Company Presentation February 2011
Oil & Gas Exploration, Production and
Monetisation in East Africa
Disclaimer
1.
Risk Factors
2.
Wentworth Resources – in brief
3.
Focus on East Africa
4.
Board of Directors
5.
Management Team
6.
E&P Concessions & Interests Overview
7.
Tanzania
8.
Mozambique
9.
Tanzania Mid & Downstream Operations
10.
Long Term Gas Monetisation Strategy
11.
Milestones & Indicative Timeline
12.
Top 20 Shareholders
13.
Contacts & Details
14.
Appendix – current unaudited balance sheet & income statement
15.
3
4 - 5
6
7
8
9
10
11 - 12
13 - 14
15
16
17
18
19
20 - 22
Page
Contents
The information set out in this presentation (the “Presentation”) has been produced by Wentworth Resources Limited (the “Company” or “Wentworth”) as of February 10, 2011 and is being made available to recipients for information purposes only. It does not constitute, nor is it intended to be an offer to sell, or an invitation to subscribe for, or purchase, any securities in the Company. The information set out in this Presentation has not been independently verified and may be subject to updating, completion, revision and amendment. The Presentation does not purport to summarise all the conditions, risks and other attributes of an investment in the Company.
The Presentation and its contents are strictly confidential and may not be reproduced or redistributed, in whole or in part, to any other person. By receiving this Presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the Company’s business. The distribution of the Presentation may in certain jurisdictions be restricted by law. Persons into whose possession the Presentation may come are required by the Company to inform themselves about and to comply with all applicable laws and regulations in force in any jurisdiction in or from which they invest or receive or possess the Presentation and must obtain any consent, approval or permission required under the laws and regulations in force in such jurisdiction, and the Company shall not have any responsibility or liability for these obligations. No representation or warranty (express or implied) is made as to, and no reliance should be placed on, any information, including projections, estimates, targets and opinions, contained herein, and no liability whatsoever is accepted as to any errors, omissions or misstatements contained herein, and, accordingly, none of Wentworth or any of its directors, officers or employees accepts any responsibility for the information, statements, matters, facts or opinions stated herein, or any liability whatsoever arising directly or indirectly from the use of or any act or omission undertaken in reliance on the Presentation.
Certain of the information contained herein may include forward-looking statements relating to the business, financial performance and results of the Company and/or the industry in which it operates. Forward-looking statements concern future circumstances and results and other statements that are not historical facts, sometimes identified by the words “believes”, expects”, “predicts”, “intends”, “projects”, “plans”, “estimates”, “aims”, “foresees”, “anticipates”, “targets”, “may”, “will”, “should” and similar expressions. The forward-looking statements contained in the Presentation, including assumptions, opinions and views of the Company or cited from third party sources are solely opinions and forecasts which are subject to risks, uncertainties and other factors that may cause actual events to differ materially from any anticipated development. The
forward-looking statements in this Presentation are based on certain assumptions including but not limited to expectations and assumptions concerning prevailing and future commodity prices and exchange rates, applicable royalty and tax rates, future well production rates, the performance of existing and future wells, the sufficiency of budged capital expenditures, the availability and cost of labour, services and equipment, adequate weather and environmental conditions and ability to successfully construct or expand facilities. None of the Company or any of its subsidiaries or any directors, officers or employees thereof provide any assurance that the assumptions underlying such forward-looking statements are free from errors nor does any of them accept any responsibility for the future accuracy of the opinions expressed in the Presentation or the actual occurrence of the forecasted developments. Neither the Company nor its directors or officers assumes any obligation to update any forward-looking statements or to conform these forward-forward-looking statements to the Company’s actual results.
AN INVESTMENT IN THE COMPANY INVOLVES RISK, AND SEVERAL FACTORS COULD CAUSE THE ACTUAL RESULTS, PERFORMANCE OR ACHIEVEMENTS OF THE COMPANY TO BE MATERIALLY DIFFERENT FROM ANY FUTURE RESULTS, PERFORMANCE OR ACHIEVEMENTS THAT MAY BE EXPRESSED OR IMPLIED BY STATEMENTS AND INFORMATION IN THIS PRESENTATION. A NON-EXHAUSTIVE SUMMARY LIST OF RISK FACTORS IS INCLUDED ON THE NEXT SLIDE, ENTITLED “RISK FACTORS”. SHOULD ONE OR MORE OF THESE RISKS OR UNCERTAINTIES MATERIALISE, OR SHOULD UNDERLYING ASSUMPTIONS ON WHICH THIS PRESENTATION IS BASED PROVE INCORRECT, ACTUAL RESULTS MAY VARY MATERIALLY FROM THOSE DESCRIBED IN THIS PRESENTATION, AND INVESTORS IN THE COMPANY MUST BE PREPARED TO LOSE ALL OR PARTS OF THEIR INVESTMENTS. THE COMPANY DOES NOT INTEND, AND DOES NOT ASSUME ANY OBLIGATION, TO UPDATE OR CORRECT THE INFORMATION INCLUDED IN THE PRESENTATION.
