Deltic Energy : Corporate Presentation March 2023 (2.46MB)

CORPORATE PRESENTATION

MARCH 2023

Important Notice

The information contained in this document (the "Presentation") has been prepared and distributed by Deltic Energy PLC (the "Company"). It has not been fully verified and is subject to material updating, completion, revision, verification and further amendment. This Presentation has not been approved by an authorised person in accordance with Section 21 of the Financial Services and Markets Act 2000, as amended ("FSMA"). The securities mentioned herein have not been and will not be, registered under the U.S. Securities Act of 1933, as amended (the "Securities Act"), or under any U.S. State securities laws, and may not be offered or sold in the United States unless they are registered under the Securities Act or pursuant to an exemption from or in a transaction not subject to the registration requirements of the Securities Act. This Presentation is for information purposes only and does not constitute, and the Company is not making, an offer of securities.

While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers give, have given or have authority to give, any representations or warranties (express or implied) as to, or in relation to, the accuracy, reliability or completeness of the information in this Presentation, or any revision thereof, or of any other written or oral information made or to be made available to any interested party or its advisers (all such information being referred to as "Information") and liability therefore is expressly disclaimed. Accordingly, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct or indirect, express or implied, contractual, tortious, statutory or otherwise, in respect of, the accuracy or completeness of the Information or for any of the opinions contained herein or for any errors, omissions or misstatements or for any loss, howsoever arising, from the use of this Presentation.

Prospective investors must rely on their own examination of the legal, taxation, financial and other consequences of an investment in the Company, including the merits of investing and the risks involved. Prospective investors should not treat the contents of this Presentation as advice relating to legal, taxation or investment matters and are advised to consult their own professional advisers concerning any acquisition of shares in the Company. This Presentation should not be considered a recommendation by the Company or any of its affiliates in relation to any prospective acquisition of shares in the Company.

Certain of the information contained in this Presentation has been obtained from published sources prepared by other parties. Certain other information has been extracted from unpublished sources prepared by other parties which have been made available to the Company. The Company has not carried out an independent investigation to verify the accuracy and completeness of such third party information. No responsibility is accepted by the Company or any of its directors, officers, employees or agents for the accuracy or completeness of such information.

All statements of opinion and/or belief contained in this Presentation and all views expressed represent the directors' own current assessment and interpretation of information available to them as at the date of this Presentation. In addition, this Presentation contains certain "forward-looking statements", including but not limited to, the statements regarding the Company's overall objectives and strategic plans, timetables and capital expenditures. Forward-looking statements express, as at the date of this Presentation, the Company's plans, estimates, forecasts, projections, opinions, expectations or beliefs as to future events, results or performance. Forward-looking statements involve a number of risks and uncertainties, many of which are beyond the Company's control, and there can be no assurance that such statements will prove to be accurate. No representation is made or assurance given that such statements or views are correct or that the objectives of the Company will be achieved. The reader is cautioned not to place reliance on these statements or views and no responsibility is accepted by the Company or any of its directors, officers, employees or agents in respect thereof. The Company does not undertake to update any forward-looking statement or other information that is contained in this Presentation. Neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers take any responsibility for, or will accept any liability whether direct or indirect, express or implied, contractual, tortious, statutory or otherwise, in respect of, the accuracy or completeness of the information contained in this Presentation or for any of the opinions contained herein or for any errors, omissions or misstatements or for any loss, howsoever arising, from the use of this Presentation.

This document may not be reproduced, copied, published, distributed or circulated, to any third party, in whole or in part, or published in whole or in part for any purpose, without the express prior consent of the Company.

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Board & Management

Driven and highly competent management team with >100 years of UKCS Experience

Graham Swindells

Chief Executive Officer

Graham joined Deltic as Chief Financial Officer in 2013 and became Chief Executive in 2018. He previously worked in corporate finance and M&A, specialising in advising mid and small-cap public companies. Before joining Deltic, he was a Director in Corporate Finance at Ernst & Young. Previously, he was a Director in Corporate Finance at Arbuthnot Securities where he gained significant natural resources experience acting as nominated adviser and broker. He qualified as a Chartered Accountant in Scotland working for BDO and subsequently PwC.

Mark Lappin

Non-Executive Chairman

Mark has over 35 years of experience in the oil and gas industry. Mark's recent roles include Technical Director at Cuadrilla and prior to that Sub- Surface Director for UK and Netherlands at Centrica. Mark began his career as a Geophysicist at Phillips Petroleum and has held senior technical and commercial roles with Phillips, Exxon Mobil and Dart Energy. Mark's North Sea focussed operational, commercial and super-major E&P experience will be hugely valuable as the company moves into the next stage of its development. Mark is a Visiting Professor at University of Strathclyde Centre for Energy Policy.

