Equity Capital Markets and Advisory Business, Auctus Advisors

Auctus Advisors

Equity Capital Markets and Advisory Business

Auctus Advisors is a specialist Equity Capital Markets and Advisory business with a focus in the Energy Sector. The partners have complementary skill sets, with decades of experience across Equity Capital Markets, Investment Banking and the Energy industry. We have worked at Société Générale, Canaccord Capital, BMO Capital Markets and Schlumberger. Most recently we have worked together for many years at GMP FirstEnergy. Auctus has been set up at the beginning of a new decade in which we see significant opportunities in the Energy space. Globally, demand for energy is at record levels and continues to grow. Conversely, investment in traditional energy sources has been severely constrained. We believe this imbalance creates opportunities for both companies and investors. Auctus provides Corporate Broking, Equity Research and Investment Banking services.

Thematic (Sector/Industry)

<ul>
<li>ADX Energy (ADX AU) C : Portion of deeper target at Welchau flows water on test – Two intervals (total of ~16 m) in the Steinalm formation were tested at a stable rate (natural flow) of 240-290 bbl/d of drilling mud, likely contaminated formation water and some oil traces.</li>
<li>Gas was initially observed at surface. While the achieved flow rate highlights the high permeability of the natural fractures, the absence of hydrocarbons is disappointing and surprising given the results of the logs, the inflow of gas while drilling, the analysis of the retrieved cores (with indication of hydrocarbons) and the fact that oil samples were recovered from this interval.</li>
<li>The well is now being flowed while ADX is running a downhole production logging tool to analyse the contribution of the various sections of the well to flow. </li>
</ul>


ADX Energy (ADX AU) C : Portion of deeper target at Welchau flows water on test – Two intervals (total of ~16 m) in the Steinalm formation were tested at a stable rate (natural flow) of 240-290 bbl/d of drilling mud, likely contaminated formation water and some oil traces.
Gas was initially observed at surface. While the achieved flow rate highlights the high permeability of the natural fractures, the absence of hydrocarbons is disappointing and surprising given the results of the logs, the inflow of gas while drilling, the analysis of the retrieved cores (with indication of hydrocarbons) and the fact that oil samples were recovered from this interval.
The well is now being flowed while ADX is running a downhole production logging tool to analyse the contribution of the various sections of the well to flow. 


Equity Bottom-Up

<ul>
<li>1H24 production was 9,168 bbl/d. EG and Gabon production had already been disclosed.</li>
<li>1H24 production in Tunisia was 1,670 bbl/d (we forecasted 1,760 bbl/d) given subdued activities.</li>
<li>In EG, the first infill well encountered the primary and secondary reservoirs in line with expectations.</li>
</ul>


1H24 production was 9,168 bbl/d. EG and Gabon production had already been disclosed.
1H24 production in Tunisia was 1,670 bbl/d (we forecasted 1,760 bbl/d) given subdued activities.
In EG, the first infill well encountered the primary and secondary reservoirs in line with expectations.


Panoro Energy ASA (OSE: PEN): All Eyes on EG

<ul>
<li>Gross 2Q24 production in Gabon was 21,184 bbl/d, very close to our expectations (21.5 mbbl/d).</li>
<li>2Q24 production was negatively impacted by 21 days of planned maintenance.</li>
<li>All the existing ESPs will be replaced with conventional ESPs. This should address the electrical problems that have negatively impacted production due to increased downtime at some producing wells.</li>
</ul>


Gross 2Q24 production in Gabon was 21,184 bbl/d, very close to our expectations (21.5 mbbl/d).
2Q24 production was negatively impacted by 21 days of planned maintenance.
All the existing ESPs will be replaced with conventional ESPs. This should address the electrical problems that have negatively impacted production due to increased downtime at some producing wells.


Panoro Energy ASA (OSE: PEN): Rig Contract in Gabon Extended to February 2025.

<ul>
<li>The northern flank at Hibiscus, appraised by the DHIBM-7P pilot vertical well, is estimated to hold 8-12 mmbbl gross reserves (Panoro WI: 17.5%).</li>
<li>This is above our early estimate of 8 mmbbl.</li>
<li>The well was drilled from the pilot hole of the recently drilled Hibiscus South well that had already encountered 5-6 mmbbl recoverable resources in a north-east extension of the field.</li>
</ul>


The northern flank at Hibiscus, appraised by the DHIBM-7P pilot vertical well, is estimated to hold 8-12 mmbbl gross reserves (Panoro WI: 17.5%).
This is above our early estimate of 8 mmbbl.
The well was drilled from the pilot hole of the recently drilled Hibiscus South well that had already encountered 5-6 mmbbl recoverable resources in a north-east extension of the field.


Panoro Energy ASA (OSE: PEN): Northern flank at Hibiscus estimated to hold 8 12 mmbbl reserves

<ul>
<li>The 1Q24 production of 9,605 bbl/d, the cash position of US$22.4 mm and the debt position of US$80.6 mm had been reported previously.</li>
<li>The 1Q24 operating cash flow of US$25 mm was impacted by US$5.4 mm of negative working capital movement and US$3.6 mm negative inventory movement.</li>
<li>This suggests an underlying operating cash flow of US$34 mm for the period.</li>
</ul>


The 1Q24 production of 9,605 bbl/d, the cash position of US$22.4 mm and the debt position of US$80.6 mm had been reported previously.
The 1Q24 operating cash flow of US$25 mm was impacted by US$5.4 mm of negative working capital movement and US$3.6 mm negative inventory movement.
This suggests an underlying operating cash flow of US$34 mm for the period.


Panoro Energy ASA (OSE: PEN): NOK100 mm share buyback

Norway

Panoro Energy ASA explores for oil and natural gas in Brazil, Gabon, and Nigeria . The Company operates offshore in the Camamu-Almada and Santos basins.

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Panoro Energy ASA (PEN NO)

AUCTUS ON FRIDAY - 22/11/2024

ADX Energy (ADX AU) C : Portion of deeper target at Welchau flows water on test – Two intervals (total of ~16 m) in the Steinalm formation were...

Auctus Advisors

Panoro Energy ASA (OSE: PEN): All Eyes on EG

1H24 production was 9,168 bbl/d. EG and Gabon production had already been disclosed. 1H24 production in Tunisia was 1,670 bbl/d (we forecasted...

Auctus Advisors

Panoro Energy ASA (OSE: PEN): Rig Contract in Gabon Extended to February 2025.

Gross 2Q24 production in Gabon was 21,184 bbl/d, very close to our expectations (21.5 mbbl/d). 2Q24 production was negatively impacted by 21 days...

Auctus Advisors

Panoro Energy ASA (OSE: PEN): Northern flank at Hibiscus estimated to hold 8 12 mmbbl reserves

The northern flank at Hibiscus, appraised by the DHIBM-7P pilot vertical well, is estimated to hold 8-12 mmbbl gross reserves (Panoro WI: 17.5%).

Auctus Advisors

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