Corporate update post closing Marathon acquisition · presentation have not been verified by the...

24
August 2019 Corporate update

Transcript of Corporate update post closing Marathon acquisition · presentation have not been verified by the...

Page 1: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

August 2019

Corporate update

Page 2: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

This presentation and its enclosures and appendices (the “presentation”) have been prepared by RockRose Energy plc (the “Company”) exclusively for information purposes. This presentation has not been reviewed or registered with any public authority. This presentation is confidential and may not be reproduced, further distributed to any other person or published, in whole or in part, for any purpose. By viewing this presentation, you agree to be bound by the foregoing restrictions and the other terms of this disclaimer.

This presentation does not constitute an offer to sell or a solicitation of an offer to buy any securities.

The distribution of this presentation and any offering, subscription, purchase or sale of securities issued by the Company in certain jurisdictions is restricted by law. Persons into whose possession this 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 it invests or receives or possesses this 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.

The contents of this 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. In making an investment decision, investors must rely on their own examination of the Company and the terms of any investment in the Company, including the merits and risks involved. Although reasonable care has been taken to ensure that the facts stated in this presentation are accurate and that the opinions expressed are fair and reasonable, the contents of this presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information and opinions contained in this presentation, and no reliance should be placed on such information or opinions

Disclaimer

2

Page 3: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

▪ North Sea oil and gas independent founded in 2015

▪ Standard listing on the Main Market of the London Stock Exchange

▪ Market Capitalisation: >£200m at readmission

▪ Company built through a series of acquisitions

▪ 2019 acquisition of Marathon Oil’s UK business

▪ $95m purchase price, effective date 1 January 2019

▪ Adds ~11,000 boepd of production (H1 2019), taking Group H1 2019 production to ~22,000 boepd on a pro forma basis

▪ Adds 2P reserves of 28.4 MMboe, increasing Group 2P reserves to 62.9 MMboe. In addition, RockRose estimates it has 2C resources of 24.7 MMboe

▪ Funded from existing resources

▪ Strong balance sheet post acquisition

▪ Net cash position at financial close ~US$370m (US$91m restricted)

Introduction

3

1P + 2P Reserves (MMboe)

22.9

11.6

18.1

10.3

RRE UK RRE NLBrae Foinaven

14.6

8.710.4

8.9

RRE UK RRE NL

Brae Foinaven

62.942.6

0

5

10

15

20

25

30

2019 2020 2021 2022 2023 2024 2025

kbo

epd

RRE UK RRE NL Foinaven area Brae Complex

CPR Forecast Production

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 4: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Experienced Management Team

4

▪ John is a Chartered Engineer with over 30 years of experience in the Oil and Gas Industry

▪ He was previously Head of Exploration & Production at Glencore

▪ Prior to Glencore, John was the Chief Operating Officer and on the Board of Bowleven Oil & Gas

▪ Andrew co-founded IGas in 2004 and served as CEO until 2015

▪ He transformed IGas from a non-operated partner to the leading onshore hydrocarbon producer in the United Kingdom

▪ Before IGas, Andrew spent 17 years working in investment banking with Merrill Lynch, Nomura, Citibank, and Barclays Bank

Andrew Austin | Executive Chairman & Founder

▪ Peter joined RockRose in 2017 after five years with IGas

▪ While at IGas, Peter was responsible for business development and implementing restructuring strategy in the difficult oil price environment

▪ Prior to IGas, Peter’s career included various management roles. He also served in the British Army for six years

Peter Mann | Managing Director

▪ Steve has over 35 years of experience in the Oil & Gas industry while serving in various financial roles

▪ Prior to RockRose, Stephen worked in Star Energy’s upstream business as group financial controller and group finance manager

Stephen Pawson | Finance Director

Richard Benmore | Non Executive Director

John Morrow | Non Executive Director

▪ Richard has over 35 years of experience in the Oil & Gas industry, holding roles with companies including Conoco, Oryx Energy, Nimir Petroleum, EnCana, Nexen, and IGas

▪ He was a board member of Nexen Exploration UK and managed Nexen’s unconventional projects both in the UK and in Poland

Richard Slape | Chief Financial Officer

▪ Richard has over 30 years of experience working with independent Oil & Gas exploration and production companies

