Marginal Oil Field Project

Nigeria
Project Introduction

Introduction

FORWARD-LOOKING STATEMENTS

This document contains forward-looking statements that

involve a number of assumptions, risks and uncertainties
that could cause actual results to differ materially from
those contained in the forward-looking statements. Project
Company cautions readers that any forward-looking
information is not a guarantee of future performance. Such
forward-looking statements include, but are not limited to,
statements about the benefits of the recent acquisition of
oil & gas development contracts in Nigeria, including future
financial and operating results, the companys plans,
objectives, expectations and intentions and other
statements that are not historical facts.
Contd

FORWARD-LOOKING STATEMENTS
(CONTD)
Risks, assumptions and uncertainties that could
cause actual results to materially differ from the
forward-looking statements include, but are not
limited to, those associated with general economic
and business conditions; changes in commodity
price; inability to obtain capital needed for
operations; the level of indebtedness; changes in
government environmental and energy policies; tax
consequences of business transactions; and other
risks, assumptions and uncertainties. There can be
no assurance that the transactions described in this
document will be consummated. Forward-looking
statements speak only as of the date hereof, and
Project Company assumes no obligation to update
such statements.

OVERVIEW
Developing Marginal Oilfields in Nigeria.
Nigeria:
OPEC Country producing 2.7 million bopd (worlds
12th largest)
Most Major IOCs represented (Exxon, Shell, Chevron,
CNPC, Statoil, etc.)
Marginal Field Initiative Implemented in 2003 to
assist Indigenous ownership
Sole Risk (No NNPC Participation)
2014 Second Marginal Field Bid Round offering 31
fields
Contd

OVERVIEW (CONTD)

Target Marginal Field:

On shore 65 km SW ..

Three wells drilled (Well No. 1, 2 & 3)

Target Wells - Net Oil Resources xx million bbls.
Production expected 6 to 10K BBLs/day.

MANAGEMENT & DIRECTORS

D.P.B., Executive Chairman*

27 years of experience in natural resource related
companies

Engineer H.H., Vice President, Director*

Professional Engineer with 15 years experience in
technical development of oil and gas and
transportation projects in Nigeria and the Gulf of
Guinea
Nigerian Citizen

MANAGEMENT & DIRECTORS

(CONTD)
M.J.H., P. Eng., Chief Executive Officer, Director*
Professional Petroleum Engineer with 30 years of
international experience
Previously Chairman & CEO of a FSU oil and gas
company grew production to +6,000 bopd
Former Head of International Operations for
Canadas premier petroleum consulting firm
Former Senior Reservoir Engineer at Canadas
national oil company
*Founders

OIL IN NIGERIA

Member of OPEC, 12th largest oil producer in the

world
Producing 2.7 million bopd
1 million bopd to US (10% of imports)
Brent oil price as benchmark
Majors operating in Nigeria - Shell, ExxonMobil,
Chevron, Conoco, Total, ENI, KNOC, ONGC,
CNPC, CNOOC, Sinopec, Statoil
Contd.

OIL IN NIGERIA

Marginal Field Program

Development of the Majors undeveloped oil
fields by indigenous companies
Marginal Fields
Sole Risk No Government (NNPC) participation
Profit tax 55%; Royalty 5%
Potential +500 such fields

JOINT VENTURE

Promoter Project Companys Joint Venture Partner:

TC Limited
Qualified under the Marginal Field Program with a proven
track record
Known to the Department of Petroleum Resources (DPR),

Petroleum Minister, Presidents office

SWOT ANALYSIS STRENGTHS

Experienced Management Team

Local Partner Known

PROVEN RELATIONSHIP WITH DPR
Proven Oil reserves with short tie in
Unitization Potential
Time to Finance Development
Swift Decision Making Process

SWOT ANALYSIS WEAKNESSES

Award Subject to a Bid Round

Country Risk ( Mitigation through Political
Risk Insurance)

SWOT ANALYSIS OPPORTUNITY

Bid is based on qualifications

Quick to cash flow (< 2year)
Fast Payout (< 2 year)
High Yield Project NPV vs Bid Expense
OPEC country with oil infrastructure

SWOT ANALYSIS THREAT

Bid Competition
Bid Submission April 2014

INVESTMENT OPTIONS
Project Cost / Investment: $ 50 Million;
Entry Level Investment:

$ 5 Million;

Preferred Funding:

Debt Funding;

Open for consideration:

Debt to part Equity;

Debt Payback:

4 Years;