Readers are cautioned that the list of assumptions and risks identified is not exhaustive. Additional information on these and other factors that could affect the operations or financial results of Wentworth may be included in Wentworth’s corporate filings which are available on its website at www. wentworthresources.com. This Presentation and the information contained herein are not an offer of securities for sale in the United States and are not for publication or distribution to U.S. Persons (within the meaning of Regulation S under the U.S. Securities Act of 1933, as amended (the “Securities Act”)). This document is being distributed to, and is directed only at, persons in member states of the European Economic Area (“EEA”) who are “professional investors” within the meaning of part I and II of Annex II of the MIFID directive (directive 2004/39/ec) (“professional investors”). Any person in the EEA who receives this document will be deemed to have represented and agreed that it is a professional investor. Any such
Disclaimer
recipient will also be deemed to have represented and agreed that it has not received this document on behalf of persons in the EEA other than professional investors or persons in the united kingdom and other member states (where equivalent legislation exists) for whom the investor has authority to make decisions on a wholly discretionary basis. The Company and its affiliates and others will rely upon the truth and accuracy of the foregoing representations and agreements. Any person in the EEA who is not a professional investor should not act or rely on this document or any of its contents. With respect to the United Kingdom, the information set out in this Presentation has not been written or approved by an authorised person (as defined in the United Kingdom Financial Services and Markets Act 2000). It is considered by the Company that the communication of the Presentation by it will be exempt from the financial promotion restriction (as defined in Section 21(1) of the Financial Services and Markets Act 2000, as amended) pursuant to Article 69 of the Financial Services and Markets Act 2000 (Financial Promotions) Order 2005 (the “Order”), as the Company’s shares are listed for trading on the Oslo Stock Exchange. Nevertheless, it is the Company’s current intention to only make the Presentation available to persons in the United Kingdom (i) who have professional experience in matters relating to investments who fall within the definition of “Investment Professionals” as defined in Article 19(5) of the Order; or (ii) who or which fall within Article 49(2)(a) of the Order; or (iii) whom it may otherwise be lawfully communicated (all such persons together being referred to as “Relevant Persons”). Any investment or investment activity to which this document relates is only available in the United Kingdom to Relevant Persons; and will be engaged only with such persons within the United Kingdom. Persons who are not (within the United Kingdom) Relevant Persons should not in any circumstances rely on this Presentation. The contents of the Presentation are not to be construed as legal, business, investment or tax advice. Each recipient should consult with its own legal, business, investment and tax adviser as to legal business, investment and tax advice. By receiving the Presentation you acknowledge that you will be solely responsible for your own assessment of the market and the market position of the Company and that you will conduct your own analysis and be solely responsible for forming your own view of the potential future performance of the Company’s business.
The content of this Presentation is not to be construed as legal, business, investment or tax advice. Each recipient should consult with its own professional advisors for any such matters and advice. The information contained in this Presentation does not constitute or form part of, and should not be construed as, an offer or invitation to subscribe for or purchase the securities discussed herein in any jurisdiction. This Presentation is subject to Norwegian law, and any dispute arising in respect of this Presentation is subject to the exclusive jurisdiction of the Norwegian courts.
Risk factors
A number of risk factors may have a material adverse effect on the Group and the value of the Shares. Below is a brief summary of the risk factors. Please note that the risks described are not the only risks that may affect the Group or the value of the Shares. Additional risks not presently known to the Group or which the Group currently deems immaterial may also have such material adverse effect. There can be no assurance that the risk management and internal control procedures implemented by the Group are sufficient to manage all relevant risks. These risk factors include, but are not limited to:
Risks relating to the Group and its Operations
The marketability of oil and natural gas acquired or discovered in the countries in which the •
Company operates will be affected by numerous factors beyond the control of the Company. Both oil and gas prices are unstable and are subject to fluctuation. Any material decline •
in prices could result in a material reduction of the Company’s net production revenue and overall value.
The energy market, in all countries in which the Company operates, is highly competitive •
in all its phases. The competition may have a material adverse effect on the Company’s profitability, business, financial condition, results of operations, liquidity and prospects. An investment in Wentworth should be considered speculative due to its current stage of •
development and the nature of the Company’s involvement in the exploration for, and the acquisition, development and production of, oil and natural gas in foreign countries. International operations are subject to political, economic and other uncertainties, which •
may have a material adverse effect on the Company’s profitability, business, financial condition results of operations, liquidity and prospects.