▪ Spent much of his career working in equity capital markets but also held roles at Rockhopper Exploration and Lansdowne Oil & Gas, where he was a director

Page 5: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Key asset overview

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1Blake

Foinaven field(WI: 28.0%)

▪ ~3,000 boepd net production 2019 rising to ~5,000 boepd in 2020▪ 10.3 MMboe net reserves (including satellites)▪ Partnership reviewing options for production post-20256

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Blake (WI: 30.8%)

▪ ~2,900 boepd net production in 2018▪ 10.5 mmboe 2P reserves ▪ Life extension from 2024 to 2029 adds substantial value

1

A/B Blocks(WI:14.6%)

▪ ~2,700 boepd net production in 2018▪ 5.1 mmboe 2P reserves ▪ 2019 Appraisal drilling positive for 2C volumes

2

K4/K5(WI: 11.7%)

▪ ~1,200 boepd net production in 2018▪ 3.2 MMboe 2P reserves3

▪ Due onstream Q1 2021 at a cost of ~£300m (gross)▪ >6,000 boepd net production once onstream▪ 9.5 mmboe reserves

Arran(WI: 30.4%)

4

Brae Complex(WI: 26.0 – 40.0%)

▪ ~7,000 boepd net production in 2018▪ 18.1 MMboe net reserves▪ Multiple projects being worked from 2C to 2P

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Acquisition history

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Company History

Jul. 2015

Company established

Mar. 2017

Agreed to acquire Egerton Energy Ventures for £1.0m

Aug. 2017

Agreed to acquire Sojitz Energy for £2.5m

Oct. 2017

Agreed to acquire Idemitsu UK for £29.7m

May 2018

Agreed to acquire of DyasB.V. for €107m

£23m capital distribution, returning all invested capital to shareholders

£5m capital raise at 50p per share

£8m capital raise at 150p per share

Feb. 2018 Aug. 2018July 2017

Agreed to acquire Dana’s interest in Arran development

Jan. 2016 Feb. 2019

Agreed to acquire Marathon Oil’s UK business.

July 2019

Completed the acquisition of the Marathon Interests

Tender offer results in the buyback of 2.9m shares at a cost of £16.4m

Nov. 2018

Page 7: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Marathon acquisition

• Brae Complex

• Foinaven Area

Page 8: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

A transformational deal

8

▪ In February 2019, RockRose signed an agreement to buy Marathon Oil UK and Marathon Oil West of Shetland

▪ The deal completed on 1st July 2019 and added interests in the Greater Brae Area and the Foinaven area to RockRose’s portfolio.

▪ This was a material transaction for the Company:

▪ Doubled pro forma H1 production to ~22,000 boepd

▪ Raised audited 2P reserves by 82% from 34.5 MMboe to 62.9 MMboe

▪ In addition, RockRose estimates it has 2C resources of 24.7 MMboe

Reserves 1P/2P/2P+2C (Mmboe)

+82%

Net production [boepd]

+100%

Pre-Deal Post-Deal

23.3 42.634.5 62.949.8 87.6

Source: July 2019 RockRose Energy Competent Persons Report (ERCE), RockRose estimates

11,000 22,000

Page 9: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Brae Complex

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▪ West Brae, Central Brae, and South Brae utilise the Brae Alpha platform. RockRose does not expect them to cease production for over a decade

▪ East Brae and Braemar continue to produce across the East Brae platform but this will cease by the end of 2021

▪ Decommissioning the Brae Bravo platform is expected to cost RockRose ~£30 million (net, post-tax) in the 5 years to the end of 2023

▪ RockRose has also acquired a 20% interest in the Scottish Area Gas Evacuation System (SAGE) and 40% of the Brae –Forties Pipeline, which generate tariff income

Asset / FieldRockRose

interest

Net RockRose Oil and Gas Reservesas at 31/03/2019

Total Field Net Reservesas at 31/03/2019

1P 2P 3P 1P 2P 3P

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

(MMboe) (MMboe) (MMboe)

Brae Complex 26.0 – 40.0% 9.2 6.7 16.8 7.8 20.6 8.8 10.4 18.1 22.1

Total 9.2 6.7 16.8 7.8 20.6 8.8 10.4 18.1 22.1

0

1

2

3

4

5

6

7

8

2019 2020 2021 2022 2023 2024 2025

kbo

epd

Greater Brae

Production profile (net)

