Sample Business Plan PowerPoint - Oil & Gas

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Oil & Gas Company Presentation March 2012

General Oil and Gas (“the “Company”) will be a reporting company listed on the TSXV that remains to be identified. General Oil and Gas will identify and target potential acquisitions in the oil and gas sector. General Oil and Gas has identified significant proven and probable oil reserves in the province of Alberta. This company can be acquired as a whole or in part as a ‘qualifying transaction’ and offers General Oil and Gas significant revenue potential.

Pubco’s strategy is to acquire small and mid-sized low-risk E&P companies in Alberta, Canada.


Key focus areas for its energy investments are domestic upstream businesses that are engaged in the exploration, acquisition, development and production of oil and natural gas reserves in Alberta, Canada. Pubco will primarily focus its efforts on acquiring oil and gas properties with proven developed and undeveloped reserves that are economically attractive with strong upside potential.

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General Oil and Gas has proven and probable oil reserves with a net present value of $133 million at a 10% discount. Initial production can begin in about 2 months post financing for immediate cash flow. Management constantly examines low risk, current and old oil properties in Alberta, Canada with potential to return to oil recovery and production. To date, they have identified five high value properties with a value that has been supported in a report issued on January 31, 2012 by AJM Deloitte

Business of the Company

Key Data

Oil & Gas Venture Capital and Equity Financing

Corporate Name

General Oil and Gas

To identify, target and acquire oil and gas assets with low risk and high potential in Alberta, Canada

President & CEO

Joseph Smithson

Place of Business

Calgary Alberta T7G 2H9

Initial acquisition target - General Oil and Gas has proven + probable reserves on 5 properties valued at $133 million by AJM Deloitte (based on the Net Present value before tax, discounted at 10%)


(800) 986-4736

Funds Sought - $60 million

AJM Deloitte issued a detailed reserves report dated January 31, 2012. Net Present Value shows a value of $133 million at a discount factor of 10% before income tax for the proven and probable reserves currently in General Oil and Gas An in-house evaluation completed in 2011 shows an estimated value of proven and probable reserves to be $245 million.

Fenn Big Valley $68,684,400

General Oil and Gas has identified 5 properties as its first acquisition targets.

Leduc Woodbend $39,464,100 Sturgeon Lake $21,297,000 A recent AJM Deloitte valuation gives a value of $133 million to the General Oil and Gas properties.

Fairydell Bon Accord $2,660,600 Glen Park $1,239,500

Alberta, Canada

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Valuation is $68,684,400 proven and probable January 31, 2012. There are eight potential drilling opportunities in the Fenn Big Valley Field. Six locations from the Nisku D2A pool. Two locations from the Leduc D3A and D3F pools. All are at approximate depths of 1,650 m.

Valuation $58,562,000

General Oil and Gas

Valuation $10,122,400

Valuation $39,464,100

Valuation $21,297,000

Valuation $2,660,600

Valuation $1,239,500

The Company will require an investment of $60 million in order to complete: • • •

The acquisition of 100% of General Oil and Gas in cash & stock Commence drilling & oil extraction operations Undertake future acquisitions and exploration Pre Operative Expenses Financing and Use of Proceeds USE OF PROCEEDS Target Acquisition (Cash Portion) Drill Wells - currently planned Yrs 1&2 Future Acquisition & Exploration

$ $ $

Total 15,000,000 16,628,600 28,371,400

Total Pre-Operative Expenses



The Company projects that gross revenues will total $188,006,744 over 4 years according to the forecast based on figures from the AJM Deloitte economic valuation. Plicit 4 Year Revenue Summary 2012