The assets in which the Company has or will have an interest are subject to contracts •
with the relevant country’s government. If for any reason these contracts are found to be void or challenged, the Company may suffer significant damage through loss of the opportunity to develop and discover any resources on the relevant asset
Future political conditions in Tanzania and Mozambique may result in the government •
adopting different policies respecting foreign development and ownership of oil and natural gas, environmental protection and labour relations, which may affect the Company’s ability to undertake exploration and development activities in respect of present and future properties, as well as the ability to raise funds to further such activities.
Transfers of interests in the exploration and development typically require state approval, •
which may delay or otherwise impede transfers and on-going operations.
The extentive government politicies and regulation that the oil and gas industry is subject •
to may result in additional cost and risk for industry participants. The Company cannot predict what additional legislation or amendments may be proposed that will affect operations or when any such proposals, if enacted, might become effective. Environmental concerns relating to the oil and gas industry’s operating practices are •
expected to increasingly influence government regulation and consumption patterns which favour cleaner burning fuels such as gas.The Company is uncertain as to the amount of operating and capital expenses that will be required to comply with enhanced environmental regulation in the future.
Wentworth is subject to all of the operational risks normally associated with (1) the •
exploration, production, storage, transportation and marketing of oil and gas and (2) the generation, transmission and distribution of electricity.
Wentworth is not fully insured against all of these risks and although it maintains liability •
insurance in an amount that it considers adequate, the nature of these risks is such that liabilities could exceed policy limites, in which event Wentworth would inclur significant costs. Exploration or development activities in countries like Tanzania and Mozambique •
may require protracted negotiations with host governments, and may be exposed to renegotiation or nullification of existing contracts, change in taxation policies, and international monetary fluctuations.
Some of Wentworth’s facilities are located in harsh and unpredictable climates and •
locations and can experience extreme weather conditions and natural disasters, which may result in seriously or completely impaired or destroyed facilities and lead to suspension of operations.
There are numerous uncertainties inherent in estimating quantities of resources and the •
technically recoverable resource estimates included in this Presentation could thus be materially different from the quantities and values ultimately realized.
There are high risks associated with working within a marine park environment which •
may affect operations beyond Wentworth’s control.
There can be no assurance that the Company will be able to obtain all necessary licenses •
Risk factors continued
The Company’s success depends, to a significant extent, upon its management and key •
employees. The loss of key employees could have a material adverse effect on the Company. Any strike activity or labour unrest could have a material adverse effect on the
•
Company’s ongoing operations and financial condition and its ability to explore for, produce and market its oil and natural gas production.
Demand for limited equipment or access restrictions may affect the availability of such •
equipment to the Company and may delay exploration and development activities. The inability of counterparties and joint operating partners to fulfill their obligations to the •
Company could adversely impact results of operations.
Should change of control or pre-emption provisions be triggered with regard to later •
transactions it may have a material adverse effect on the Company’s business, financial condition and results of operations.
Wentworth’s ability to complete projects depends upon numerous factors beyond the •
Company’s control.
Financial Risks
Wentworth is exposed to normal financial risks inherent within the oil and gas industry, •
including commodity price risk, exchange rate risk, interest rate risk and credit risk. Depending on future exploration and development plans and results thereof, Wentworth •
may require additional financing, which may not be available or, if available, may not be available on favourable terms.
A majority of the Company’s operations and expenditures are paid in foreign currency. •
As a result, the Company is exposed to market risks resulting from fluctuations in foreign currency exchange rates.
Risk Relating to the Shares
Existing Shareholders who do not participate in the Private Placement or the Subsequent •
Offering may experience significant dilution of their shareholding.
There are indefinite resale restrictions on the Shares which may prevent the shareholders •
from reselling the Shares in certain jurisdictions.
Holders of Shares that are registered in a nominee account may not be able to exercise •
voting rights as readily as other shareholders.
The price of the Shares could experience substantial fluctuations caused by a number •
of factors which are beyong the Company’s control and may be independent of its operational and financial development.
Transfer of Shares is subject to restrictions in the United States and there can be no •
assurance that shareholders of the Company reciding or domiciled in the United States will be able to participate in future equity issues or be allocated subscription rights. Issuance and transfer of Shares is subject to restrictions in Canada and there can be no •
assurance that shareholders of the Company reciding or domiciled in the United States will be able to participate in future equity issues or be allocated subscription rights. If Norwegian Corporate Shareholders or Norwegian Personal Shareholders control •
a company (i.e. directly or indirectly own or control at least 50% of the shares or the capital of the company) resident in a low tax jurisdiction, such Norwegian shareholders may be subject to Norwegian taxation according to the Norwegian Controlled Foreign Corporations regulations (Norwegian CFC-regulations).