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 10: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Foinaven area

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▪ Oil was discovered at Foinaven in 1990 and first production was achieved seven years later

▪ The East Foinaven, T25, and T35 satellites subsequently were tied back to the FPSO

▪ Production from the Foinaven area is currently scheduled to cease at the end of 2025

▪ Material discovered resource will remain unproduced at that time

▪ The partners are examining various options to recover those resources and enhance future value post-2025 Asset / Field

RockRoseinterest

Net RockRose Oil and Gas Reservesas at 31/03/2019

Total Field Net Reservesas at 31/03/2019

1P 2P 3P 1P 2P 3P

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

(MMboe) (MMboe) (MMboe)

Foinaven 28.0% 7.3 0.9 8.3 1.0 9.5 1.0 7.4 8.5 9.6

East Foinaven 47.0% 1.0 - 1.3 - 1.5 - 1.0 1.3 1.5

T25 Foinaven 20.0% 0.3 - 0.3 - 0.4 - 0.3 0.3 0.4

T35 Foinaven 20.0% 0.2 - 0.2 - 0.3 - 0.2 0.2 0.3

Total 8.8 0.9 10.1 1.0 11.7 1.0 8.9 10.3 11.8

0

1

2

3

4

5

6

2019 2020 2021 2022 2023 2024 2025

kbo

epd

Foinaven Main East Foinaven Foinaven T25 Foinaven T35

Production profile (net)

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 11: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Other key assets

• Blake

• A/B Blocks

• K4/K5 Blocks

• Arran

Page 12: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Blake

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Asset / FieldRockRose

Interest

Net RockRose Oil and Gas Reservesas at 31/03/2019

Total Field Net Reservesas at 31/03/2019

1P 2P 3P 1P 2P 3P

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

(MMboe) (MMboe) (MMboe)

Blake 30.8% 7.6 - 10.5 - 14.3 - 7.6 10.5 14.3

Total 7.6 - 10.5 - 14.3 - 7.6 10.5 14.3

▪ The Blake field is ~120 km north east of Aberdeen and is operated by Repsol Sinopec

▪ The field is divided into two areas that have been developed separately but utilise a single FPSO

▪ Production from the Blake Channel peaked at 61,000 boepd in 2001 and production from the Blake flank peaked at 13,000 boepd in 2004

▪ The partners will invest over £200m in the field in the five years to the end of 2023 in order to extend the life of the field from the end of 2024 to the end of 2029

▪ An additional 12 MMbbl is expected to be recovered in the 5 years to the end of 2029

0

1

2

3

4

2019 2020 2021 2022 2023 2024 2025

kbo

epd

Production profile (net)

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 13: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

A/B Blocks

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Asset / FieldRockRose

Interest

Net RockRose Oil and Gas Reservesas at 31/03/2019

Total Field Net Reservesas at 31/03/2019

1P 2P 3P 1P 2P 3P

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

(MMboe) (MMboe) (MMboe)

A&B Blocks 14.63% - 21.6 - 29.6 - 37.5 3.8 5.1 6.5

Total - 21.6 - 29.6 - 37.5 3.8 5.1 6.5

▪ The A&B Block is operated by Petrogas and comprises six shallow gas fields of varying maturity

▪ The area was developed using a Central Processing Platform (CPP) with compression facilities to address the low pressure of the reservoirs

▪ Due to capacity constraints, a phased development approach has been pursued –two undeveloped discoveries are scheduled to come onstream in 2021

▪ Gross sales production averaged 112 MMcf/d in 2018 (16 MMcf/d net to RockRose)

0.0

0.5

1.0

1.5

2.0

2.5

3.0

kbo

epd

Production profile (net)

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 14: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

K4/K5 Blocks

14

Asset / Field

RockRoseWorkingInterest

(%)

Net RockRose Oil and Gas Reservesas at 31/03/2019

Total Field Net Reservesas at 31/03/2019

1P 2P 3P 1P 2P 3P

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

(MMboe) (MMboe) (MMboe)

K4K5 6.98-11.66 0.4 16.7 0.5 18.3 0.6 20.7 3.0 3.2 3.7

Total 0.4 16.7 0.5 18.3 0.6 20.7 3.0 3.2 3.7

▪ Discovered in 1988 by Elf and now operated by Total, the K4b-K5a blocks contain nine gas fields, one of which has ceased production

▪ Water depths range from 34 to 68 m with gas produced from the Rotliegend and Westphalian reservoirs.

