions: Various countries selected - weighted average of all producing, under development and discovered fields Fiscal regimes according to contractual framework for oil, condensate/ngl and natural gas. Calculations according to estimated revenues over 2010 to 2025

19 Exploration Blocks Awarded

20 South African Licencing System TIME TCP 1 year Exploration Permit 3 years Exploration Permit Extension Exploration Permit Extension Exploration Permit Extension 2 years 2 years 2 years Environmental Management Programmes ( EMP )

21 Licence Application Process 120 days Complete application and lodge with PASA PASA considers application Accept Notify and consult with industry and affected parties Prepare EMP 120 days PASA reviews EMP in consultation with State Departments Approve EMP Reject EMP PASA sends recommendation of approval or rejection to Minister Approve Exploration Right Reject Exploration Right APPEAL PROCESS

22 Surveying Restrictions Environmental Window Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

23 Environmental Research Impact Assessment of Nesting Loggerhead (Caretta caretta Linnaeus) & Leatherback (Dermochelys coriacea Linnaeus) Turtles off the East Coast of South Africa PRELIMINARY RESULTS FOR A COMBINED ASSESSMENT OF ALL SEVEN SOUTHERN HEMISPHERE HUMPBACK WHALE BREEDING STOCKS

24 Finally Underway Planned seismic programme 5,000 kms Licence signed on 5 th May 2012 Acquisition started on 25 th May using Seabird

25 However. 1,900 kms recorded Due, primarily, to bad weather only 1,900 kms were recorded

26 2011 Results Dolphin Prospect

27 2011 Results Tiger prospect AVO Anomaly?

28 2011 Results 2 nd Roll-over feature

29 2011 Results Northern mid-slope turbidite

30 2011 Results Same feature 5 kms away (Leviathan)

31 2011 Results Cross line (strike)

32 2012 Planned seismic programme PGS M/V Sanco Spirit Geostreamer

33 Agulhas Current Agulhas current caused severe feathering on the dip lines

34 Modified Programme Solution survey re-orientated to about 45 degrees to the current direction 34

35 2012 Results - Classic Basin Architecture K/T Boundary Near Base Cretaceous Jurassic Postrift Synrift Prerift

36 Cross-section Schematic Based on s schematic produced by the Petroleum Agency in 2003

37 Mid-Slope Mound

38 Another Example

39 And Others

40 More Detail on Leviathan

41 Basin Floor Mounds

42 Hydrocarbon Indications?

43 Transkei and Algoa Area Transkei and Algoa 46,027 Km 2

44 Transform (conjugate) Margins Zaedyus Romanche Jubilee Sealion Transkei??

45 GETECH Reconstruction Berriasian Early Cretaceous palaeogeography Tugela River System DSDP wells Late Jurassic TOC`s up to 6% up to 200m of organic shales

46 Transkei Dip Line Deep-water fan system? exhibiting striking AVO anomalies on 1970 s vintage seismic data Possible Jurassic tilted fault blocks (source kitchen?)

47 CDP Gathers Stack Gathers

48 Another dip line in the Region Deep-water fan system? appears very similar to the Mahogany Field

49 Mahogany- offshore Ghana, West Africa From Anadarko Presentation

50 West Bredasdorp Exploration Right Application 14,378 sq. kms. in shallow water East of the Sable oilfield that has Produced 40MMbls to date Currently reprocessing older seismic data

51 West Bredasdorp Sable Oil field. 40+ Mmbls. Peak prod. 35,000 bopd EM Field 600 bcf Lower Cretaceous oil shows during drilling Gas seeps as seen on seismic Oryx peak production 10,500 bopd Oribi - peak production 20,000bopd Non-explored depocentre defined on gravity mapping

52 New Joint Venture IRVING, Texas--(BUSINESS WIRE)--Exxon Mobil Corporation (NYSE:XOM) announced today that its affiliate, ExxonMobil Exploration and Production South Africa Limited, will soon begin exploration activities offshore South Africa. The ExxonMobil affiliate signed an agreement with Impact Africa Limited (Impact), a subsidiary of Impact Oil & Gas Limited, to acquire a 75 percent participating interest in the Tugela South Exploration Right and will become operator. Under the agreement, the affiliate also has the right to acquire 75 percent participating interests in future exploration rights in three offshore areas covered by technical cooperation permits currently held by Impact. These exploration rights and the affiliate s participating interest in them are subject to South African government approval.

53 High Resolution Airborne Gravity Radiometry

54 Multi-beam Bathymetry and Piston Coring

55 2D and 3D Seismic

56 Drilling??????

57 Likely Big Oil Drilling Activity