Other Risks
It may be difficult or impossible to effect service or notice to commence legal •
proceedings upon the directors and officers of the Company, and it may be difficult or impossible to enforce against such persons judgements obtained in Norwegian or Canadian courts.
Certain directors or officers of Wentworth may also be directors or officers of other oil •
and gas companies from time to time and as such may, in certain circumstances, have a conflict of interest requiring them to abstain from certain decisions. Conflicts, if any, will be subject to the procedures and remedies of the ABCA.
From time to time, there may be legal disputes or proceedings pending or threatened •
against the Company relating to its business.
If any of these risks or uncertainties actually occurs, the business, operating results and financial condition of the Company could be materially and adversely affected. The risks presented in this Presentation are not exhaustive, and other risks not discussed herein may also materially and adversely affect the Company. Prospective investors should consider carefully the information contained in this Presentation and make an independent evaluation before making an investment decision.
Management/Board
Experienced energy professionals with extensive knowledge of East Africa
•
Experience includes: exploration; large scale field production; and downstream project development
•
Portfolio
Interests in 3 PSA's in Tanzania and Mozambique with currently producing natural gas from established
•
gas resources and exploration acreage
• Strong partners: Anadarko, Maurel et Prom and Cove Energy
Production from Mnazi Bay gas field with estimated net contingent recoverable resources of 667 Bcf
•
Gas plant, 27km pipeline, and gas-fired power plant with 18MW capacity generating positive cash flows
•
Low risk appraisal and exploration potential in Mnazi Bay, Tanzania
•
Material exploration upside in Tanzania and Mozambique’s Rovuma Basin
•
Strategy
Grow reserves base in Tanzania and Mozambique
•
Advance world-scale natural gas monetisation project
•
Significantly increase production and sales of natural gas
•
2011 Highlights
Entering 2
•
ndPhase exploration period onshore Rovuma license (operated by Anadarko)
Potential to increase Mnazi Bay interest, which could accelerate seismic acquisition and exploration
•
and appraisal drilling
Considering an LSE or TSX listing in H1 2011
•
Financial
Oslo Stock Exchange listed under the symbol "WRL"
•
Market capitalisation: NOK 362.9mm or US$63mm (as of February 5, 2011)
•
Over the past 18 months several major and independent oil
companies have entered exploration areas either adjacent,
near to, or in WRL’s concessions.
Nearby farm ins and results include:
Tullow into Lindi and Mtwara Blocks onshore southern Tanzania
•
(surrounding Mnazi Bay)
ExxonMobil into Block 2 offshore Tanzania (with Statoil)
•
On 22 October 2010 Ophir and BG reported the first Tanzanian
•
deepwater natural gas discovery with the Pweza-1 well in Block 4
On 2 December 2010 Ophir and BG reported the second
•
Tanzanian deepwater natural gas discovery with the Chewa-1
well in Block 4
Ophir/BG currently drilling their third well, Chaza-1, in Block 1
•
immediately adjacent to Mnazi Bay (results pending)
Farm ins on WRL's concessions and results include:
On 18 September 2009, Maurel et Prom and Cove Energy
•
announced farm in to WRL's assets in Tanzania and Mozambique
To date there have been 4 major gas discoveries in the Offshore
•
Rovuma Area 1 Concession
Focus on East Africa
Gas shows
Tanzania
Mozambique
Mnazi Bay Field
Msimbati Well & Field MB-1 MB-2 MB-3 Legend Proven fields Leads/prospects Gas wells
Mnazi Bay Concession Map
Block 8 Petrobras Block 5 Petrobras Block 4 Ophir / BG Block 3 Ophir / BG Block 1 Ophir / BG Mnazi Bay Wentworth Mtwara Tullow Mtwara Tullow Lindi Tullow East Pande Rakgas Mandawa Dominion Selous Dominion Lukuliro
Dominion KisangiraDominon
Dar es Salaam
Tanzania
Mozambique
Kimbiji Petrodel Ruvu Dodsal Wingayonga oil seep Songo Songo Pan Africa Nyuni Ndovu Bigwa-Rufigi/Mafia Maurel et Prom Block 2 Statoil / ExxonMobil Block 6 Petrobras Latham Petrodel Block 7 Dominion PWZ-1 CH-1 CZ-1Regional E&P