▪ The area was developed with a Central Processing Platform (CPP) over the K/5-A field, with first gas achieved in 1994

▪ In addition, there are five unmanned wellhead platforms to produce gas from the satellite fields

▪ Gross production in 2018 averaged 66 MMcf/d (7 MMcf/d net to RockRose)

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

2019 2020 2021 2022 2023 2024 2025kb

oep

d

Production profile (net)

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 15: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Arran

15

Asset / FieldRockRose

Interest

Net RockRose Oil and Gas Reservesas at 31/03/2019

Total Field Net Reservesas at 31/03/2019

1P 2P 3P 1P 2P 3P

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

(MMboe) (MMboe) (MMboe)

Arran 30.4% 1.4 18.8 2.8 38.9 5.2 71.7 5.1 9.5 17.6

Total 1.4 18.8 2.8 38.9 5.2 71.7 5.1 9.5 17.6

▪ RockRose acquired its 30.4% interest in the Shell-operated Arran gas/condensate field in August 2018

▪ Following the submission of a Field Development Plan (FDP) in September 2018, the field is being developed at a cost of ~£300m

▪ Arran will be a ~60 km subsea tie-back to the Shearwater platform, which is also operated by Shell

▪ The field is expected to come onstream in the first half of 2021 and production is forecast to peak at over 22,000 boepd

▪ Gross 2P reserves are estimated at over 30 Mmboe (9.5 MMboe net to RockRose)

0

1

2

3

4

5

6

7

8

2021 2022 2023 2024 2025kb

oep

d

Production profile (net)

Start up

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Shearwater platformPhotographic Services, Shell International Ltd.

Page 16: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Financial position

• Financial Summary

• CAPEX & ABEX

• Decommissioning cost

Page 17: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Strong balance sheet

17

Net cash post deal▪ At the end of 2018, RockRose had net cash of

US$121m including restricted balances of US$53m

▪ Marathon Oil UK and Marathon Oil West of Shetland held net cash and working capital ~US$350m at 31st December 2018

▪ On completion of the acquisition, RockRosemade a payment of US$95m to Marathon Oil Corporation

▪ After adjusting for cash flows in the first half of 2019, on financial completion, RockRose had net cash of ~US$370m including restricted balances of US$91m. The Company is debt-free

▪ Restricted cash is covering certain pension obligations plus some DSA postings

US$ million

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 18: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

▪ Profiles from ERCE CPR plus RockRose estimates of Brae Complex ABEX expenditure

▪ ABEX inflated 2% p.a., estimated post-tax net to RockRose

▪ ABEX covered by tax paid history

▪ ABEX figures include North Brae / Brae Bravo not covered by CPR

▪ Bulk of CAPEX in 2019 and 2020 is for the Arran development

CAPEX & ABEX

18

Group ABEX Outlook (post-tax, US$m)Group CAPEX Outlook (US$m)

Source: July 2019 RockRose Energy Competent Persons Report (ERCE), RockRose Energy estimates.

0

20

40

60

80

100

120

140

2019 2020 2021 2022 2023 2024 2025

RRE UK Brae Area Foinaven RRE NL

0

10

20

30

40

50

60

70

80

90

2019 2020 2021 2022 2023 2024 2025

Page 19: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Appendix

• Reserves Summary

• Field by Field Production profile

• Decommissioning costs by field

• Shareholder Register

Page 20: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Reserves Summary - CPR

20

Country0 Asset / Field

Gross Field Oil and Gas Reservesas at 31/03/2019 RockRose

WorkingInterest

(%)

Net RockRose Oil and Gas Reservesas at 31/03/2019

Total Field Net Reservesas at 31/03/2019

1P 2P 3P 1P 2P 3P 1P 2P 3P

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

Liquids(MMstb)

Gas(Bscf)

(MMboe) (MMboe) (MMboe)

U.K.