$ 7,906,000 $ 1,808,881 $ 16,584,000 $ $ 4,113,000 $ 30,411,881

$ 13,799,000 $ 1,803,965 $ 26,883,000 $ 853,062 $ 7,800,000 $ 51,139,027

$ 14,112,000 $ 894,609 $ 30,744,000 $ 862,563 $ 10,876,000 $ 57,489,172

$ 13,876,000 $ 443,414 $ 25,413,000 $ 642,250 $ 8,592,000 $ 48,966,664

$18,001,581 $ 26,431,827

$ 34,118,772

$ 26,300,864


Revenues: Leduc Woodbend Field Fairy Del Bon Accord Fenn Big Valley Glen Park Sturgeon Lake Total Revenues EBITDA: Total

The total investment required is estimated at $60m and will be invested as follows: •

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General Oil and Gas will utilize the $60 million in funds raised to complete the target acquisition and commence drilling on 5 target properties as well as undertake future acquisitions and exploration. The cost to acquire General Oil and Gas is $15m plus stock. General Oil and Gas has a current valuation of $133m from AJM Deloitte. Acquiring this company at $60 million (cash & stock) will offer great leverage for future growth. Expenses on drilling wells for 2 years estimated at $16,628,600. Total EBITDA is projected to be $104,853,044 in four years. An investment of $28,371,400 is being sought for new additional acquisitions and exploration purposes. The income statement does not include revenues from the new additional acquisitions and exploration opportunities. Once income is incorporated from additional exploration and acquisition opportunities the net income and valuation of the company will improve substantially.

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All locations are in existing reefs that are not fully depleted. Easy access. All the properties in the target acquisition are in Alberta in the corridor Northeast of Red Deer to Northwest of Edmonton. Located in existing fields with good infrastructure that may be utilized otherwise a simple facility structure can be applied. 2nd event wells to be drilled not far from the original location that has proved to produce significant volumes from the un-swept parts of the pool above the Oil / Water contact. 5% Royalty applies to the first year to a maximum of 50,000 Barrels. Minimal risk (limited to drilling/Completion/Equipment). Target is bypassed oil combined with land expiry and high oil prices that lead to very good economics. Low risk and high return are principal characteristics for the opportunity. Simple technology with vertical wells. Target are candidates for CO2 miscible floods; could increase the oil recovery by 10-15%.

• Pubco offers an opportunity to obtain a position in a fairly valued, well run oil and gas capital company in Alberta, Canada. • The experience of its management team and its ability to determine the significance of oil properties is key to the success of the company. • Management has a previous record of sourcing and selling oil properties for profit. • Utilizing new technology that recovers up to 50% more oil will result in bringing these proven resources into production with profits for shareholders and investors.

$105.43 March 22, 2012 New York's main contract, West Texas Intermediate crude for delivery in April, went up to $106.66 per barrel.

Joseph Smithson – President & CEO Mr. Joseph Smithson has over 30 years oil and gas technical experience and previously served as President and CEO of two private Oil & Gas companies for 6 years. In December 2004, Smithson founded Grand Petrol Energy and acquired a lucrative land base in the Redwater Leduc Oil Field, which was then sold in December 2006, for $18.5 Million. Mr. Smithson’s petroleum engineering experience encompasses Reservoir, Evaluations, Acquisitions & Divestitures, Reserves Management, and Reservoir Engineering Management. This includes 5 years of key management positions with Union Pacific Resources and Anadarko Canada as Manager of Acquisitions & Divestitures, Manager of Reservoir Evaluations, Manager of Reserves, and Manager of Reservoir Engineering. Mr. Smithson has consulted to numerous oil & gas clients in Alberta such as Petro-Canada, McDaniel & Associates, BP Canada, and Amerada Hess through a consulting firm, Smithson& Associates. During the three years with McDaniel & Associates Engineering Evaluations, Joe was involved in assisting and working directly with Rodney Stewart. Joseph Smithson graduated with a BSc in Electrical Engineering 1981 from the University of Calgary.

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AJM Deloitte - Valuations Crest Consultants is utilized for all drilling and completion needs DRH Consultants is utilized for facilities design and bids Grey Owl Engineering for pipeline applications and design Antelope Land for surface land requirements Precision Geomatics for all survey needs

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