Concession Map
Anadarko/Wentworth Rovuma Onshore Windjammer, Barquentine, Lagosta & Tubarao gas discoveries Rovuma Offshore Area 1 Anadarko IBO High Statoil Statoil Petronas Petronas 0 100km Legend Wentworth PSA International border Gas fields Ongoing Recent natural gas discoveries Mocimboa-1 Mecupa-1Mtwara
Ndove
Tanzania
Mnazi Bay Wentworth Anadarko / Wentworth Rovuma Onshore Rovuma Offshore Area 1 Statoil Statoil IBO High Petronas Petronas Pemba Seep Macomia Nyuruko Seep Mocimboa-1 Mecupa-1 Muedia Anadarko ENI Palma Pemba Windjammer, Barquentine & Lagosta gas discoveries Block 1 Ophir / BGWentworth Concession Areas & Interests
Mozambique
Mtwara Tullow Lindi Tullow LegendTertiary Rovuma Delta Cretaceous Basement Oil seeps Jurassic Cretaceous leads Tertiary Tertiary Gas fields Oil & gas shows Gas wells Gas shows Wentworth royalty interest
CZ-1
Wentworth royalty interest
Tubarao gas discovery
Board of Directors
Mechanical Engineer with +40 years experience in the
•
oil & gas industry
Founder, co-developer, and former Managing Director
•
of Qatar Fuels Additives Company (“QAFAC”), a
Methanol and MTBE production facility in Qatar
Co-founder and director of Scarboro Resources
•
Limited (TSE)
Former Non Executive Chairman of East Africa-focused,
•
Black Marlin Energy (recently acquired by Afren Plc)
Bob McBean
Chairman & CEO
Degree in Metallurgy from from Brunel University
•
+35 years of Upstream Oil & Gas Company
•
executive and board management
Co-founder & former CEO of Energy Africa Limited
•
Non-executive Chairman of Faroe Petroleum and a
•
non-executive director of Resaca Exploitation Inc.
and Kea Petroleum plc
John Bentley
Deputy Chairman
MSc in Mechanical Engineering with +40 years
•
experience in the oil & gas industry
Former Managing Director of ExxonMobil and Qatar
•
Petroleum’s Ras Laffan LNG Company (“RASGAS”)
in Qatar
Former Director of Mobil Oil’s PT Arun LNG Company
•
in Indonesia
Former Director of Production of the giant Arun Gas
•
Field in Indonesia
Neil Kelly
Non-Executive Director
MBA with +37 years experience in the African
•
shipping & logistics industry
Founder and former Chairman & CEO of Dubai
•
based, Swift Freight International
Co-developer of the multi modal sea/air combined
•
transport freight business
Author, speaker, philanthropist and investor
•
Issa Baluch
Non-Executive Director
Managing Director and Founding Partner of Washington
•
D.C.-based Emerging Capital Partners (ECP)
ECP is a leading private equity manager with US$1.8 billion
•
under management and focused exclusively on Africa
Former Vice President of GE Capital’s Structured
•
Finance Group
Non-executive Director of Notore (Nigeria) and Ocean
•
and Oil (Nigeria)
Michael Jansa
Non-Executive Director
CMA with 31 years of accounting and finance experience
•
Former CEO of Artumas Group
•
Former VP of Centrica’s Western Canadian Region
•
Former Vice President of Alberta’s largest electrical
•
transmission owner, AltaLink L.P.
Current CFO of Sanjel Corporation, Canada's largest
•
independently owned Oil & Gas Pumping Services
Company
Cam Barton
Management Team
MBA with 25 years of company development, finance,
•
and management experience
Former Head of M&A for Nimir Petroleum Ltd.
•
Former Chief Financial Officer of Nimir Chemicals, a
•
Middle East-based specialty chemicals manufacturer
Co-founder of East Africa-focused Black Marlin
•
Energy (recently acquired by Afren Plc)
Eric Fore
Finance, Investor & Public
Relations Manager
BSc in Commerce from University of Alberta
•
Member of the Institute of Chartered Accountants,
•
Alberta since 1984
Petrochemicals project development and project
•
management experience
Former CFO of Voyager Energy Limited (recently
•
acquired by Niko Resources)
Former Finance Manager of Qatar Fuel Additives
•
Company
Geoff Bury
Chief Operating Officer
BSc in Geology from Makerere University, Uganda,
•
and post graduate diploma in Petroleum Geology from
Bergen University, Norway
Former Director of Exploration and Production and
•
Deputy Managing Director of Tanzania Petroleum