Andrew Nunn

Chief Operating Officer

Andrew is a Chartered Geologist with over 20 years of experience working on exploration, mining and geo-environmental projects in Europe, Australasia and Africa. For the last 10 years he has worked on a wide variety of UK and European conventional and unconventional gas projects with a primary focus on Carboniferous aged reservoirs. Andrew's previous role was as Exploration Manager for Dart Energy. He holds a B.Sc. (Hons) in Economic Geology and an M.Sc. in Environmental Management. Andrew was appointed as a Director of the Oil and Gas Independents' Association (OGIA) in February 2020.

Sarah McLeod

Chief Financial Officer

Sarah joined Deltic as Chief Financial Officer in January 2020. Sarah has 20 years experience in the international oil and gas industry. She previously held the position of Group Financial Controller at New Age. Sarah spent 10 years with ConocoPhillips in a variety of senior financial and strategic roles and also two years with Maersk Oil. She started her career with Deloitte, spending six years in its oil and gas team during which time she qualified as a Chartered Accountant.

Peter Cowley

Non-Executive Director

Peter Cowley is a geologist with 50 years of international experience in the minerals industry and has been involved in the discovery and development of a number of gold mines in Africa. Peter was previously Managing Director of Ashanti Exploration Limited, Group Technical Director of Cluff Resources Plc, CEO of Banro Corporation and is currently President and a Director of Loncor Resources Inc. He holds M.Sc. and M.B.A. degrees and is a Fellow of I.M.M.M.

Peter Nicol

Non-Executive Director

Peter has 40 years of experience in the energy sector. He was previously Head of Oil & Gas at GMP Securities Europe, Global Sector Director of Oil

• Gas Research at ABN Amro & Head of European Oil & Gas Research at Goldman Sachs. Peter is a non-executive director of exploration focussed Touchstone Exploration Inc. & Eco (Atlantic) Oil & Gas Ltd, both of which are AIM quoted. He is also an independent director of ERC Equipoise Limited. Peter started his career with British National Oil Corporation & holds a Bachelor of Science in Mathematics & Economics

from Strathclyde University

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Our DNA	St Fergus

DELTIC ENERGY

Small team of explorationists with over 100 years of experience within the E&P industry

Dedicated to high quality technical work and identification of robust drilling opportunities Proven ability to attract world class partners in Shell and Capricorn providing validation of our technical approach and licensing strategy

UK GAS FOCUSED PORTFOLIO

Low risk, high impact, infrastructure led, exploration portfolio in mature SNS & CNS 9 licences in total, many containing multiple prospects

Heavily weighted towards natural gas - key fuel in transition to low carbon future

TWO SHELL OPERATED WELLS FROM Q4 2022

Syros

Pensacola

Pensacola discovery in February 2023 with Gross P50 EUR of >300 BCF

Selene well targeting Gross P50 prospective resources of 318 BCF in 2024

Capricorn partnership expected to deliver further wells

Syros farm-out process underway

EXPLORATION SUCCESS

Teesside

Discovery

Capricorn JV

Area

EasingtonSelene

Shareholders positioned to gain from the significant value upside arising from exploration success Assets are located in close proximity to existing infrastructure enhancing project economics, reducing carbon intensity and facilitating rapid development.

Bacton

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Strategy

Identify. Explore. Monetise. Repeat.

> ORGANIC PORTFOLIO BUILD > CONVEYOR BELT OF DRILLING

OPPORTUNITIES

> PROSPECT MATURATION > FARM-OUTPROCESS

> SEISMIC ACQUISITION

> EXPLORATORY DRILLING > OPTIONAL APPRAISAL

> FURTHER FARM DOWN

> PROJECT EXIT > REINVEST

Gas dominated portfolio

• Increasingly important transition fuel
• High petrochemical / hydrogen demand
• UK increasingly reliant on foreign gas imports/LNG
• Positive medium to long term pricing trends

Exploration and appraisal

• Low cost entry point via regular licence rounds
• Greatest uplift per £ invested in cycle
• Small team and low overheads
• No decommissioning exposure

UKCS mature basins

• Well understood subsurface & legacy data
• Established export infrastructure
• Full lifecycle 'ecosystem' with many developers
• Energy Profits Levy (May/Nov 2022) investment allowance expected to encourage more exploration activities
• Regular licensing rounds

Capital growth via the drill bit

• Asset sales / divestment could fund future drilling
• Potential to provide shareholder returns through any excess capital
• Potential acquisition/swap of licence equity for production assets to fund drilling

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