Carl Dumbrell & Phil McNamara 20 Oct 23 EMP

Summary

Emperor Energy's directors, K. Dumbrell and Phil McNamar, update shareholders on their focus on the Judith gas project in Victoria, with significant 2 TCF prospective resources. They discuss the project's potential to supply the East Coast market for 25 years, their application for a permit extension, and environmental plan progress. They also address inquiries from potential partners regarding gas quality and AVO interpretation accuracy. Additionally, they introduce a gold mining project to generate cash flow and support the company's long-term gas strategy.

Takeaways

• 🛢️ Emperor Energy is focused on the Judith gas field in Vic P47 exploration permit in Bass Strait.
• 📊 The Judith gas field contains a prospective resource of two TCF p50, with at least one TCF of recoverable gas.
• 🏙️ The dynamic modeling suggests production of over 100 million cubic feet per day for 25 years.
• 🗓️ Emperor Energy has applied for an extension on their drill date and expects a response from NOPTA by late November.
• 🌿 The environmental plan is set to be submitted early in 2024, with approval expected in the second quarter of 2024.
• 💬 Potential partners are interested but are waiting for the extension approval and environmental approval.
• 📉 Recent analyses have confirmed four movable gas zones and better permeabilities, enhancing potential flow rates.
• 🔄 Gas is seen as a transition energy source to complement the shift to renewables and reduce CO2 emissions.
• 🌟 Emperor Energy is also exploring a gold mining project to generate regular cash flow and support company operations.
• 📈 The company assures shareholders that the gas business remains the primary focus while the gold project serves as a supplementary income source.

Q & A

What is the main focus of Emperor Energy according to the update?

Emperor Energy remains focused on the Judith gas project in VIC/P47 exploration area, which is located next to the Exxon Mobil system and the Oris gas plant.

How significant is the Judith gasfield in terms of prospective resources?

The Judith gasfield within Emperor Energy's permit contains two TCF (trillion cubic feet) of P50 prospective resources, which is considered a huge resource.

What is the potential lifespan of the Judith gasfield if it were to supply gas to a marketplace like Melbourne?

Based on dynamic modeling and new seismic data, the Judith gasfield could supply over 100 million cubic feet per day for 25 years.

What is the current status of the application for an extension on the drill date with the National Offshore Petroleum Titles Administrator (NOPTA)?

Emperor Energy has submitted an application to extend the primary term of their permit, and they have provided additional information as requested by NOPTA. They are awaiting a response expected in late November.

What is the timeline for the environmental plan approval process?

Emperor Energy expects to finalize the environmental plan and submit it to NOPSA early in 2024, with approval expected in the second quarter of 2024.

What are the key milestones that potential partners are looking for from Emperor Energy?

Potential partners are looking for the extension of the permit duration and existing approval to drill the well, as well as answers to questions about the quality of the gas-bearing formations and the accuracy of the AVO interpretations.

What steps has Emperor Energy taken to address questions about the gas quality and AVO interpretations?

Emperor Energy has engaged Steve Adams to review the petrophysics, confirming movable gas zones and better permeability ranges. They are also working on calibrating the AVO response against Steve Adams' work with another consultant.

How does Emperor Energy's gas project fit into the broader energy transition towards renewables by 2050?

The gas project is seen as a transition energy source that complements East Coast Australia's move towards renewables by providing firming capacity, which is essential due to the variability of solar and wind energy.

What is the Bonding project and how does it relate to Emperor Energy's strategy?

The Bonding project is a gold mining play that Emperor Energy is considering to generate cash flow and provide regular income, allowing the company to continue its operations without relying on regular capital raises.

Why is Emperor Energy considering a mining project in addition to its gas business?

Emperor Energy is looking to diversify its income sources without distracting from its core gas business. The gold mining project is seen as a way to generate regular income to support the company's ongoing operations and development.