Development Corporation (TPDC)
Former Director of Investment and Facilitation for
•
Tanzanian Investment Centre
Salvator Ntomola
Country Manager,
Tanzania
John Dragonetti
Regional Manager
BCom in Accounting from the University of Dar es
•
Salaam & Certified Public Accountant since 2000
Former Director of Finance for all Artumas Group
•
subsidiaries in Tanzania (2006 to 2008)
Experience in accounting, finance & general
•
management with companies in Tanzania including
PricewaterhouseCoopers, Coca Cola and Celtel
Tanzania Limited
Mussa Makame
Deputy Country Manager,
Tanzania
Barrister of Law (England and Wales) since 2002
•
LLM (International Finance Law) from Harvard
•
Law School
LLM (Banking and Finance Law) from the
•
University of London (UCL)
Experience in finance, tax, regulatory and
•
energy law
Eric Bakilana
Head of Legal, Tanzania
BA in Education and MA in Management from
•
Michigan State University
37 year career as a senior advisor to oil & gas
•
companies, governments, and business leaders in
the Middle East, Africa and North America
Instrumental in obtaining oil & gas exploration and
•
development concessions in Mozambique, United
Arab Emirates and Egypt
Former senior executive of three international oil &
•
Wentworth has interests in three adjacent East African hydrocarbon concessions:
Tanzania: Mnazi Bay Concession
756 km² area with proven and producing natural gas resources
•
25.4% net working interest, carried through 1 exploration well & 200 km² 3D seismic
•
Four wells drilled to date: all encountered hydrocarbons; one producing; and
•
others completed and shut-in
Partners: Maurel et Prom, operator (38.22%), Cove Energy (16.38%) and TPDC (20%)
•
Mozambique: Rovuma Onshore Concession
15,000 km² concession
•
11.59% net working interest
•
Entering 2
•
ndPhase exploration programme in Q1 2011
Partners: Anadarko, operator (35.7%), Maurel et Prom (27.71%),
•
ENH (15%), Cove Energy (10%)
Mozambique: Rovuma Offshore Area 1 Overriding Royalty Interest
10,500 km² concession
•
4.95% Overriding Royalty Interest in Cove Energy’s profit petroleum
•
Windjammer well with more than 555 ft. of net natural gas pay
•
Barquentine well with more than 416 ft. of net natural gas pay
•
Lagosta well with more than 550 ft. of net natural gas pay
•
Tubarao well with more than 110 ft. of net natural gas pay
•
Partners: Anadarko, operator (36.5%), Mitsui (20%),
•
ENH (15%), Bharat Petroleum (10%), Videocon (10%),
and Cove Energy (8.5%)
E&P Concessions & Interests Overview
Gas shows
Tanzania
Mozambique
Mnazi Bay Field
Msimbati Well & Field MB-1 MB-2 MB-3 Legend Proven fields Leads/prospects Gas wells
Mnazi Bay Concession Map
Block 8 Petrobras Block 5 Petrobras Block 4 Ophir / BG Block 3 Ophir / BG Block 1 Ophir / BG Mnazi Bay Wentworth Mtwara Tullow Mtwara Tullow Lindi Tullow East Pande Rakgas Mandawa Dominion Selous Dominion Lukuliro
Dominion KisangiraDominon Dar es Salaam
Tanzania
Mozambique
Kimbiji Petrodel Ruvu Dodsal Wingayonga oil seep Songo Songo Pan Africa Nyuni Ndovu Bigwa-Rufigi/Mafia Maurel et Prom Block 2 Statoil / ExxonMobil Block 6 Petrobras Latham Petrodel Block 7 Dominion PWZ-1 CH-1 CZ-1Regional E&P
Concession Map
Anadarko/Wentworth Rovuma Onshore Windjammer, Barquentine, Lagosta & Tubarao gas discoveries Rovuma Offshore Area 1 Anadarko IBO High Statoil Statoil Petronas Petronas 0 100km Legend Wentworth PSA International border Gas fields Ongoing Recent natural gas discoveries Mocimboa-1 Mecupa-1Mtwara
Ndove
Tanzania
Mnazi Bay Wentworth Anadarko / Wentworth Rovuma Onshore Rovuma Offshore Area 1 Statoil Statoil IBO High Petronas Petronas Pemba Seep Macomia Nyuruko Seep Mocimboa-1 Mecupa-1 Muedia Anadarko ENI Palma Pemba Windjammer, Barquentine & Lagosta gas discoveries Block 1 Ophir / BGWentworth Concession Areas & Interests
Mozambique
Mtwara Tullow Lindi Tullow LegendTertiary Rovuma Delta Cretaceous Basement Oil seeps Jurassic Cretaceous leads Tertiary Tertiary Gas fields Oil & gas shows Gas wells Gas shows Wentworth royalty interest
CZ-1
Wentworth royalty interest
Tubarao gas discovery
Mnazi Bay Concession
Onshore and Offshore Block (25.4% net W.I.)