Grove - 7.6 - 9.2 - 13.7 7.5 - 0.6 - 0.7 - 1.0 0.1 0.1 0.2

Tors - 17.9 - 24.4 - 31.0 15.0 - 2.7 - 3.7 - 4.6 0.5 0.6 0.8

Nelson 12.2 - 17.4 - 22.2 - 7.5 0.9 - 1.3 - 1.7 - 0.9 1.3 1.7

Howe 0.6 2.0 1.6 5.3 2.9 8.3 20.0 0.1 0.4 0.3 1.1 0.6 1.7 0.2 0.5 0.9

Balmoral 0.05 - 0.06 - 0.07 - 7.5 0.004 - 0.004 - 0.005 - 0.004 0.004 0.005

Stirling 0.06 - 0.06 - 0.07 - 16.0 0.009 - 0.010 - 0.011 - 0.009 0.010 0.011

Beauly 0.13 - 0.14 - 0.31 - 40.0 0.05 - 0.05 - 0.12 - 0.05 0.05 0.12

Burghley 0.25 - 0.26 - 0.27 - 41.1 0.10 - 0.11 - 0.11 - 0.10 0.11 0.11

Blake 24.7 - 34.0 - 46.3 - 30.8 7.6 - 10.5 - 14.3 - 7.6 10.5 14.3

Ross 0.1 - 0.6 - 1.1 - 30.8 0.04 - 0.2 - 0.3 - 0.0 0.2 0.3

Arran 4.7 61.7 9.3 127.7 17.1 235.7 30.4 1.4 18.8 2.8 38.9 5.2 71.7 5.1 9.5 17.6

Foinaven 26.0 3.3 29.7 3.5 33.8 3.7 28.0 7.3 0.9 8.3 1.0 9.5 1.0 7.4 8.5 9.6

East Foinaven 2.2 - 2.7 - 3.1 - 47.0 1.0 - 1.3 - 1.5 - 1.0 1.3 1.5

T25 Foinaven 1.5 - 1.7 - 2.0 - 20.0 0.3 - 0.3 - 0.4 - 0.3 0.3 0.4

T35 Foinaven 1.0 - 1.2 - 1.3 - 20.0 0.2 - 0.2 - 0.3 - 0.2 0.2 0.3

Brae Complex 20.4 21.4 40.0 24.4 49.0 27.3 27.8-42.4 9.2 6.7 16.8 7.8 20.6 8.8 10.4 18.1 22.1

Netherlands

A&B Blocks - 155.2 - 206.9 - 269.8 14.63 - 21.6 - 29.6 - 37.5 3.8 5.1 6.5

Bergen 0.002 7.9 0.004 14.6 0.005 19.5 12.0 0.0003 0.9 0.0005 1.8 0.0005 2.3 0.2 0.3 0.4

Hanze Oil 6.9 - 11.4 - 13.3 - 20.0 1.4 - 2.3 - 2.7 - 1.4 2.3 2.7

K4K5 6.4 238.1 7.0 260.7 7.9 295.5 6.98-11.66 0.4 16.7 0.5 18.3 0.6 20.7 3.0 3.2 3.7

P15/P18 Rijn Oil 0.5 - 0.6 - 0.9 - 45.7 0.2 - 0.3 - 0.4 - 0.2 0.3 0.4

PQ (excl. Q1B) 0.2 9.2 0.3 11.8 0.4 16.5 5.62-30.60

0.0 1.6 0.1 2.0 0.1 2.8 0.3 0.3 0.5

UK Sub-Total 93.9 114.0 138.7 194.5 179.6 319.7 28.3 30.1 42.2 53.0 54.5 88.9 33.9 51.4 69.8

Netherlands Sub-Total 14.0 410.5 19.3 494.1 22.6 601.3 2.1 40.8 3.1 51.6 3.7 63.4 8.7 11.6 14.1

Total 107.9 524.4 158.0 688.6 202.2 921.0 30.4 70.9 45.3 104.7 58.2 152.3 42.6 62.9 83.9

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 21: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Production profile - CPR

21

Field by Field Group Volumes (boepd)