The Mnazi Bay concession covers a 756 km² area in southeastern
•
Tanzania, bordering Mozambique and lying along the flank of the
Rovuma River
Wentworth's interest in the concession is owned 87% by WRL and
•
13% by FMO of the Netherlands
In 1981, ENI drilled a shallow water, off-shore well and discovered
•
the Mnazi Bay gas field
In 2004, Artumas Group (now Wentworth) acquired the rights to
•
the Mnazi Bay concession
In 2005, the Company successfully re-entered a shut-in well and
•
subsequently drilled two appraisal wells and one exploration well
– with 100% success – yielding natural gas and showing small
quantities of crude oil
MB-1 is currently the only producing well at a rate of
•
approximately 1.7mmcf/d
- gas transported by pipeline to Mtwara Power Project
(87% owned Wentworth) 27 km away
Tanzania
Gas shows
Tanzania
Mozambique
Mnazi Bay Field
Msimbati Well & Field MB-1 MB-2 MB-3 Legend Proven fields Leads/prospects Gas wells
Mnazi Bay Concession Map
Block 8 Petrobras Block 5 Petrobras Block 4 Ophir / BG Block 3 Ophir / BG Block 1 Ophir / BG Mnazi Bay Wentworth Mtwara Tullow Mtwara Tullow Lindi Tullow East Pande Rakgas Mandawa Dominion Selous Dominion Lukuliro
Dominion KisangiraDominon
Dar es Salaam
Tanzania
Mozambique
Kimbiji Petrodel Ruvu Dodsal Wingayonga oil seep Songo Songo Pan Africa Nyuni Ndovu Bigwa-Rufigi/Mafia Maurel et Prom Block 2 Statoil / ExxonMobil Block 6 Petrobras Latham Petrodel Block 7 Dominion PWZ-1 CH-1 CZ-1Regional E&P
Concession Map
Anadarko/Wentworth Rovuma Onshore Windjammer, Barquentine, Lagosta & Tubarao gas discoveries Rovuma Offshore Area 1 Anadarko IBO High Statoil Statoil Petronas Petronas 0 100km Legend Wentworth PSA International border Gas fields Ongoing Recent natural gas discoveries Mocimboa-1 Mecupa-1Mtwara
Ndove
Tanzania
Mnazi Bay Wentworth Anadarko / Wentworth Rovuma Onshore Rovuma Offshore Area 1 Statoil Statoil IBO High Petronas Petronas Pemba Seep Macomia Nyuruko Seep Mocimboa-1 Mecupa-1 Muedia Anadarko ENI Palma Pemba Windjammer, Barquentine & Lagosta gas discoveries Block 1 Ophir / BGWentworth Concession Areas & Interests
Mozambique
Mtwara Tullow Lindi Tullow LegendTertiary Rovuma Delta Cretaceous Basement Oil seeps Jurassic Cretaceous leads Tertiary Tertiary Gas fields Oil & gas shows Gas wells Gas shows Wentworth royalty interest
CZ-1
Wentworth royalty interest
Tubarao gas discovery
Gross contingent resources
(Bcf) RPS 2010 report
P90
P50
Pmean
P10
Gas initially in place
365
892
1,112
2,117
Technically recoverable resources (TRR)
271
667
834
1,594
Gross prospective resources (Bcf) Rose & Associates 2008 report
Prospective resources – gas only
259
1,032
1,232
2,488
Prospective resources – gas & liquids
262
1,031
1,256
2,595
Mnazi Bay Exploration Potential
Wentworth is carried on one exploration well plus 200km²
•
3D seismic
Wentworth believes the concession potential of Mnazi Bay
•
to be approximately 3.0 trillion cubic feet of natural gas
Potential to increase exploration exposure
•
- Maurel et Prom recently marketed its entire East Africa
portfolio for farm out
- Wentworth has a ROFR to match any incoming bids for
M&P’s Mnazi Bay interest
Tanzania Exploration
Arbitrary Seismic Line
Mnazi Bay: Upper Sand View
Msimbati
Mnazi Bay
Msimbati NE
NE Extension
Rovuma Offshore Area 1 (WRL – 4.95% ORRI of Cove Energy’s
profit petroleum)
On 18 February 2010 Anadarko announced the first East African
•
deepwater natural gas discovery with the Windjammer well
(555 ft. of net natural gas pay)
On 18th August 2010 Anadarko announced the Ironclad well
•
encountered the first deep water presence of oil off the coast of
East Africa
On 19 October 2010 Anadarko announced a second deepwater
•
natural gas discovery with the Barquentine well (416 ft. of net
natural gas pay)
On 29 November 2010 Anadarko announced a third deepwater
•
natural gas discovery with the Lagosta well (550 ft. of net natural
gas pay)
On 7 February 2011 Anadarko announced a fourth deepwater
•
natural gas discovery with the Tubarao well (110 ft. of net