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

0

5000

10000

15000

20000

25000

30000

2019 2020 2021 2022 2023 2024 2025

Arran Blake & Ross Foinhaven Brae Complex Other UK A&B Blocks Hanze Oil K4K5 Other NLFoinaven

Page 22: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Decommissioning Costs

22

Asset / Field Type

Gross DCE Pre-Tax Relief

Net DCE Pre-TaxRelief

Net DCE Post-TaxRelief

(£MM Real) (£MM Real) (£MM Real)

Nelson Fixed platform 227.5 17.0 10.2

Howe SS tie-back to Nelson 18.0 3.6 2.2

Ross & Blake FPSO + 5 x SS well cluster 415.2 128.0 76.8

Balmoral & Stirling

FPU + 5 x SS field tie back 338.0 31.8 19.1

Beauly SS tie-back to Balmoral 18.1 7.2 4.3

Burghley SS tie-back to Balmoral 18.3 7.5 4.5

Arran 4 x SS well ( 2 clusters) 49.2 15.0 9.0

Grove Fixed platform 27.4 2.1 1.2

Tors Fixed platform 28.5 4.3 2.6

Foinaven FPSO + SS development 611.2 177.3 106.4

Brae ComplexBrae Alpha, Brae East + SS tie-backs

1,224.7 498.5 199.4

Galahad Fixed platform (monopod) 10.7 3.0 1.8

Galley SS tie back to Tartan 90.6 15.8 9.5

Mordred ER well From Galahad 2.0 0.2 0.1

Seven Seas SS tie-back to West Sole-A 13.6 1.4 0.8

UK Total 3,093.1 912.5 447.9

Asset Block / Field Type

Gross DCE Net DCE

(€MM Real) (€MM Real)

A&B Blocks

A18 Fixed platform

78.4 11.5A12 Fixed platform

B13 Fixed platform

K4/K5

K4-A Fixed platform

235.1 27.4

K4-BE Fixed platform

K-4D SS tie-back

K4-Z SS tie-back

K5-A Fixed platform

K5-P Fixed platform

K5-K Fixed platform

K5-B Fixed platform

K5-D Fixed platform

K5-EN/C Fixed platform

K5-F SS tie-back

K5-CU Fixed platform

Hanze Oil Hanze Fixed platform (GBS) 97.0 19.4

P/Q (excl. Q1-B)

P6-A Fixed platform

67.1 8.5P6-B Fixed platform

P6-D Fixed platform

Rijn OilP15-A (oil) Fixed platform

60.1 27.5P15-C (oil) Fixed platform

Bergen Bergen Onshore facilities 100.0 12.0

F15-AB F15-AB Fixed Platform 59.3 5.2

MarkhamJ3-C (Markham) ER well from Markham 2.2 0.04

J6-A Markham Fixed platform 52.7 2.3

P15 - P18 (gas) P15 - P18 (gas) Fixed Platforms + SS 116.5 6.9

Middelie West Beemster Onshore gas field 13.0 0.4

Netherlands Total 881.4 121.0

Netherlands totalUK total

Source: July 2019 RockRose Energy Competent Persons Report (ERCE)

Page 23: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

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Rock Rose

FTSE Oil & Gas Index

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Directors’ and Senior Management Shareholding

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27.2%13.1%

5.7%Andrew Austin

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Andrew Austin

Richard Benmore

John Morrow

Peter Mann

Steve Pawson

Page 24: Corporate update post closing Marathon acquisition · presentation have not been verified by the Company or any other person. Accordingly, no representation or warranty, express or

Company Contacts

Investor RelationsT: 44 (0)20 3826 4800E: [email protected]:20-23 Holborn, London EC1N 2JD

Media EnquiriesMark Antelme / Ollie Mills, CelicourtT: 44 (0)20 7520 9261E: [email protected]: 7-10 Adam Street, London WC2N 6AA

Financial Adviser and Joint BrokerHannam & PartnersT: 44 (0)20 7907 8500E: [email protected]: 2 Park Street, London W1k 2HX

Joint BrokerCantor FitzgeraldT: 44 (0)20 7894 7000O: 1 Churchill Place, London E14 5EF

Joint BrokerWhitman HowardT: 44 (0)20 7659 1234O: 1-3 Mount Street, London W1K 3NB