natural gas pay)
Currently over 50 de-risked exploration leads identified in the
•
25,500 km² Rovuma Offshore Area 1 concession area
Mozambique
Gas shows
Tanzania
Mozambique
Mnazi Bay Field
Msimbati Well & Field MB-1 MB-2 MB-3 Legend Proven fields Leads/prospects Gas wells
Mnazi Bay Concession Map
Block 8 Petrobras Block 5 Petrobras Block 4 Ophir / BG Block 3 Ophir / BG Block 1 Ophir / BG Mnazi Bay Wentworth Mtwara Tullow Mtwara Tullow Lindi Tullow East Pande Rakgas Mandawa Dominion Selous Dominion Lukuliro
Dominion KisangiraDominon Dar es Salaam
Tanzania
Mozambique
Kimbiji Petrodel Ruvu Dodsal Wingayonga oil seep Songo Songo Pan Africa Nyuni Ndovu Bigwa-Rufigi/Mafia Maurel et Prom Block 2 Statoil / ExxonMobil Block 6 Petrobras Latham Petrodel Block 7 Dominion PWZ-1 CH-1 CZ-1Regional E&P
Concession Map
Anadarko/Wentworth Rovuma Onshore Windjammer, Barquentine, Lagosta & Tubarao gas discoveries Rovuma Offshore Area 1 Anadarko IBO High Statoil Statoil Petronas Petronas 0 100km Legend Wentworth PSA International border Gas fields Ongoing Recent natural gas discoveries Mocimboa-1 Mecupa-1Mtwara
Ndove
Tanzania
Mnazi Bay Wentworth Anadarko / Wentworth Rovuma Onshore Rovuma Offshore Area 1 Statoil Statoil IBO High Petronas Petronas Pemba Seep Macomia Nyuruko Seep Mocimboa-1 Mecupa-1 Muedia Anadarko ENI Palma Pemba Windjammer, Barquentine & Lagosta gas discoveries Block 1 Ophir / BGWentworth Concession Areas & Interests
Mozambique
Mtwara Tullow Lindi Tullow LegendTertiary Rovuma Delta Cretaceous Basement Oil seeps Jurassic Cretaceous leads Tertiary Tertiary Gas fields Oil & gas shows Gas wells Gas shows Wentworth royalty interest
CZ-1
Wentworth royalty interest
Tubarao gas discovery
Rovuma Onshore (WRL – 11.59% net W.I.)
In August 2010 the partners received a six month extension
•
(without further commitments) to the initial exploration period
from the Government of Mozambique
All commitments for the 1
•
stexploration phase have been satisfied
Extension allowed time to analyze data from the Mecupa-1 well
•
drilled in Q4 2009 and other related exploration data
Mecupa-1 well encountered hydrocarbon shows and well
•
developed Miocene sands
Outcome provided encouragement for future exploration
•
Partners have agreed to enter a 2
•
ndexploration phase
Work programme is expected to include additional seismic
•
acquisition and at least one exploration well
Mozambique Continued
Gas shows
Tanzania
Mozambique
Mnazi Bay Field
Msimbati Well & Field MB-1 MB-2 MB-3 Legend Proven fields Leads/prospects Gas wells
Mnazi Bay Concession Map
Block 8 Petrobras Block 5 Petrobras Block 4 Ophir / BG Block 3 Ophir / BG Block 1 Ophir / BG Mnazi Bay Wentworth Mtwara Tullow Mtwara Tullow Lindi Tullow East Pande Rakgas Mandawa Dominion Selous Dominion Lukuliro
Dominion KisangiraDominon Dar es Salaam
Tanzania
Mozambique
Kimbiji Petrodel Ruvu Dodsal Wingayonga oil seep Songo Songo Pan Africa Nyuni Ndovu Bigwa-Rufigi/Mafia Maurel et Prom Block 2 Statoil / ExxonMobil Block 6 Petrobras Latham Petrodel Block 7 Dominion PWZ-1 CH-1 CZ-1Regional E&P
Concession Map
Anadarko/Wentworth Rovuma Onshore Windjammer, Barquentine, Lagosta & Tubarao gas discoveries Rovuma Offshore Area 1 Anadarko IBO High Statoil Statoil Petronas Petronas 0 100km Legend Wentworth PSA International border Gas fields Ongoing Recent natural gas discoveries Mocimboa-1 Mecupa-1Mtwara
Ndove
Tanzania
Mnazi Bay Wentworth Anadarko / Wentworth Rovuma Onshore Rovuma Offshore Area 1 Statoil Statoil IBO High Petronas Petronas Pemba Seep Macomia Nyuruko Seep Mocimboa-1 Mecupa-1 Muedia Anadarko ENI Palma Pemba Windjammer, Barquentine & Lagosta gas discoveries Block 1 Ophir / BGWentworth Concession Areas & Interests
Mozambique
Mtwara Tullow Lindi Tullow LegendTertiary Rovuma Delta Cretaceous Basement Oil seeps Jurassic Cretaceous leads Tertiary Tertiary Gas fields Oil & gas shows Gas wells Gas shows Wentworth royalty interest
CZ-1
Wentworth royalty interest
Tubarao gas discovery
